Munis returned to outperforming in March, with yields falling by up to 5 basis points (bps) across the curve compared to U.S. Treasury yields rising by up to 30 bps. Inflows into Muni Mutual Funds are on their fastest pace on record to start a year. This unprecedented demand has caused Munis to maintain their rich valuations vs. other fixed income asset classes. In addition, the American Rescue Plan Act’s aid to Muni issuers is easing credit concerns, drawing back investors who may have been wary of the market.