Municipal Bonds FAQ
What Do Municipal Bonds Pay
Municipal bonds, often referred to as "munis," are debt securities issued by local governments, counties, or state entities to finance public projects. They are a popular investment choice for individuals seeking relatively stable income, as they offer tax advantages and, in general, have lower default risks compared to corporate bonds. However, understanding what municipal bonds pay can be complex, as several factors impact their yield and return on investment. In this article, we'll delve into the intricacies of municipal bonds, their payment structures, and other essential aspects to help you make informed investment decisions.
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