Morningstar Dropping Muni-Bond Research on Lack of Demand

Morningstar Inc. (MORN), the Chicago-based investment information and services company, said it will no longer provide research on municipal bonds after June 30.

The company, which has offered the service since July 2012, didn’t see enough demand from investors to continue it, Nadine Youssef, a spokeswoman, said today.

Jeff Westergaard will remain head of fixed-income data and analytics, she said. It hasn’t been determined what will happen to the other two people who were working on the research service, she said.

In the $3.7 trillion municipal-bond market, Morningstar was competing in a field that included some of the world’s biggest banks as well as research firms such as Municipal Market Advisors, based in Concord, Massachusetts.

Even though Morningstar is dropping its research program, it will continue to provide daily data on more than 1 million muni bonds, Youssef said.

To contact the reporter on this story: Romy Varghese in Philadelphia at

To contact the editors responsible for this story: Stephen Merelman at Mark Schoifet, Alan Goldstein

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