{"id":135074,"date":"2010-01-04T07:41:52","date_gmt":"2010-01-04T12:41:52","guid":{"rendered":"http:\/\/www.businessinsider.com\/record-amount-of-municipal-bonds-issued-in-2009-without-insurance-2010-1"},"modified":"2010-01-04T07:41:52","modified_gmt":"2010-01-04T12:41:52","slug":"record-amount-of-municipal-bonds-jump-into-market-without-insurance","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/135074","title":{"rendered":"Record Amount Of Municipal Bonds Jump Into Market Without Insurance"},"content":{"rendered":"

\"No<\/p>\n

2009 notched the second largest issuance of municipal debt ever, but at the same time was an all-time low for municipal bond insurance<\/em>.<\/p>\n

One excuse is that aren’t many bond insurers left.<\/p>\n

Yet at the same time, buyers didn’t seem too concerned about this lack of insurance either.<\/p>\n

Bond Buyer:<\/a> Just a year after financial crisis cast a cautionary pall over the market, municipalities closed out 2009 having floated $409.13 billion in debt, according to ­Thomson ­Reuters.<\/p>\n

That represented an increase of 5% in volume over 2008. It was shy of the all-time record set in 2007 by about $20 billion.<\/p>\n

…<\/p>\n

Another “new normal” in municipal bonds was the volume of debt that came to market wrapped in insurance. According to Thomson Reuters, 8.6% of munis in 2009 were insured. That was the lowest penetration rate since Thomson started keeping track in 1982.<\/p>\n

The financial crisis eroded many bond insurers’ capital cushions, forcing many of them out of the business. Only two companies, both run by Assured Guaranty Ltd., are writing new busines<\/p>\n

Read more here.<\/a><\/p>\n

Join the conversation about this story »<\/a><\/p>\n

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