Summary

In this episode of Beyond The Ticker, host Rishika Ranka interviews Nathan, who transitioned from a legal career to asset management, focusing on municipal credit research at Vanguard. They discuss Nathan's journey, the current state of the municipal bond market, its historical performance, and the resilience of bonds in the face of disasters and policy changes. The conversation also delves into the complexities of credit risk assessment, supply and demand dynamics, and the impact of tariffs on the municipal market.

Takeaways

• Nathan transitioned from law to asset management, drawn by the excitement of the investment world.
• The municipal bond market is crucial for financing US infrastructure projects.
• Municipal bonds offer tax-exempt interest, making them attractive to investors.
• The market has historically low default rates, making it a high-quality asset class.
• Recent volatility in the market has not diminished the long-term value of munis.
• Supply and demand dynamics in the muni market are influenced by various economic factors.
• Credit risk assessment in munis requires expertise due to the diversity of issuers.
• Natural disasters can lead to economic stimulation and reconstruction in affected areas.
• The future of the municipal market looks promising, with strong fiscal management post-COVID.
• Tariffs and trade policies can indirectly impact municipal bonds, especially in trade-heavy states.