Why munis can thrive in 2025

This report highlights key themes for municipal bonds and their potential for attractive returns in 2025 amidst economic and fiscal policy shifts.

• Higher-for-Longer Rates: Persistent inflation and resilient economic data reduce the likelihood of significant Fed rate cuts this year.  
• Municipal Bond Strength: High-yield municipals gained +6.6% in 2024; attractive valuations and robust credit fundamentals support continued performance.  
• Policy Impact: U.S. tax cuts, tariffs, and deregulation may elevate inflation risks, impacting broader markets while favoring tax-exempt municipal bonds.  

For actionable insights into leveraging municipal bonds in your portfolio, access the full report.