Robert Amodeo

Political uncertainty will elevate bond price volatility for those issuers more dependent on fiscal support. Still, the broader market will benefit from support for education, transportation, and healthcare sectors.

As devastating as natural disasters can be, their impact to municipal bond prices has been muted.

Many analysts expect school districts over the next two years to lose $200 billion in revenue, driving roughly 300,000 teacher layoffs.

A complete disconnect between liquidity providers and seekers exposed the market’s inefficiencies: an asset class dominated by a limited investor base—retail investors—has grown increasingly concentrated.

From a fixed income investor’s standpoint, congestion pricing could provide exciting new investment opportunities with relatively high income and moderate risk.