Fixed income

Zero-coupon bonds: exceptional value or chronic underperformance? Opinions vary, but there's no mistaking that there's a lot of activity in zeros lately as investors look to them for yield.

Flows into tax-exempt money market funds were positive by $17 million in the week ended March 4 as total net assets only increased to $278.79 billion, according to The Money Fund Report, a service of iMoneyNet.com.

For the first time in nine weeks, muni bond funds that report flows weekly recorded outflows for the week of March 6, at $97 million.

The Internal Revenue Service said that budget sequestration would require reductions in refundable credits for certain tax-exempt bonds and the refundable portion of the Small Business Health Care Tax Credit for some small tax-exempt employers.

The taxable municipal bond market is attracting buyers as the tax-exempt municipal bond market and other taxable asset classes look expensive.

Inflows to municipal bond mutual funds ticked up this week to $324 million, making it eight consecutive weeks in the red.

PIMCO has launched the PIMCO Emerging Markets Full Spectrum Bond Fund (PFSIX), which it touts as a "one stop" fixed income strategy to bet on investment opportunities in the developing world.

High-yield, global corporates and emerging markets are among the most attractive areas for fixed income investors in 2013.

Municipal bond investors have watched credit spreads in the market narrow considerably over the past three years. And they aren't expected to reverse course anytime over the next 12 months.

After the municipal market struggled to get through a heavy new-issue calendar last week, another slate of sizable new deals will test the market this week, anchored by a $1.3 billion California higher education deal.

Flows to municipal bond mutual funds remained positive for a seventh straight week, but only modestly so, recording $292 million in inflows for the week of Feb. 20.

Amidst concerns among market participants of a 'great rotation' out of fixed income into equities, Barclays strategists released a report Thursday assessing whether this might happen in the muni market.

Tax-exempt money market funds suffered losses for the fifth consecutive week as $2.40 billion escaped the industry in the week ended Feb. 11 and total net assets finished with $280.07 billion, according to The Money Fund Report, a service of iMoneyNet.com.

The municipal bond market recorded a solid week of inflows to mutual funds, at $490 million, breaking a four-week string of dwindling demand.

Municipal coffers are recovering, but many bond investors still favor revenue bonds, particularly the essential purpose variety, over their general obligation brethren.

Net outflows among tax-exempt money market funds were down to $203.1 million and total net assets settled at $282.48 billion for the week ended Feb. 4.

Inflows to municipal bond mutual funds are shrinking, though they remained positive for a fifth straight week, as they recorded $109 million in inflows for the week of Feb. 6.

The Financial Industry Regulatory Authority's municipal market priority this year will be ensure that brokers adequately disclose risks associated with tax-exempt bonds backed by revenue from private and nonprofit entities, which have significantly higher default rates than general obligation bonds.

The Securities and Exchange Commission's municipal bond office has sent a so called "no-action" letter to NetRoadshow Inc., paving the way for the firm and its underwriter clients to present Internet-based "road shows" on municipal bond offerings to retail investors.

Finding a way to keep clients safe while generating more income in the markets.