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Bloomberg Surveillance · Monday, July 20, 2026

Active Management Outperforms Passive in Municipal Bonds

In the municipal bond market, active management has shown a meaningful performance advantage over passive strategies. This is attributed to the complexity of the market, with numerous states and local issuers, where active managers can identify opportunities that passive approaches might miss.

The tape

1 quote
You know what, it can be quite meaningful leaning into active. You know, there are we all know, fifty states, right and all those states have lots of towns, So that means a lot of different issuers. To take a passive approach to that, in our view, you're leaving a lot of money on the table. If you look at the performance of active overpassive so far year to date, active is very much ahead of the passive options.
Heard on Bloomberg Surveillance — “Credits Risks and the Market Outlook, published Monday, July 20, 2026. Heardvine summarizes and quotes with attribution and timestamps, and links to the original everywhere.
Transcribed via publisher transcript · $0.00
Active Management Outperforms Passive in Municipal Bonds — Heardvine