Insights

There are important limitations to relying solely on total return—primarily that not all returns are created equal.

Federal policy actions present new risks for many private higher education institutions.

Breckinridge believes a less rigid approach to municipal bond management can pursue objectives similar to ladder strategies while providing flexibility to opportunistically take advantage of changing market conditions.

As yields rise or fall, the pace and size of any change in one bond’s prices can be different than another bond.

The municipal bond market enters 2025 with strong but ebbing credit fundamentals, the potential for rising Municipal/Treasury ratios driven by increased issuance and weaker demand due to policy uncertainty, and tight credit spreads.

Demographic shifts, more competition in the public school arena, and state aid formulas are driving challenges.

High quality investment grade (IG) bonds have traditionally played an important role in well-diversified portfolios of investors seeking stable income, diversification, and capital preservation.

Traditionally, investors have allocated to high-quality investment grade bonds with a goal of earning predictable income, diversifying their overall portfolio risk, and preserving capital.