munifi Wednesday, October 1

Good morning, David.

It's Wednesday, October 1 — quarterly rebalance day for 7 of your 12 accounts. The batch is built and waiting for approval. Hurricane Marcela strengthened overnight, and $132k of new cash landed and is ready to invest.

Today's items

 

Hurricane Marcela is now Category 5 — you hold in its path

Overnight upgrade, tracking toward the Keys, South Florida, and coastal Louisiana. The exposed ground is water/sewer, school district, and airport credits. Across the book that's 14 holdings, $1.9M par; the concentration sits in ···0363 (18% of the account in South Florida), ···7823 (12%), and ···1246 (9% across both regions). Two of the 14 holdings are insured and one is escrowed to its 2027 call, which narrows the direct credit exposure to 11 uninsured positions, $1.5M par. Nothing has repriced yet. Landfall is projected Sunday.

Approve today's rebalance batch

7 accounts rebalance today on their quarterly schedule. Every preview is built and in-mandate: estimated turnover $310k, average pickup +22 bp TEY, every sell above the after-tax hurdle. Two previews touch Marcela-exposed credits and are flagged inside the batch; the other five carry no flags. Approving stages the orders — nothing trades until they're placed.

New cash landed overnight

A call paid $86k into ···2417 and coupons swept $46k into ···5116. Buys are ready for both: two bonds that refill ···2417's emptied rung at 4.62% TEY, one addition inside ···5116's mandate at 4.55%. Both sets settle inside the week and leave each account at its cash target.

A block came on that beats what three accounts hold

$300k of an essential-service water district, AA, offered 38 bp above where comparable paper traded this month. It fits the mandates of ···0192, ···5636, and ···8151, and clears the swap hurdle after tax and spread. The nearest comparable held across those accounts is a 2031 water district at 4.21%; this block prices at 4.59% with the same rating and stronger debt-service coverage. Dealer inventory.

OpportunitySee the trade

A quarterly review is ready to send

The client review for ···8151 is drafted and complete, every figure checked against the platform. It covers the quarter's income, the two positions that changed, the updated ladder, and a credit note on each holding. It needs your read before it goes out.

Client-readyRead the draft

An account's largest position is likely to be called October 15

The model puts 91% call probability on ···0363's largest holding — $200k of a 2032 water reclamation bond, callable at par on October 15. If it's called, the account's 2032 rung opens and its shape shifts. $200k of replacement par is lined up at 4.58% TEY that keeps average life inside the mandate; the alternative is letting the proceeds fund the October 15 withdrawal, which needs no sells.

News on credits you hold

Headlines only — anything that needs action is already above.

Coming up

Nothing here needs you yet.

Account by account

Your accounts

One suggested action each, sized to the cash and the situation.
AccountValueCashSuggested action
···2417$2.24M$86kInvest the call proceeds — two buys refill the emptied rung at 4.62%Review buys
···5636$1.91M$96kInvest idle cash — matched offers on hand, incl. today's water blockReview buys
···5116$1.98M$46kInvest the coupon sweep — one addition inside mandate at 4.55%Review buys
···0363$2.14M$12kApprove rebalance · likely Oct 15 call, replacement ready · 18% Marcela exposureOpen account
···7823$2.02M$41kReview Marcela exposure (12%) before approving its rebalanceSee exposure
···1246$1.87M$5kApprove rebalance · 9% Marcela exposure, flagged in the previewOpen preview
···0192$2.31M$8kApprove rebalance · also fits $100k of today's water blockOpen preview
···8151$2.09M$77kSend the quarterly review · idle cash above targetRead draft
···1238$1.76M$9kNothing today — likely call on Oct 22, candidates ready
···3702$1.64M$3kNothing today
···6154$1.82M$6kNothing today
···0723$1.71M$4kNothing today

Everything above is computed across all 12 accounts you manage, par-weighted over researched, priced positions: 184 of 186 CUSIPs carry current research, 181 carry a close of Sep 29 or later. Prices are evaluated closes; call probabilities are modeled, refreshed this morning at 5:32 AM.