Gardnyr Michael Capital Thrives as Municipal Bonds Become Increasingly Popular Investment Options
2012 APR 27 - (VerticalNews.com) -- In a tumultuous economy, businesses and financial institutions are hardly the only ones who suffer. Over the past several years, many investors and individuals have found their portfolios generating lower yields than ever before, as many traditional investment options have suffered. A recent article from Daily Finance highlights the fact that checking and savings accounts are stingier than ever before, while alternatives, like bank CDs, are faring even worse. For investors seeking solid returns, however, a surprising option has come to the forefront -- the municipal bond. Munis are more popular among investors than ever before, and as a result, companies like Gardnyr Michael Capital are prospering.
In fact, the article notes that while municipal bonds have historically been the province of "the rich," they're now gaining in popularity among all kinds of investors. Municipal bonds are largely very similar to other kinds of bonds, but are used by state and local governments in order to finance public projects, like the building or maintenance of sewers, roads, and school buildings. Companies like Gardnyr Michael Capital underwrite these bonds, while investors benefit from federal income tax exemption.
It is this last point that explains why municipal bonds have become so popular in a trying economy. While the interest on other kinds of bonds can be taxed at high rates, munis allow investors to hold on to all of the interest they receive.
And the investment pros at Gardnyr Michael Capital are nothing if not optimistic about how these municipal bonds will work out for investors. "Municipal bonds offer investors of all ages, income levels, risk tolerance, and general financial knowledge a chance to pick up a good investment," notes David Langham, Investment Banker and Head of Research for the company.
"Investors have a unique opportunity to pick up an investment that is going to give them steady annual income, as they collect interest on the bonds twice per year and the originally invested principal upon maturity of the bond," Langham continues. "Munis are simple to understand because the investor has been provided with ample information about the issuer of the bonds that they are purchasing, so he or she understands exactly what type of bonds are being purchased. The bonds are rated by Standard & Poor's, Moody's or Fitch rating services in most cases. This gives even the novice investor peace of mind on what type of creditworthiness the bonds' issuer possesses."
Fundamentally, Gardnyr Michael Capital is a public finance firm that helps local and state governments secure needed financing through the underwriting and sale of municipal bonds on the primary market, and does so with an emphasis on unparalleled customer service.
Gardnyr Michael Capital is an investment banking firm that focuses on public finance. Founded in 1991, the firm has grown into a team of approximately 25 financial professionals, with offices in Alabama, Louisiana, Texas, New York, New Jersey and Florida. Gardnyr Michael Capital specializes in underwriting, private placement and financial advisory work on behalf of states, cities, counties, and their authorities, as well as for more specialized issuers such as 501c3 and special districts.
Keywords: Financial Services, Finance and Financials, Investing and Investments.
This article was prepared by VerticalNews Economics editors from staff and other reports. Copyright 2012, VerticalNews Economics via VerticalNews.com.