Community Standouts
New Issuance
Assistant professor Martin Persson of the University of Illinois

Martin E. Persson, PhD, MSc, CPA (Aust.), is an assistant professor of accountancy at the University of Illinois at Urbana-Champaign and a public voices fellow through The OpEd Project.

Assistant professor Martin Persson of the University of Illinois

Martin E. Persson, PhD, MSc, CPA (Aust.), is an assistant professor of accountancy at the University of Illinois at Urbana-Champaign and a public voices fellow through The OpEd Project.

Anatomy of a Deal
MuniThink

The U.S. Congress is considering eliminating the federal tax exemption for municipal bonds, the single most important financing tool for cities and towns across America. If they do, the cost of building and maintaining infrastructure — roads, bridges, schools, water systems, and even broadband networks — will skyrocket.

Andrew Kalotay says taxpayers would have come out half a billion ahead had the issuer waited out the call date instead of refunding their exempt bonds with taxable paper for 14 transactions between 2018 and 2020.
MuniThink

Issuers routinely refund 5% bonds in year 10, and the resulting savings can be significant. It is notable that although refunding is typically associated with declining interest rates, 5% bonds are refunded even if rates rise.

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