BOND MARKET COMMENTARY
WHEN BOND INSURANCE DOES MATTER
By: James A. Klotz, President, FMSbonds.com
Is bond insurance a waste of money? Some pundits think so. Despite never questioning the value of bond insurance until guarantors hit the skids, many now say insurance is irrelevant. We beg to differ. Just take a look at the situation unfolding in Jefferson County, Alabama. Full story
HOUSE CONSIDERS EASING RULES ON ISSUING TAX-FREE BONDS
In a bid to help fix the housing crisis, the House of Representatives is considering a bill that would ease rules governing the use of tax-exempt bonds. The measure would help first-time homeowners and encourage construction of low-income housing. Full story
‘WHAT’S UP WITH MY MARKET VALUES?’
By: James A. Klotz, President, FMSbonds.com
In response to the blizzard of e-mails and phone calls asking the question, “What’s up with my market values?” we will attempt a simple explanation of the “perfect storm” currently buffeting the municipal bond market. Full story
AMBAC’S ‘AAA’ RATING AFFIRMED AMID 11TH HOUR DEAL
Ambac Financial Group, Inc.’s 11th hour deal Monday helped it maintain its “AAA” rating with Standard & Poor’s, though it remained on CreditWatch with negative implications as capitalization plans were being worked out.Full story
S&P REAFFIRMS RADIAN ASSET
Standard & Poor’s affirmed Radian Asset Assurance’s “AA” rating and Stable outlook, reflecting Radian’s continued capital strength and lack of mortgage related troubles plaguing other bond insurers. Full story
BUFFETT SEES MUNIS AS A GOOD BET
If you’re like many investors and see opportunity in the municipal bond market, you’re in good company. Warren Buffett likes munis, too, offering to back them by as much as $800 billion. Full story
S&P DOWNGRADES FGIC, PLACES MBIA AND XLCA ON CREDITWATCH NEGATIVE
Shortly after downgrading 8,342 classes of sub-prime and other mortgage backed obligations representing approximately $270.1 billion in value, Standard & Poor’s (S&P) announced the downgrade of bond insurer FGIC to “AA.” Full
story
NEW YORK SEEKS SOLUTION FOR BOND INSURERS
With both Ambac and MBIA’s bond ratings under pressure, regulators are taking an aggressive role in seeking to shore up capital for the beleaguered bond insurers Full
story
WHO’S PAYING YOUR INTEREST?
By: James A. Klotz, President, FMSbonds.com
As you can imagine, we’re hearing a lot lately from investors concerned over the torrent of bad news about municipal bond insurers. But in making sense of the insurers’ woes, investors should ask themselves a very important question. Full
story
GMAC SEES SHARPLY BETTER 2008
GMAC, the funding arm that finances General Motors’ dealers and retail customers, expects to be profitable in 2008, according to Fritz Henderson, GM’s chief financial officer. Full
story
MOVES TO BOLSTER RATING
MBIA announced it would cut the quarterly dividend on its common stock, a move that is expected to save the company more than $80 million annually and help maintain its “AAA” rating. Full
story
TAXPAYERS SPARED
A last-minute bill passed by Congress spares more than 20 million taxpayers from the effects of the Alternative Minimum Tax this year. Full
story
CAPITAL INFUSION STRENGTHENS MBIA
The $1 billion investment in MBIA by Warburg Pincus, a leading international private equity firm, demonstrates a vote of confidence in MBIA and strengthens its balance sheet as it seeks to maintain its AAA rating. Full
story
FITCH UPBEAT ON TOBACCO BONDS
Fitch Ratings is expected to upgrade tobacco bonds, citing a more favorable environment for the tobacco industry and improved balance sheets. Full
story
MOODY’S SAYS BOND INSURERS CAN WITHSTAND SUBPRIME RISKS
Bond insurers can easily handle the fallout from exposure in subprime Residential Mortgage Backed Securities (RMBS), a new report by Moody’s said. In an earlier report, Standard & Poor’s echoed Moody’s confidence. Full
story
S&P IMPRESSED WITH GM
Standard & Poor’s, which has long been a critic of General Motors, is impressed with the automaker’s labor accord and might boost its credit rating. Full
story
MUNIS POPULAR AMONG INDIVIDUAL INVESTORS
Individual investors liked what they saw in the municipal bond market in the second quarter, increasing their holdings of individual bonds to almost $918 billion, representing nearly half the $2.54 trillion of total municipal debt.
Full
story
HIGH-STAKES HEARINGS BEGIN ON AMT REFORM
The House Ways and Means Committee began hearings on reforming the Alternative Minimum Tax (AMT). If nothing is done, about 23 million more taxpayers will be subjected to the AMT this year. Full
story
RADIAN’S RATINGS REAFFIRMED
S&P and Moody’s both reaffirmed the strength of Radian Asset Assurance. The review follows the decision by parent Radian Group and MGIC to cancel their proposed merger. Full
story
PRESIDENTIAL HOPEFULS AGREE ON MUNIS
They may not agree on much, but presidential candidates from both sides of the aisle share a healthy appetite for tax-free income. Full
story
MOODY’S REWARDS NEW YORK CITY’S FISCAL COMEBACK
Moody’s raised New York City’s general obligation bond rating to “Aa3,” marking a highpoint for the city after a 30-year comeback from default in the 1970s. Full
story
STUDY SHOWS MUNI DEBT STRONGER, DEFAULTS NEGLIGIBLE
A new study by Standard & Poor’s revealed that a greater number of municipal bond s have received better ratings over the past 20 years, while no highly rated municipal debt has defaulted during that time. Full
story
COURT TO HEAR LANDMARK CASE ON OUT-OF-STATE BONDS
The Supreme Court agrees to hear what could be a landmark case on whether Kentucky can tax income from out-of-state bonds while exempting income from in-state bonds. Full
story
JUSTICES MULL LANDMARK DECISION ON OUT-OF-STATE BONDS
Bond investors are anxiously awaiting word on whether the Supreme Court will consider what could be a landmark case from Kentucky. Full
story
MUNI INVESTORS UNDETERRED BY LOWER RATES
By: James A. Klotz, President, FMSbonds.com
Despite a decline in rates, individual investors seeking a dependable stream of tax-free income increased their holdings of municipal bonds last year, continuing a decade-long growth trend, according to the Fed. Full
story
GM REPORTS IMPROVED EARNINGS
By: Paul Feinsilver, Chairman, FMSbonds.com
Investors in General Motors and GMAC bonds received welcome news. Following a strong sales performance in February, GM’s turnaround continued with the release of its 2006 annual financials and fourth quarter results. Full
story
ACA FINANCIALS CHEER BONDHOLDERS
By: James A. Klotz, President, FMSbonds.com
Holders of ACA-insured bonds can be very pleased with the company’s recently announced financial results. Full
story
RADIAN TO MERGE
In a good sign for holders of Radian-insured bonds, the insurer has announced plans to merge with MGIC, which would create the mortgage insurance largest player with assets close to $15 billion. Full
story
INSIGHT, PATIENCE
PAY OFF FOR TOBACCO BOND INVESTORS
By: James A. Klotz, President, FMSbonds.com
For the few of us back in 2001 who recognized value in tobacco
bonds, it's been a long and winding road. It's also been lucrative,
and with refinancings on the way, the future looks even brighter.
Full story
INVESTOR CONFIDENCE
IMPROVES FOR GM
By: Paul Feinsilver, Chairman, FMSbonds.com
Credit-default swap prices show increased investor confidence in
GM, while the company gets a boost from new vehicles and overseas
growth. Full story
GM STEALS SPOTLIGHT
AT AUTO SHOW
GM stole the spotlight at the 2007 North American International
Auto Show in Detroit. The showing was part of a steady stream of
good news from the automaker as it seeks a turnaround. Full
story
A GOOD RIDE FOR
GM INVESTORS IN 2006
By: Paul Feinsilver, Chairman, FMSbonds.com
There's not much Congress does without a lot of fanfare. It did,
however, manage to slip in a surprise for some municipal bond investors.
Full story
BIG BROTHER EXPANDS
REACH
There's not much Congress does without a lot of fanfare. It did,
however, manage to slip in a surprise for some municipal bond investors.
Full story
ALTRIA TO CHALLENGE
Altria Group, Inc. has indicated that it will seek to overturn a
judge’s ruling in New York that granted class certification
in a suit against the largest tobacco companies. Similar cases brought
recently against tobacco makers have failed.
Full story
AID FOR THE BIG THREE
Domestic automakers, saddled by poor credit ratings, would get up
to $20 billion in loan guarantees to help speed up the development
of more fuel-efficient vehicles, according to a bill expected to
be introduced in Congress. Full story
FOR INCOME INVESTORS,
IT'S ALL BULL
By: James A. Klotz, President, FMSbonds.com
If you're familiar with bonds, you probably know who Bill Gross
is. Known reverently as the "Bond King," Gross manages the Pimco
Total Return Fund, the world's largest bond fund. Full
story
FLORIDA INTANGIBLE
TAX ENDS
Florida Gov. Jeb Bush signed a bill into law last week that finally
repeals the state tax on stocks, bonds and other intangible property.
Full story
SAFETY IN NUMBERS
Most states report a healthy financial picture, according to a recent
survey - a good sign for tax-free bond investors. Full
story
GM CONSIDERS ALLIANCE
WITH RENAULT-NISSAN
By: James A. Klotz, President, FMSbonds.com
GM convened a special board meeting today to consider a proposal
to join forces with Renault-Nissan. GM's stock and bonds surged
on the news. Full story
CALIFORNIA'S COMEBACK
By: James A. Klotz, President, FMSbonds.com
For the second time in less than a week, California received
a credit rating upgrade, continuing a three-year comeback for the
state and vindication for investors who refused to dump their bonds
despite a relentless parade of doomsayers. It's an all-too-common
scenario and a cautionary tale for investors. Full
story
STATES USE TOBACCO
MONEY FOR HEALTH CARE, OTHER NEEDS
By: James A. Klotz, President, FMSbonds.com
The tobacco settlement agreement was a financial boon for
states, but how have they spent the windfall? Turns out, they're
using it as they had originally planned, which is, ultimately, good
news for tobacco bondholders. Full story
SOCIAL SECURITY AND
MUNI BONDS
By: James A. Klotz, President, FMSbonds.com
Wealth of Misinformation? Is it true that tax-free income
can impact your Social Security benefits? A national publication
attempting to enlighten retirees may unwittingly be doing the opposite
Full story
FLORIDA AXES INTANGIBLES
TAX
After years of chipping away at it, Florida legislators agreed this
week to repeal the Intangibles Tax, which affects investors holding
bonds issued by states and political subdivisions outside of Florida.
Full story
RAY OF SUNSHINE IN
FLORIDA: Intangible tax on the ropes
A bill moving through the Florida Legislature would repeal the state's
Intangible Tax next year, providing relief to more than 300,000
residents, including those who hold out-of-state bonds.
Full story
INDIVIDUAL INVESTORS
HOLD RECORD AMOUNT OF MUNIS
Individual investors, aggressively snapping up muni bonds, increasing
their holdings 11% last year to a record high, according to a recently
released Fed report. Full story
LOOK WHO ELSE LIKES
MUNIS
Where does Suze Orman, the high profile "financial freedom"
counselor, invest her own money? A recent newspaper article explored
Ms. Orman's career and revealed her recipe for financial success
and peace of mind. Full story
A FORWARD STRATEGY
FOR THE INVERTED YIELD CURVE
By: James A. Klotz, President, FMSbonds.com
The inverted yield curve is producing higher short-term interest
rates - an enticing scenario for many investors. But will a focus
on the short term hurt you in the long run? Full
story
CITIGROUP AND WACHOVIA
MAY COMPETE FOR GMAC
GMAC is drawing interest from various suitors, including Citigroup
and Wachovia, who are considering mounting separate bids for the
financing giant. Full story
KENTUCKY COURT SAYS
STATE CAN'T TAX INTEREST ON OUT-OF-STATE BONDS
In a decision that may have far reaching implications for the municipal
bond market, the Kentucky Court of Appeals ruled that it is unconstitutional
for the state to tax interest received by its residents from tax-free
bonds issued by other states and political subdivisions.
Full story
AND THE BEAT GOES
ON
By: James A. Klotz, President, FMSbonds.com
Iowa joined the growing list of states that refinanced tobacco debt,
creating a domino effect that bodes well for states and tobacco
bondholders. Full story
TAX PANEL'S PROPOSALS
PUT AMT ON THE ROPES
The president’s tax-reform panel has good news for bond investors:
it wants the Alternative Minimum Tax eliminated. The bad news is
that it probably won’t happen anytime soon. Full
story
LOUISIANA TO REFINANCE
TOBACCO BONDS
The state of Louisiana plans to refinance $1.1 billion of tobacco
settlement bonds. The move follows similar tobacco refinancing actions
in other states. Full story
CALIFORNIA'S MOVE
REWARDS BONDHOLDERS
California is taking a page from New Jersey's playbook and plans
to refinance $3.3 billion of tobacco bonds, another indication of
the increasing strength of tobacco bonds and the improving health
of California's economy. Full story
INTANGIBLE TAX CHANGES
BENEFIT FLORIDA INVESTORS
Florida investors holding out-of-state bonds will receive a New
Year's gift from the Florida Legislature next year. Full
story
'COMMON SENSE' COLUMN
DEFIES IT
By: James A. Klotz, President, FMSbonds.com
An otherwise respected business journalist takes on personal finance
and writes a clunker on income investing. His "common sense"
is anything but, and is dangerous to baby boomers' retirement plans.
Full story
WHEN IS A PROFIT NOT
A PROFIT?
By: James A. Klotz, President, FMSbonds.com
You're thinking, "Why not pay someone to manage my portfolio
and perhaps to take profit off the table?" We know of another
manager that's smarter than the one you'll pay and how taking profits
may not be so profitable after all. Full
story
FLORIDA INVESTORS
CLOSER TO TAX BREAK
Florida investors are one step closer to getting a tax break, courtesy
of the state Legislature. Full story
SMOKE CLEARING FOR
TOBACCO BONDS
By: James A. Klotz, President, FMSbonds.com
A judge in San Diego delivered more good news to tobacco bond investors.
The decision comes on the heels of another ruling in favor of the
tobacco industry and continues what is seen as an improving litigation
environment for cigarette makers. Full
story
MUNI BOND HOLDINGS
HIT RECORD
Investors snapped up a record $2 trillion in municipal bonds last
year and strongly favored individual issues over mutual funds. Full
story
ETMs AND YOU
By: James A. Klotz, President, FMSbonds.com
As regular readers know, we are continually lamenting the lack of
useful information available to individual municipal bond investors.
But if the phone calls and e-mails we received were any indication,
investors would have been spared a considerable amount of confusion
had a recent story in The Wall Street Journal never been written.
Full story
NEW YEAR HAS A
FAMILIAR RING
By: James A. Klotz, President, FMSbonds.com
As we embark on a new year, we're hearing the same old song from
Wall Street economists and the financial media. Full
story
BONDS MAKE FOR STRANGE
POLITICAL BEDFELLOWS
They may not agree on much, but the Bush and Kerry camps have at
least one thing in common: a strong affinity for tax-free bonds.
Full story
MEASURING THE VALUE
OF TAX-FREE BONDS
By: James A. Klotz, President, FMSbonds.com
A recent article in The Wall Street Journal exposed one of the best-kept
secrets on Wall Street: Bonds outperformed stocks over the past
seven years. Although we cheer the newfound respect for bonds, these
types of comparisons miss their key value to investors. Full
story
S&P AFFIRMS ACA's
'A' RATING
S&P reaffirms ACA's "A" rating, sees outlook as "stable"
after infusion of new capital. Full story
ANOTHER 'A' for CALIFORNIA
Fitch upgrades California General Obligation debt, the third rating
agency to give it a favorable nod this year. Full
story
WHEN CASH IS NOT KING
By: James A. Klotz, President, FMSbonds.com
It happened again. The chattering class couldn't contain themselves
after remarks by the Fed chairman and now, several months later,
investors are paying the price. Full story
S&P RAISES CALIFORNIA’S
CREDIT RATING
S&P has raised California’s credit rating, cites pickup
in the state’s economy and enactment of a 2005 budget. Full
story
MSA GETS STRONGER
Biggest remaining holdout joins tobacco Master Settlement Agreement;
payments will be worth more than $1.7 billion over 10 years. Full
story
RATING AGENCIES PROVIDE
POSITIVE NEWS TO CALIFORNIA INVESTORS
Fitch Ratings announced that it removed California general obligation
debt from "rating watch negative" and reaffirmed its BBB
rating with a "stable outlook." Other rating agencies
also raise their outlook on California. Full
story
WHAT'S WRONG WITH THIS
PICTURE?
By: James A. Klotz, President, FMSbonds.com
The size of the municipal bond market dwarfs the three major stock
exchanges combined. So how come the media can't come up with better
information for investors? Full story
PUTTING THE GOLD BACK
IN THE GOLDEN STATE
By: James A. Klotz, President, FMSbonds.com
Moody's upgrades California's G.O. bond rating and brightens its
outlook on the Golden State. This is good news for California and
for astute investors who ignored some prominent doomsayers. Full
story
S&P MAINTAINS IT'S
'A' RATING ON ACA
Standard & Poor’s said it has no immediate plans to change
ACA Financial Guaranty Corp.’s credit rating. Full
story
WATCH OUT FOR THE FED
WATCHERS
By: James A. Klotz, President, FMSbonds.com
Caution: Paying too much attention to Fed watchers can be injurious
to your long-term financial health. Maybe, instead of watching the
Fed watchers, we should be watching what the Fed is watching. Full
story
MOODY'S
ABOUT-FACE ON TOBACCO BONDS
By: Jay H. Abrams, Ph.D., Chief Municipal Credit
Analyst
Taking a guess on an unlikely outcome years before its resolution,
Moody’s makes an unusual decision on tobacco bonds. We examine
the court case that spurred Moody’s action and the odd assumptions
the rating agency made in doing an about-face from its position
just two years ago. Full story
WHERE THE LEMMINGS
ARE
By: James A. Klotz, President, FMSbonds.com
Last month, the pundits were in a dither over the Fed chairman’s
remarks and were heralding a new era of rising inflation and higher
interest rates. This month, the facts got in their way.
Full story
GOOD NEWS FOR THE
GOLDEN STATE
Golden State voters took the first giant step toward resolving the
state's budget woes with the passage of Propositions 57 and 58.
Full story
FIGURING OUT THE FED
AND WHAT IT MEANS TO YOU
By: James A. Klotz, President, FMSbonds.com
When the Fed speaks, traders trade – but that doesn’t
mean investors should react, too. In our new commentary, we explore
the Fed’s effect on market timers and how it sometimes leads
investors astray. Full story
THE 'CONSIDERABLE
PERIOD'
By: James A. Klotz, President, FMSbonds.com
Where are interest rates going? Nowhere fast, according to the Fed.
Bond investors waiting on the sidelines are missing historic opportunities.
Full story
GOOD NEWS FOR FLORIDA
INVESTORS
The state has increased the exemptions on the Intangible Personal
Property Tax for individual taxpayers, a move that enables investors
to own more out-of-state munis and diversify their bond portfolios.
Full story
TODAY’S LESSON
IS YESTERDAY’S NEWS
By: James A. Klotz, President, FMSbonds.com
How long will the recent surge in equities last? We’re not
sure either. But one thing is certain: the lessons we learned after
the devastation of the ‘00s are worth remembering now. Full
story
PUTTING CALIFORNIA IN ITS PLACE
By: James A. Klotz, President, FMSbonds.com
Astute investors are putting California's fiscal woes in perspective
and see a buying opportunity as yields rise on the state's G.O.
bonds. Full story
SAFE HARBOR
Municipal bonds, which never reached the point of "exuberance"
that Treasuries did, offer the best value in bonds, according to
Pimco's Bill Gross. Full story
INVESTORS SNAPPING
UP BONDS
The Fed says individual investors increased their muni bond holdings
by more than $21 billion so far this year.
Full story
LOOK WHO'S BUYING
BONDS, PART lll
Another prominent investor increases his bond holdings.
Full story
WATCH YOUR GOLF GAME,
NOT INTEREST RATES
By: James A. Klotz, President, FMSbonds.com
Wondering where interest rates will go? Don't bother. For veteran
bond investors, guessing interest rate moves is futile - and irrelevant.
Full story
REPEAL OF DIVIDENDS
TAX UNLIKELY
Repeal of dividends tax unlikely as Senate pares president's tax-cut
plan. Full story
STRANGE BEDFELLOWS,
GOOD ALLIES
By: James A. Klotz, President, FMSbonds.com
States and tobacco companies make strange bedfellows but good friends
to bondholders. Full story
STIMULUS PLAN NO
THREAT TO BOND BUYERS
By: James A. Klotz, President, FMSbonds.com
How will the president's stimulus package affect municipal bond
buyers? Take a peek behind the rhetoric. You'll be surprised what
you find. Full story
MERRILL AND THE BULL
By: James A. Klotz, President, FMSbonds.com
Merrill Lynch has a dim view of stocks and recommends that investors
shift more of their assets to bonds. We think there's more to this
announcement than meets the eye.
Full story
WELCH BULLISH ON BONDS
Where does a titan of American industry invest his own money? Full
story
STOCKS AND BONDS AND
DIVERSIFICATION
By: James A. Klotz, President, FMSbonds.com
The media is awash in stocks vs. bonds comparisons. Don't fall for
it. Diversification, a hallmark of sound financial planning, means
your portfolio should include both.
Full story
INVESTORS NEED HELP,
NOT HYPE
By: Dr. Roy Youngman, Sr. Vice President
Stock firms are taking aim at the bond market. But a big ad in The
New York Times by one prominent firm shortchanges investors, who
now - more than ever - need help, not hype. Full
story
WHAT THE PRESS IS
MISSING ABOUT THE BOND MARKET
By: James A. Klotz, President, FMSbonds.com
The good news is that the financial press is taking notice of the
bond market. The bad news is that stocks made their vision fuzzy
and they're missing what's really important. Full
story
FLIGHT TO SAFETY:
DESTINATION, MUNICIPAL BONDS
By: Terry O'Grady, Head Bond Trader
The Fed says investors are pulling money out of stocks at a record
pace while investments in municipal bonds more than doubled.Full
story
SMART BOND INVESTING:
GENIUS OR COMMON SENSE?
By: James A. Klotz, President, FMSbonds.com
A long-time journalist finds one smart municipal bond investor.
We know many, and they all followed the same path. Here's how they
did it. Full story
LOOKING FOR A "BOND
MANAGER"? TRUST THE MAN IN THE MIRROR
By: James A. Klotz, President, FMSbonds.com
Beware: Major brokerages, hurt by lost revenue from disenchanted
stock investors, are now trying to sell you a service that doesn't
work. Full story
INDIVIDUALS SHOW A
"HEALTHY APPETITE FOR MUNICIPAL BONDS"
By: Paul Feinsilver, Chairman
New information reveals that another prominent leader and a raft
of ordinary investors are flocking to municipal bonds Full
story
WITH SO MANY TREES,
HOW DO YOU KNOW YOU'RE IN THE RIGHT FOREST?
By: James A. Klotz, President, FMSbonds.com
More than 50,000 state and local entities issue municipal bonds,
and there are more than 1.7 million bond issues outstanding. With
so many trees, how do you know you’re in the right forest?
Full story
LOOK WHO'S BUYING
MUNICIPAL BONDS
By: Terry O'Grady, Head Bond Trader
A peek at Vice President Cheney's tax-return shows a "love
affair" with municipal bonds. Full
story
NEED A FIX ON LONG-TERM
INTEREST RATES? LOOK BEYOND THE FED
By: James A. Klotz, President, FMSbonds.com
Municipal bond investors looking to see where long-term interest
rates are headed should look beyond the Fed for answers. Full
story
IS YOUR STOCKBROKER
A BOND EXPERT, TOO?
By: Dr. Roy Youngman, Sr. Vice President
Getting information is easy, but finding insight is harder - unless
you know where to look. For value and expertise in the tax-free
bond market, understand the difference between a specialist and
a chameleon. Full story
SHORT-TERM OUTLOOK
LEADS TO LONG-TERM MISERY
By: James A. Klotz, President, FMSbonds.com
Pundits tell us a V-shaped recovery is coming, a bull market is
imminent and now is the time to load up on stocks. Sound advice
for long-term success or unbalanced thinking? Full
story
HELP THE PUBLIC AND
HELP YOURSELF
By: James A. Klotz, President, FMSbonds.com
Tobacco bonds, designed to punish purveyors and help states, offer
exceptional safety and are a great buy.Full
story
IT'S WHAT YOU KEEP
THAT COUNTS
Jeffrey G. Schwarz, Executive Vice President
Comparing "after-tax" returns is the only way to know how much you
can "keep" when analyzing fixed income investments. Full
story
THIS EXUBERANCE IS
ALSO IRRATIONAL
By: James A. Klotz, President, FMSbonds.com
Pundits see a quick economic recovery, but we see further clouds.
In fact, the only bright spots now are interest rates and inflation
- ideal for bond buyers. Full story
IDENTIFYING VALUE
IN THE TAX-FREE BOND MARKET
By: James A. Klotz, President, FMSbonds.com
There is value in the tax-free bond market - you just need to know
where to look. Positive comments by S&P reinforce the wisdom
of an earlier strategy on ACA guaranteed bonds. Full
story
GREAT EXPECTATIONS
By: James A. Klotz, President, FMSbonds.com
Looking for guarantees, not guesswork? Experts say that investors
expect an unrealistic return from stocks. There is, however, a safe,
secure investment whose returns are guaranteed. In fact, bonds available
now provide tax-free returns comparable to over 10% for investors
in the maximum tax brackets. Full story
BEWARE OF CONGRESSMEN
BEARING GIFTS
By: Michael S. Seligsohn, Chief Financial
Officer
On its face, President Bush's proposal to lower tax brackets sounds
attractive. But bondholders should beware: Some investors may actually
end up paying higher taxes. Full story
WILL A SICK STOCK
MARKET INFECT THE ECONOMY
By: James A. Klotz, President, FMSbonds.com
Will a sick stock market infect the economy? Expect a reverse "wealth
effect," which should dampen spending, keep inflation tame
and make today's tax-free bonds a bargain. Full
story
PRESS DISCOVERS BOND
MARKET, BUT NEEDS TO DO HOMEWORK
By: James A. Klotz, President, FMSbonds.com
The press finally discovers what individual investors already knew:
For balance and stability, portfolios should include bonds. Now
if reporters could only brush up on their knowledge of the market. Full
story
GREENSPAN SAYS EVERYTHING'S
OK... WE THINK
By: James A. Klotz, President, FMSbonds.com
All agree there's an economic downturn. The only questions is, how
long and how deep? Full
story
2001 SHOULD BE A HAPPY
NEW YEAR FOR BOND INVESTORS
By: James A. Klotz, President, FMSbonds.com
Win-Win situation should make this another great year for bond investors.
Full story
BOND INVESTORS
SAY "THANK YOU, MR . GREENSPAN"
By: James A. Klotz, President, FMSbonds.com
Greenspan's covert attack on the "wealth affect" creates
the perfect formula for long-term bonds. Full
story
TROUBLE IN THE HEARTLAND
By: James A. Klotz, President, FMSbonds.com
We don't think many investors would take this kind of risk for so
little gain if they had all the facts. Full
story
INVESTORS BELIEVE
IN WHAT GREENSPAN CAN ACHIEVE
By: James A. Klotz, President, FMSbonds.com
Alan Greenspan's war against inflation will continue to benefit
tax-free bond investors. Full story
THE WORM HAS TURNED
By: James A. Klotz, President, FMSbonds.com
The doomsayers were wrong: Inflation remains under control, new
investors are fueling demand and other fundamentals point to a stronger
bond market. Still time to jump on the "bondwagon"? Full
story
A MODEL WITHOUT INSTRUCTIONS
By: James A. Klotz, President, FMSbonds.com
The media says everyone's flocking to municipal bonds. Even dot-com
multimillionaires see their value. What the media fails to
provide investors is useful, timely insight for smart bond buying.
Full story
AND THE BEAT GOES
ON
By: James A. Klotz, President, FMSbonds.com
No matter what the Fed does, bond holders win. Full
story
INFORMATION
UNDERLOAD
By: James A. Klotz, President, FMSbonds.com
Everyone has something to say about stocks, but there's precious
little insight available for tax-free bond buyers. Full
story
TAX-FREE BOND YIELDS
TRENDING DOWN
By: James A. Klotz, President, FMSbonds.com
Bond yields are trending lower! Will 6% tax-free soon become a memory?
Full story
EASY DOES IT, MR.
GREENSPAN
By: James A. Klotz, President, FMSbonds.com
Fear the Fed is moving too cautiously? On the contrary. In fact,
maybe it's time for Greenspan to ease off the brake. Full
story
FED WATCH - 1/4 OR
1/2 IT DOESN'T MATTER
By: James A. Klotz, President, FMSbonds.com
More moves are on the way that will lead to lower long-term interest
rates. Full story
NASDAQ VOLATILITY
WON'T DETER FED
By: James A. Klotz, President, FMSbonds.com
Alan Greenspan will not lose any sleep worrying about falling tech
stocks. Full story
THE FED'S COVERT WAR
ON "EXCESSIVE EXUBERANCE"
By: James A. Klotz, President, FMSbonds.com
The Fed is fighting "excessive exuberance" in an unexpected
way. How will this affect long and short-term rates, and what are
the prospects for muni-bond yields? Full
story
WHY THE FED IS YOUR
FRIEND
By: James A. Klotz, President, FMSbonds.com
A funny thing is happening on the road to runaway inflation and
higher interest rates: The economy is not cooperating. Full
story
WILL PROSPERITY SPOIL
THE ECONOMY?
By: Paul Feinsilver, Chairman
The patter from traditional economists is becoming all too familiar:
Things are too good in America. Full story
WE INTERRUPT THESE
CLAIMS TO BRING YOU A FEW FACTS
By: James A. Klotz, President, FMSbonds.com
Ads by new online brokers are entertaining but untrue. Are you doing
business with a dealer or a broker? Full
story
THE SKY ISN'T FALLING
By: Todd Tennen, Vice President
The Fed wants the economy to slow down. And it will. Full
story
KEEP YOUR EYE ON
THE BALL
By: James A. Klotz, President, FMSbonds.com
Our point is very simple. Bonds are cheap. Tax-free bonds
are a steal. Full story
THE PARALYSIS OF
ANALYSIS
By: Andrew Blum, Vice President
The bond markets have built an extremely high "inflation premium"
into long-term interest rates. Full
story
DO IT AGAIN PLEASE
MR. GREENSPAN
By: Todd L. Berwick, Senior Vice President
The general consensus is that the Fed is done tightening. We think
not. Full story
TECHNICAL FACTORS
CREATE UNIQUE OPPORTUNITIES FOR TAX-FREE BOND BUYERS
By:Jeffrey G. Schwarz, Executive Vice President
Any municipal bond investor who is not taking advantage of this
market imbalance will probably miss the boat. Full
story
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