Tag Archives: Puerto Rico Bonds

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Cumberland Advisors Market Commentary – Q1 2019 Credit Commentary

Author: Patricia Healy, CFA, Post Date: May 3, 2019
Cumberland Advisors Market Commentary - Municipal Credit

A positive tone continues for the credit quality of municipal bonds, and municipal performance has been strong as a result of low supply, high demand, and lower rates. (See John Mousseau’s “http://www.cumber.com/1q2019-review-tax-free-municipal-bond-a-shining-first-quarter-for-munis/.”) After some states reported revenues tracking well below projections in January, fears of a substantial drop-off in state tax collections are being allayed, […]

Buyer Beware

Author: Shaun Burgess, Post Date: January 17, 2019
Cumberland Advisors - Shaun Burgess - Portfolio Manager & Fixed Income Analyst

In a move that caught many observers by surprise, the Federal Oversight and Management Board (FOMB), which was created to oversee the restructuring of the Commonwealth of Puerto Rico, has requested that Judge Swain invalidate more than $6 billion of the territory’s debt. The move would affect uninsured general-obligation bonds issued in 2012 and after. […]

4Q2018 Review: Puerto Rico Insured Bond

Author: Shaun Burgess, Post Date: January 3, 2019
Cumberland Advisors - Shaun Burgess - Portfolio Manager & Fixed Income Analyst

It has been a busy quarter for the Commonwealth of Puerto Rico. Milestones included a conclusion to the Title VI restructuring of the Government Development Bank (GDB) and a plan for the restructuring of the Puerto Rico Sales Tax Financing Corporation’s (COFINA), as well as the continued rebuilding from the damages wrought by Hurricane Maria […]

Puerto Rico’s revised fiscal plan shows surplus; bonds rally

Author: , Post Date: October 23, 2018
Cumberland-Advisors-Shaun-Burgess-In-The-News

“A revised fiscal (plan) that shows more money for creditors and recognizes Puerto Rico’s ability to pay – that is driving GOs higher… There is still a lot of execution risk as the fiscal plan relies on some assumptions and policies being put in place,” said Shaun Burgess, a portfolio manager at Cumberland Advisors in Sarasota, Florida.

The Ball Is Rolling

Author: Shaun Burgess, Post Date: August 16, 2018
Market Commentary Puerto Rico

August has brought welcome news for the Commonwealth of Puerto Rico and for creditors eager to see a resolution to the bankruptcy process that started more than two years ago with the passage of the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA). There is now a restructuring agreement for Sales Tax (COFINA) bondholders […]

Puerto Rico – Fourth Quarter 2017 Review

Author: , Post Date: January 3, 2018
Cumberland Advisors Market Commentary

The Commonwealth of Puerto Rico entered the fourth quarter having suffered one of the most devastating natural disasters in the island’s history. Hurricane Maria left billions of dollars in damage in its wake, including both infrastructure damage and economic losses. The human costs have been equally terrible, with millions of US citizens suffering. Three months […]

The Jones Act

Author: David R. Kotok, Post Date: October 8, 2017
Cumberland Advisors Market Commentary by David Kotok

A Jones Act replacement law could achieve the national defense purpose in times of emergency but not impose higher costs and procedural delays such as we saw for a week during the Puerto Rico crisis. We should also bear in mind that Puerto Rico has been hurt by the Jones Act for decades.