Using Surveillance Tech to Get Insights Into Muni Bonds

The video discusses the use of novel methods and advanced technologies in understanding municipal bond risks. Rob Amadeo from Western Asset Management explains how his firm uses machine learning and data analysis to gain an information advantage. The discussion covers identifying value in diverse regions, the importance of human judgment, and current market dynamics. It also touches on investor appetite and changes in the municipal bond market size.

What novel methods are analysts using to understand municipal risks?

• Underwater exploration and virtual reality

• Flying drones and breakfast chats

• Astrological predictions and tarot readings

• Satellite imagery and social media analysis

What is the main advantage of using new technologies in the municipal bond market?

• Improving customer service

• Increasing liquidity

• Gaining an information advantage

• Reducing transaction costs

Why is human judgment still important in analyzing new data pools?

• To reduce costs

• To interpret data accurately

• Because technology is unreliable

• To increase speed

What is unique about the current municipal bond curve?

• It is non-existent

• It is steep

• It is inverted

• It is flat

How has the demand for municipal bonds changed recently?

• Increased demand from insurance companies

• Shifted to retail investors

• Increased demand from corporate investors

• Decreased interest from foreign investors