October 8, 2024 — This presentation provides an overview of our municipal market outlook and key themes, and it illustrates how Sage is positioned in the current environment.

Key Themes

• Municipal bonds continue to offer attractive after-tax income with limited risk.
• Longer dated strategies offer the best option to maximize returns and minimize risk — but not for long.
• Municipal spreads are fully valued but still offer acceptable income carry.

September 11, 2024 — This presentation provides an overview of our municipal market outlook and key themes, and it illustrates how Sage is positioned in the current environment.

Key Takeaways

• Municipal bonds remain well positioned for relative outperformance
• Longer dated strategies offer the best option to maximize returns and minimize risk
• Municipal bonds remain strong and resilient, despite California’s fiscal issues

August 9, 2024 — Sage provides an outlook for the municipal market, including our sector views and positioning and the key themes we are following.

Market Outlook

• Despite the recent rally, municipal bonds offer attractive relative yields and provide a defensive posture if we enter an economic slowdown.
• Late growth cycle periods that shift suddenly to an economic slowdown favor longer duration strategies, which enable the most optimal curve allocation as a barbell strategy can be full implemented.
• Both general obligation and revenue sectors are solid from a fundamental credit standpoint as revenues remain elevated even as the overall economy begins to cool.

July 17, 2024 — Sage provides an outlook for the municipal market in the second half of 2024, including our sector views and positioning and the key themes we are following.

Market Outlook

• Municipals held up well in the second quarter versus comparable Treasuries, which has kept municipal/Treasury ratios on the richer side, and credit risk was well contained for most issuers.
• Strong summer seasonals helped to drive both yields and spreads lower during June, which pushed year-to-date returns for the broad municipal market index back to a more palatable -0.40%. The municipal curve environment also began to normalize.
• Despite some challenges we see for the second half, municipal issuers are expected to remain financially stable, and the market outlook remains cautiously optimistic.

July 15, 2024 — This presentation provides an overview of our municipal market outlook and key themes, and it illustrates how Sage is positioned in the current environment.

Key Takeaways

• Municipal bonds continue to offer historically high levels of tax-free income.
• Long duration strategies enable the most optimal curve allocation as a barbell strategy can be full implemented.
• Both general obligation and revenue sectors are solid from a fundamental credit standpoint as revenues remain elevated despite a cooling economy.

 

June 12, 2024 — This presentation provides an overview of our municipal market outlook and key themes, and it illustrates how Sage is positioned in the current environment.

May 8, 2024 — This presentation provides an overview of our municipal market outlook and key themes, and it illustrates how Sage is positioned in the current environment.