One category of investors dominating the municipal securities market is ________.

Question

Quizplus · Accepted Answer

Property and casualty insurance companies are the largest category of investors in the municipal securities market. They invest in these securities to generate tax-exempt income to meet their obligations to policyholders. Local and state governments may also invest in their own municipal securities, but typically on a much smaller scale. Life insurance companies are also significant investors but not as dominant as property and casualty insurance companies.

One Category of Investors Dominating the Municipal Securities Market Is