Which of the following reflects the primary role of bond counsel?

The primary role of bond counsel is to issue legal opinions on bond matters. This function is critical because bond counsel provides assurance to investors that the bonds being issued meet all legal and regulatory requirements. Their legal opinions typically confirm the validity of the bonds, the authority of the issuer to issue them, and that the interest on the bonds is exempt from federal income tax, when applicable.

Bond counsel plays an essential part in the bond issuance process, ensuring that all legal aspects are in order, which ultimately helps to protect the interests of both the issuer and the investors. By providing this legal opinion, bond counsel helps to facilitate a smoother transaction for the issuer and gives potential buyers confidence in the security of their investment.

In contrast, while marketing bonds, preparing financial statements, and advising on financial matters are important tasks in the overall bond issuance process, they do not reflect the primary legal function of bond counsel. Those activities are often handled by other professionals such as financial advisors, issuers’ financial staff, and underwriters, reinforcing the distinct and specialized role of bond counsel in the context of bond issuance.