We Are MacKay Shields

Listen to the most recent podcast, as the seasoned active investors at MacKay Municipal Managers share their latest views on the municipal market.

The rally in risk assets in recent weeks reflects a confluence of catalysts: falling trade tensions, reduced threats to Middle East oil supply, and anticipated Fed easing. Given this perfect storm of positivity, markets remain vulnerable to a repricing, especially around trade policy and the inflation outlook. We are navigating with what we call defensive agility: respecting the rally’s momentum but prioritizing structure and optionality.

The US fiscal landscape is deteriorating, with the debt-to-GDP ratio projected to reach 120-130% over the next decade. This fiscal decline, exacerbated by potential new legislation that could add $3 trillion to deficits, is expected to bring increased volatility to the Treasury markets. The 5-year Treasury yield, a key indicator of the government's cost of funding, is rising, and the yield curve has steepened due to a mix of fiscal and monetary policy factors. Stay informed and consider how these shifts may affect your investment strategies.

In the latest episode of Forward Guidance, Steven Friedman and Michael DePalma dissect the implications of provisional trade war de-escalation for the economy, markets and portfolio positioning. The Treasury market also remains top of mind amid curve steepening and a fiscal plan making its way through Congress that could add close to $3 trillion to the public debt over the next decade.

MacKay Municipal Managers team remains vigilant in assessing changes that the recent tariff policy’s impact has on the broader municipal market including the state and sector level. In case you missed our webinar hosted by Bruno Machado, Head of Family Office Sales, Bob DiMella, Co-Head of MacKay Municipal Managers provided an update on the dynamic municipal market landscape and strategies to enhance your investment decisions and current opportunity set.

Explore the investment landscape with MacKay Shields' Investment Teams.

Demand for taxable municipals will remain elevated as absolute yields and solid credit fundamentals provide a haven during a period of global economic uncertainty.

For fixed income investors, US banks should continue operating within a robust regulatory framework despite potential changes. Banks' first line of defense is their profitability, and the likely cancellation of proposed regulations should benefit their bottom lines.

In this video, Neil Moriarty analyses what makes the Strategic Bond Strategy different, using last year's snap elections in Europe and the UK, which created market volatility, as an example.

Hear from Neil Moriarty discussing MacKay’s Strategic Bond strategy which focuses on diversified sources of alpha, embracing underappreciated sectors, and leveraging market volatility to identify attractive investment opportunities.

Contrary to conventional thinking, taxable municipals are a compelling solution within fixed income portfolios, as they offer a high-quality issuer base, low historical default rates, attractive yield potential, and total return potential.

One benefit of higher interest rates has been that many investors have become comfortable holding US Treasuries, and with good reason—they’ve served as a low-volatility, liquid core holding.

Explore the investment landscape with MacKay Shields' Investment Teams.

With the backdrop of strong economic fundamentals, favorable regulatory shifts, and evolving market dynamics, we believe the US banking sector is positioned as an attractive opportunity set for income seeking investors.

How should asset allocators be thinking about high yield bonds as part of their toolkit in this uncertain environment of 2025?

Full time professional credit research all day and every day has never been more critical in the municipal market.

Taxable Municipals can be a strategic complement to core bonds in your portfolio, helping to reduce risk and generate income. Watch to learn more.

Emerging market debt has gained significant prominence over the last two decades, in both economic and financial spheres.

The US banking industry is undergoing significant changes that are creating new markets for fixed income investors. One of those markets is Synthetic Risk Transfers or SRTs.

Despite recent challenges, we believe the commercial real estate market holds resilient investment opportunities.

The Year of FUNDamental Municipal Investing

EMD Team gives timely perspectives on the latest developments on the US-China trade relations.

Mortgage-backed securities offer institutional investors varied investment prospects, particularly as residential and commercial MBS.

Municipal bonds are historically excluded from qualified retirement plans and IRAs. Yet, they are a compelling solution within fixed income portfolios.

Emerging Market Debt Team answers topical questions on China.

Mortgage-backed securities offer institutional investors varied investment prospects, particularly as residential and commercial MBS.

The US banking sector is currently facing major stress faced, particularly in commercial real estate. Although bruised, we expect the larger banks to fair well in CRE at the other end.

The Year of FUNDamental Municipal Investing

With short duration bonds currently generating high levels of income, we explain why it is now the time to step out of cash and into short duration bonds.