FYI: Securities sold by municipal issuers—including cities, utilities, and universities—are grabbing lots of attention this year, largely because of the tax-free income they generate.
That tax advantage makes municipal bonds attractive to wealthy individuals, especially those living in high-tax states like California and New York, which have been hit hardest by the 2017 U.S. tax law limiting the state and local tax deduction to $10,000.
The appeal of investing for tax-free income is widespread among all investors, however. Assets have poured into municipal mutual funds for 32 consecutive weeks, according to Thompson Reuters Lipper data, reaching a total $59.3 billion for the year through last Wednesday.
Regards,
Ted
https://www.barrons.com/articles/future-returns-buying-municipal-bonds-for-tax-free-income-01566318551
