MDTA Finance and Administration Committee Meeting Materials

15

Strategy – Relative Value Yield or Spread Differential

• Yield differential of double- and triple-A-rated municipals versus treasuries highlights relative value added through security selection.

US Treasuryvs Muni(AAA&AA) Yields as of July 2025

6.000%

5.500%

5.000%

4.500%

4.000%

3.500%

3.000%

1 year

3 year

20 year

2 year

5 year

7 year

10 year

UST

AAA AA

0.000% 0.100% 0.200% 0.300% 0.400% 0.500% 0.600% 0.700%

1 year

2 year

3 year

5 year

7 year

10 year

20 year

AAA- UST AA- UST

Made with FlippingBook Digital Proposal Creator