Reasons to invest
in municipal bonds today

May 1, 2017 / by Peter Hayes

Mar 31, 2017

Municipal bonds help you keep more of what you earn given their tax-exempt nature.

Why invest in municipal bonds? Now may be the perfect time. Peter Hayes discusses the main reasons munis can help benefit investors’ portfolios.

Discover more reasons why investing in municipals may make sense.

  • View transcript

    Peter Hayes
    Head of Municipal Bonds Group

    Q: Why should investors consider municipal bonds today?

    For those thinking about investing in municipal bonds, now might be a perfect time. Perhaps the reasons are obvious but if you think about some of the recent equity market weakness, municipal bonds offer a great way to diversify against risk assets. Some of the optimism that has been built into the equity market, so we can see the recent performance around not only bonds but stocks – municipal bonds add an element of ballast to your portfolio away from some of the equity like risk. The other we like to look is simply the tax-exempt nature of municipal bonds. We are in tax time. People are beginning to get their tax bills. You get to keep more of what you earn. I realize there is a certain element of tax policy risk out there with regards to tax reform, but we are very confident the tax-exempt nature of the income will remain in place, even after any tax reform is implemented.

     


MANLX
National Municipal Fund
The fund is a high-quality municipal holding with a history of attractive tax-advantaged income and strong results.
Peter Hayes
Head of Municipal Bonds Group
Peter Hayes, Managing Director, is Head of the Municipal Bonds Group within BlackRock's Fundamental Fixed Income Group.