WSJ Money Beat
Kansas Gov. Sam Brownback wants to make a decades-long bet that pension-fund returns will exceed current interest rates for taxable municipal bonds. “The use of pension bonds impugns an issuer more than a downgrade, because it shows they’re willing to saddle future generations with risk in order to make current budget discussions easier,” says Matt Fabian, a partner at Concord, MA-based research firm Municipal Market Analytics.
Spread the word