Sell side

Based in New York City, Ted Hynes has almost 40 years of experience in the fixed-income markets, the last 15 at Raymond James.

More organizations are planning bond sales, although technical factors related to the election may mean deals come early in the year.

Pensions funds are increasingly investing in riskier asset classes, with more than half their investments in 2022 in these, according to some estimates.

All municipal bond insurers wrapped $35.381 billion in 2023, a 5.8% increase from the $33.428 billion insured in 2022, according to LSEG data.

Bond volume fell slightly, as volatility, higher interest rates, falling pandemic aid and slower economic growth kept issuers on the sidelines.

"Tight underwriting spreads in 2023 followed, for the most part, a well-entrenched trajectory that has backdropped the primary municipal market for years, and so the negligible bump in spreads does not come as a surprise," said Jeff Lipton, managing director of credit research at Oppenheimer.

David Brownstein, who helped Jefferson County, Alabama, and Detroit return to market after bankruptcy, has opened a new firm that is advising the Oversight Board on its plan of adjustment for PREPA.

"Jason has a proven record as an outstanding leader who brings clarity, decisiveness and expertise to his role with our Fixed Income Capital Markets division," said HilltopSecurities CEO Brad Winges.

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.

Chad Wildman, executive director, Quantitative Strategies at FMSbonds, and Matthew Smith, founder and CEO of Spline Data, discuss how automation has repositioned the muni market and where participants can find value by using technology tools. Lynne Funk hosts. (45 minutes)

The top three co-managers have an average dollar volume of more than $11.7 billion as of the end of December 2023.

The city is looking for "a diverse group of qualified firms with varied strengths and market advantages" to "provide the most cost-effective distribution."

Interest rates and federal elections hang heavy over the industry and municipal analysts believe certain muni sectors or subsectors will experience credit deterioration.

Inflation and mandate pressures are key factors that moved the outlook lower.

Katz is well known for guiding operational improvement and expense control in the financial services sector, his new employer said.

Altadena, California-based Episcopal Communities & Services for Seniors was able to sell bonds through a treasurer's conduit thanks to the new state law.

Hilltop plans to hire others over the next 12 to 18 months.

Some general fund spending will be shifted to bonds to help the state meet priorities like housing and healthcare, Hawaii Gov. Josh Green announced.

The muni market finances the "fabric of our nation, and now, because of Citi's exit, the cost of financing for state and local governments is going to go up," a sell-side source said.

"Higher education is going to be facing continued challenges in the near term," said Tom Kozlik, managing director at Hilltop Securities.