Investments

The federal government has formally announced an end to California’s role servicing guaranteed federal student loans, bringing an end to a program that state budget writers had viewed as a billion-dollar cash cow.

Tax-free money market funds continued to seesaw during the week ending Aug. 30, declining $2.84 billion to $337.91 billion in total assets on the heels of nearly $600 million the previous week, according to the Money Fund Report, a service of iMoneyNet.com.

ARKANSASMagnolia School District No. 14 of Columbia CountySep 1, 2010 . . . . . . $1,045,000

ALASKAAlaska Municipal Bond BankAug 31, 2010 . . . . . . $11,430,000

If there’s a day of reckoning on the horizon for municipal closed-end funds, the market hasn’t spotted it as investors continue to fork over a premium for the trusts.

CALIFORNIALafayette Elementary School DistrictAug 31, 2010 . . . . . . $18,885,000

CALIFORNIATiburon (Town)Aug 31, 2010 . . . . . . $1,962,600

Table as of: 08/31/2010 18:42 PM Invisible Supply Issuer and purpose Amount* Approval

Illinois’ public universities have now received all or most of their fiscal 2010 state aid appropriation — a credit positive for the schools — but ongoing liquidity strains are expected until the state solves its budget crisis, Moody’s Investors Service said Monday.

MISSOURIHermitage R-IV School District of Hickory CountyAug 30, 2010 . . . . . . $900,000

ILLINOISSauk Valley Community College District No. 506Aug 30, 2010 . . . . . . $6,805,000

BlackRock has raised more than $1 billion for a closed-end fund devoted to Build America Bonds, creating the largest public vehicle offering investors exposure to the new class of taxable municipal debt.

The Tennessee State School Bond Authority plans to competitively sell $245 million of tax-exempt and taxable higher education revenue bonds Wednesday.

ILLINOISChannahon Park DistrictAug 24, 2010 . . . . . . $1,225,000

Table as of: 08/27/2010 15:47 PM Invisible Supply Issuer and purpose Amount* Approval

CALIFORNIACalaveras County Water DistrictAug 23, 2010 . . . . . . $990,000

Municipal bond mutual funds reported another healthy slug of new money last week as demand for high-quality fixed income continued to drive investment flows.

Investors clamoring for new supply will be faced with slim pickings this week when long-term volume in the tax-exempt market sinks to an estimated $2.61 billion — less than half of last week’s total — as trading and underwriting begins to wind down ahead of Labor Day, according to Ipreo LLC and The Bond Buyer.

Pennsylvania State University will receive up to $122 million of federal funds to lead a team to develop energy-efficient technologies for buildings.

CONNECTICUTTrumbull (Town)Aug 26, 2010 . . . . . . $22,000,000