MacKay Municipal Managers™ Provides Mid-Year Scorecard Update to Top Five Municipal Market Insights for 2026
MacKay Municipal Managers™, the municipal bond team of specialty fixed income manager MacKay Shields, today released its 2026 Municipal Bond Market Insights Mid-Year Update, noting that the firm's five key municipal market themes identified at the beginning of the year remain largely intact despite evolving market conditions.
At the midpoint of 2026, MacKay Municipal Managers™ believes the municipal market will continue to offer investors a compelling case for allocation. Absolute yield levels provide a meaningful tax-exempt income opportunity, while credit fundamentals remain broadly supportive, and valuations remain reasonable.
"The opportunity in municipal bonds remains compelling, but selectivity is becoming increasingly important," said David Dowden, Managing Director and Portfolio Manager at MacKay Municipal Managers™. "As the market grows more differentiated across issuers, sectors and maturities, investors who emphasize active credit research, thoughtful curve positioning and disciplined risk management may be better positioned to identify relative value and navigate opportunities through the remainder of the year."
