State and local governments and agencies expect to be treated fairly when they access the municipal bond market to finance or refinance capital projects. Underwriters should charge a fair price for services provided and the bonds they sell should be priced to sell to buy-and-hold investors. Unfortunately, some underwriters sell primary offerings to investors who then quickly resell or “flip” the bonds for a profit. Sometimes the investor sells the bonds back to the underwriter and the...
Municipal Bond Flipping: What You Should Know
Read More » Posted on Feb 24, 2020