Paul Muni

The savviest financial advisor we know has been buying municipal bonds hand-over-fist, but this time we can’t say that we share his confidence. Our friend Doug is a bear’s bear, an outside-the-box thinker and a full-throated deflationist who has contributed occasional commentaries to Rick’s Picks. Moreover, during the years we’ve know him he has done exceptionally well for his clients in good times and bad, even when his employer was breathing down his neck for going boldly against the crowd...Read Full Story

While it was readily apparent years ago, and we were reminded again during the 2008-2009 financial crash, markets had temporarily forgotten that municipalities across the nation are virtually insolvent and should already have declared bankruptcy.  If they have not yet “restructured” their debt, they should and they will.  After decades of politicians writing checks the future generation couldn’t pay by way of lavish public spending sprees, unsustainable defined benefit programs for public...Read Full Story

While it was readily apparent years ago, and we were reminded again during the 2008-2009 financial crash, markets had temporarily forgotten that municipalities across the nation are virtually insolvent and should already have declared bankruptcy.  If they have not yet “restructured” their debt, they should and they will.  After decades of politicians writing checks the future generation couldn’t pay by way of lavish public spending sprees, unsustainable defined benefit programs for public...Read Full Story

Hey, have you noticed muni bonds lately?  They’re crashing! Muni bonds fall off a cliff (Source: StockCharts.com ) We shall see where they go from here – but the recent rally sure looks like it your standard fare retracement/dead cat bounce – paving the way nicely for the next leg lower. DailyWealth’s Dan Ferris believes this is a very scary chart for income investors: Municipal bonds are crashing because the financial crisis has caused tax receipts around the country to drop… and...Read Full Story

Hey, have you noticed muni bonds lately?  They’re crashing! Muni bonds fall off a cliff (Source: StockCharts.com ) We shall see where they go from here – but the recent rally sure looks like it your standard fare retracement/dead cat bounce – paving the way nicely for the next leg lower. DailyWealth’s Dan Ferris believes this is a very scary chart for income investors: Municipal bonds are crashing because the financial crisis has caused tax receipts around the country to drop… and...Read Full Story

Oct. 28 (Bloomberg) -- Timothy Pynchon, who specializes in high-yield municipal bonds at Pioneer Investment Management Inc., talks about the outlook for the U.S. bond market and his investment strategy. He speaks with Lisa Murphy on Bloomberg Television's "Street Smart." (Source: Bloomberg)Read Full Story

This article is featuring another short duration municipal bond closed end fund (Muni bond CEF). If you miss, my previous article on Nuveen Select Maturities Municipal bond fund, please check my previous blog entry. This article will feature Nuveen Select Tax-Free Income Portfolio Nuveen Select Tax-Free Income Portfolio 3 (NYSE: NXR ) Nuveen Select Tax Free Income Portfolio 3 fund (Ticker: NXR) is one of the three Nuveen Select Tax-Free Income Portfolio managed by Thomas C. Spalding Jr...Read Full Story

If you follow my previous blog entry, you will find the short duration closed end funds such as Nuveen Select Maturities Muni (Ticker: NIM), Nuveen Select Tax-Free Income Portfolio 3 (Ticker: NXR), etc. This article will provide another Muni bond CEF with slightly longer average duration. This also means this fund is riskier and more volatile with interest rate hikes. This intermediate term Muni bond closed end fund is BlackRock Municipal 2018 Term Trust fund (Ticker: BPK). BlackRock...Read Full Story

The savviest financial advisor we know has been buying municipal bonds hand-over-fist, but this time we can’t say that we share his confidence. Our friend Doug is a bear’s bear, an outside-the-box thinker and a full-throated deflationist who has contributed occasional commentaries to Rick’s Picks. Moreover, during the years we’ve know him he has done exceptionally well for his clients in good times and bad, even when his employer was breathing down his neck for going boldly against the crowd...Read Full Story

Municipal bonds continue to get taken to the cleaners – here’s an ugly chart for ya: Muni bonds fall off a cliff. (Source: StockCharts.com ) Ever since the Muni Bond Put known at the Build America Bonds fund was given an expiration date , investors have shown little appetite for tax-free municipal debt. Mish Shedlock explored the reasons for the muni selloff on his excellent blog: Reasons for the Muni Selloff 1. Unwinding of the “sure-thing” Quantitative Easing trade 2...Read Full Story