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Reorg Radio

How Mackay Shields MD David Dowden Maximizes Income For Shareholders

Jul 24, 2023
24:22
Snipd AI
David Dowden, Managing director at Mackay Shields, discusses maximizing income for municipal portfolios post-volatility. Topics include tax swaps, bond market rallies, strategies for generating income, and challenges in fixed income portfolios amidst declining yields and rising interest rates.
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Podcast summary created with Snipd AI

Quick takeaways

  • Strategizing tax swaps can enhance income in municipal bond portfolios post-market turmoil.
  • Utilizing tax swap trades and loss-accumulating transactions can improve income levels for investors.

Deep dives

Challenges in Fixed Income Portfolio Construction

Underlying the conversation on fixed income portfolio construction are the challenges faced by municipal investors in generating tax-exempt income. The podcast illustrates a history of declining yields and credit spreads, leading to a lack of income generation for investors. The significant decline in yields, especially in the short to medium duration curve, created frustration among investors seeking reasonable tax-exempt income.

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