MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Friday, August 23, 2013 Two Analysts Liken Muni Stampede to Lehman Blowup There's no better way to set a foreboding tone than invoke the name of "Lehman Brothers." Two municipal credit analysts at Janney Capital Markets, Tom Kozlik and Alan Schankel did just that, comparing municipal bond market movements to Lehman Brothers, MarketWatch's Ben Eisen writes. The two analysts, not known for their hyperbole, write that the AAA scale rose 1.14 percentage points to 2.80 percent from 1.66 percent, comparing it to Lehman's rise to 4.86 percent on Oct. 11 in 2008 from 3.46 percent on September 11, a gain of 1.40 percentage points, Eisen reports. The rise happened in the aftermath of Lehman's bankruptcy filing. With regulatory and fiscal policy changes ahead, volatility may be around the corner, providing a "test' for "the courage and perseverance of even the most patient investors," Eisen writes of the research note. Though the analysts say that that they still like the municipal bond sector generally, they advise caution, saying investors should focus on A-rated or higher credit profiles, Eisen reports. To read more, click here. Printed from: MFWire.com/story.asp?s=45698 Copyright 2013, InvestmentWires, Inc. All Rights Reserved |