Can Munis Thrive If States Are Struggling?

<p>In this episode of <i>WashingtonWise Investor</i>, Mike Townsend is joined by Cooper Howard, director of fixed income strategy at the Schwab Center for Financial Research, to discuss the ability of states to withstand the deep economic losses caused by skyrocketing expenses and slumping revenues. They delve into the levers states can pull in order to still meet their municipal debt obligations—from raising taxes to tapping rainy day funds. And they explore the rationale for when holding muni bonds may make sense.</p><p>Mike also provides an update on the development of the next coronavirus aid bill that Congress is working on, reports on the Senate’s careful return to Washington amidst the pandemic, and explains why individual investors could be the big winners in a recent SEC decision.</p><p><i>WashingtonWise Investor</i> is an original podcast from <a href="https://www.schwab.com">Charles Schwab</a>. For more on the series, visit <a href="https://www.schwab.com/WashingtonWise">Schwab.com/WashingtonWise</a>.</p><p>If you enjoy the show, please leave a ★★★★★ rating or review on <a href="http://getpodcast.reviews/id/1478013779">Apple Podcasts</a>. </p><p><strong>Important Disclosures</strong></p><p>The policy analysis provided by the Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.</p><p>The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.</p><p>All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.