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"Investor demand for municipals will not only remain strong, but also would strengthen further still, if the proposed higher tax rates and municipal provisions were enacted, said Tom Kozlik, head of municipal strategy and credit for Hilltop Securities.
" 'That being said, none of what has been proposed is coming as a surprise to investors, for the most part. While the details are new, the overarching theme of higher tax rates do not come as a surprise to market observers or participants.' "