Now in its fourth decade of providing tax-free income to yield-seeking investors, the Rochester team long ago lost count of how many pundits have described a news event as “the straw that will break the municipal bond market’s back.”

As long-term investors have seen, the $3.8 trillion muni market has remained an attractive source of tax-free income and has generally delivered handsome, long-term cumulative total returns. The long-term impact of the Tax Reform Act of 1986, Steve Forbes’s recommendation for a flat tax, and the Bush tax cuts leads us to believe that the market will adjust to 2017’s Tax Cuts and Jobs Act, too.

Over the years, munis have also endured financial-market crises, bankruptcies, recessions, and interest rate changes as well as many (unsuccessful) challenges to their favorable tax status and, yes, even Meredith Whitney’s notorious forecast.

For more on the municipal bond market and the Rochester Way, read the 2017 Annual Overview.

Follow @RochesterFunds for more news and commentary.

* A widely used index of the performance of the general municipal bond market, the Bloomberg Barclays Municipal Bond Index includes a broad range of investment-grade municipal bonds and is unmanaged. The index cannot be purchased, and our funds’ investments are not limited to the investments comprising the index. The performance of the index includes reinvestment of income but does not reflect transaction costs, fees, expenses or taxes.

† Recession dates are set by the National Bureau of Economic Research.