How Municipal Bonds Are Bracing for Climate Change

The transcript discusses how municipal bond investors are evaluating climate risk but are not yet pricing it into bond yields. Miami Beach's recent bond sale included climate risk factors, highlighting issuer awareness. Despite this, investors remain cautious, especially for long-term investments, due to uncertainties about future climate impacts. Municipalities are working to mitigate these risks, but investors are still taking precautions, as seen in the case of an investor interested in American Samoa bonds but wary of long-term commitments.

What factors are mini bond investors currently evaluating when considering investments?

How did Miami Beach address climate risk in their recent bond sale?

What is the current stance of muni bond investors regarding climate risk in bond pricing?

What potential changes could affect how climate risk is priced into municipal bonds?

What precautions are investors taking in response to climate risk when considering long-term bonds?