Summary

• Invesco Rochester® AMT-Free New York Municipal Fund Class A shares at net asset value outperformed its style-specific index, the S&P Municipal Bond New York 5+ Year Investment Grade Index.
• New municipal issuance reached $135 billion, 11% higher than the first quarter of 2025, likely driven by significant US infrastructure needs, higher supply costs and reduced federal spending.
• Municipal mutual funds and exchange-traded funds had strong net inflows over the first quarter, totaling approximately $26 billion.
• While there has been a slowdown in credit rating upgrades, they still exceeded downgrades in the first quarter, highlighting strong underlying fundamentals in state and local government budgets.
• Management is maintaining the Invesco Rochester® AMT-Free New York Municipal Fund's duration exposure, which they believe is opportunistic following the steepening of the municipal yield curve in 2025.

Key takeaways

1 Fund performanceInvesco Rochester® AMT-Free New York Municipal Fund Class A shares at net asset value (NAV) outperformed its style-specific index, the S&P Municipal Bond New York 5+ Year Investment Grade Index.