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the fundamentals of municipal bonds

the fundamentals of municipal bonds

Municipal bonds, often called muni bonds, are debt securities issued by state and local governments to fund public projects. These bonds offer investors tax-advantaged income and are generally considered a relatively safe investment, especially for those in higher tax brackets. Understanding the basics of municipal bonds, including their risk profile, tax implications, and different types, is crucial for making informed investment decisions and diversifying a fixed-income portfolio.