Citigroup Shuts Down Municipal Underwriting and Market-Making Division

Citigroup has announced the closure of its municipal underwriting and market-making activities, citing the lack of viability and a commitment to increase overall returns. The unit will be unwound in the first quarter, resulting in most employees leaving. This decision follows a team of bankers leaving for Jefferies last month, and comes amid scrutiny from the Texas attorney general, who halted Citigroup's ability to underwrite most municipal bond offerings in Texas due to alleged discrimination against the firearms sector.