The Municipal Bonds Channel

Gold Gets a Shot in the Arm from Inflation and China

Inflation just got another jolt, rising as much as 2.5 percent year-over-year in January, the highest such rate since March 2012. Led by higher gasoline, rent and health care costs, consumer prices have now advanced for the sixth straight month. In addition, January is the second straight month for rates to be above the Federal Reserve’s target of 2 percent.

The Flexible Municipal Mandate: Be Like Bamboo

Confucius wrote, “The green reed which bends in the wind is stronger than the mighty oak which breaks in a storm.” We believe that, similarly, municipal investors who choose flexible mandates will be well equipped for any type of weather.

Structural Differences

Due to structural differences, some closed-end funds may have longer durations than their open-end fund peers, says Alaina Bompeidi of Morningstar.

Loomis Sayles 2017 Sector Teams' Outlook

We’re modestly optimistic about 2017, but there are a host of unknowns as we become acquainted with our new President Trump, what policies he may pursue, and how they will impact the world body politic. Loomis Sayles' sector teams weigh in on potential opportunities in the year ahead.

Trump’s Tax Plan Could Cost You. Here’s What to Do About It

Top earners have traditionally been attracted to municipal bonds for their tax-exempt status at the federal and often state and local levels. In the wake of President Donald Trump’s stunning upset victory, however, muni investors were forced to readjust their expectations of fiscal policy going forward.

Exit the Shark

Akbar Hashemi Rafsanjani was a major political figure in Iran and his passing is a significant event for Iran and the region. Analyses of history usually follow one of two lines—the “Great Man” or the “Great Wave.”

Investing in Trump’s Economy? Proceed With Caution

As investors are tempted to invest in response to the new administration’s policies, this month, we compare the positive areas that could have strong impacts on the economy with those that could prove more problematic. We caution against making reactive investment decisions based on speculation and momentum in favor of waiting to see what Congress actually passes.

2017 Economic & Capital Market Outlook

Capitalism and democracy work together to power economic growth and sustain our standard of living; capitalism, with all of its faults, is still the best generator of investment and human capital in the world.

The Flip Side of the Muni Market Selloff

A painful selloff in the muni bond market represents a partial correction from overvalued levels, paving the way for more attractively priced bonds. A laddered bond strategy can also go a long way to mitigate the pain.

Market Outlook

Greetings this New Year from our new office facilities in Westborough, MA. We hope you will find time to stop in if you are in the area!

Choose Your Own Misadventure: Bronfman E.L. Rothschild 2016 Q4 Review

Part of our early January ritual is to read a number of market and economic projections for the upcoming year. And although they are interesting and (generally) thoughtful, to be frank, the articles are basically all the same…

Avoid the Slippery Rungs of the Muni Ladder

Fearing rising rates, some municipal investors have sought protection in passive laddered portfolios. The strategy’s seeming simplicity packs a lot of allure—but also hidden risks.

Don’t Drink the Cool Aid that Bonds will Under-perform

Don’t get too far ahead of yourself and drink the cool aid that bonds will underperform. Investor fears of higher interest rates have caused volatility, which we believe presents opportunities in the fixed income markets. Global central banks continue to intervene in the markets in such a way that natural market mechanisms cannot function properly.

American Small Businesses Party Like It’s 2004

Look at what President-elect Donald Trump’s pledge to lower taxes and slash regulations is doing to business optimism here in the U.S. Last month, the Index of Small Business Optimism soared a phenomenal 7.4 points to 105.8, its highest reading since 2004. The National Federation of Independent Business (NFIB), which conducts the survey, reported that attitudes toward capital spending and job creation in particular surprised to the upside. Research firm Evercore ISI called it a “blowout report,” and I have to agree.

Sustainable Development Goals: Common Goals, Our Approach, Your Impact

How the United Nations Sustainable Development Goals can serve as a framework for ESG investors