Presidential Hopefuls Agree on Munis

Klotz on Bonds

Home > News and Perspectives > Presidential Hopefuls Agree on Munis

<h3>James A. Klotz</h3>

James A. Klotz

Municipal bonds enjoy support among presidential candidates from both sides of the aisle.

Republicans Rudy Giuliani and John McCain, along with Democrats John Edwards, Hillary Clinton and Mike Gravel, hold approximately $15.7 million combined of tax-exempt bonds, according to federal financial disclosure reports cited by The Bond Buyer.

Giuliani, former mayor of New York City, leads the pack, holding as much as $5.6 million in bonds. Edwards, former senator from North Carolina, owns $5.5 million of bonds with his wife. Sen. McCain, of Arizona, says his family holds $4.5 million in municipal bonds, while Gravel, a former senator from Alaska, has more than $50,000 in muni bonds.

The reports indicate that Sen. Hillary Clinton of New York held as much as $2.2 million in muni bonds before selling them in May.

As we previously reported (“Bonds Make for Strange Political Bedfellows”), political leaders of all stripes find munis attractive.  All told, investors currently hold a record $2.34 trillion in municipal bonds.

James A. Klotz

President

James A. Klotz is the President of FMSbonds, Inc.
Email the Author

Aug 23, 2007

Please note that all investing entails risk. Fixed income securities are subject to risks that will affect their value prior to maturity. Some of these risks can be related to changes in market conditions, issuer creditworthiness, and interest rates. This commentary is not a recommendation to buy or sell a specific security. All references to tax-free income refer to U.S. federal income tax. Income earned by certain investors may be subject to the Alternative Minimum Tax (AMT), and or taxation by state and local authorities. Please consult with your tax professional prior to investing. For more information on these topics please click on the “Bond Basics” link below or search by keyword at the top of this page.