On December 8, 2011, the Federal Reserve Board released its Flow of Funds Accounts report, which included updated data on the size of the municipal securities market and holders of outstanding securities. Due to new data and methodology used, the Federal Reserve estimates the size of the municipal market at $3.7 trillion at the end of the third quarter 2011, significantly higher than the previous estimate of $2.9 trillion.

According to the new estimates, the household sector now holds approximately half, or $1.9 trillion, of the overall $3.7 trillion outstanding. Mutual funds and money market mutual funds holdings account for approximately 22 percent of all municipal securities outstanding.

Source: Municipal Securities Rulemaking Board