Portfolio management

"Our job is to take that volatility, figure out what's noise, figure out what's reality, and lean into the opportunities as we see them," said Alex Petrone, director of fixed income at Rockefeller Asset Management.

Since war broke out on Oct. 7 between Israel and Hamas, over $1.64 billion of Israel bonds have been sold to more than 35 U.S. states, counties, cities and municipalities.

Investor demands and lower account minimums have grown separately managed accounts across fixed-income markets, particularly in munis. Russell Feldman, CEO and co-founder of IMTC, discusses this evolution and how technology has contributed to changing market dynamics.

Some participants on the Street estimate that SMAs hold as much as $1.5 trillion of munis while others peg it closer to $1 trillion to $1.3 trillion.

Additionally, the Florida Treasury will follow suit and invest $25 million in Israeli bonds, said Jimmy Patronis, the state's chief financial officer.

"After more than 36 years as investor and leader, Peter has decided the timing is right to begin his own retirement next year," said Rich Kushel, senior managing director at BlackRock.

The U.S. is poised for recession most likely in 2023 and bank stocks are expected to fall behind the broader market, according to 525 respondents to the Markets Live weekly survey.

From fund flows to Fed policy, investing in munis requires a more thoughtful strategy.

Muni bonds have not been not the quick way to big returns in 2021. But for the right client, they are the perfect addition to a portfolio focused on stability and low risk, advisors say.

As the market prepares for a smaller primary calendar in the holiday-shortened week, fund flows again are worth exploring as a strong demand component for 2021.