Here’s what investors should know about how municipal bonds are taxed. What are municipal bonds? Municipal bonds are bonds ...
U.S. Treasury Secretary Scott Bessent's pledge to contain yields on 10-year Treasury notes met some skepticism in the bond ...
The coupon equivalent rate is a calculation of the effective yield on a zero-coupon bond. The effective yield is the annual rate of return attached with a period of interest rate, while a zero ...
to get the equivalent of a 7.8% tax-free muni-bond dividend—the payout on the closed-end fund (CEF) we’ll delve into next—a top-bracket taxpayer would need a 12.9% yield on a taxable payout ...
Fixed-income analysts and central bankers care about what’s driving the Treasury bond yield, and it’s something called the term premium. That’s the technical phrase for the amount of ...
Nevertheless, such adjustments would further amplify the comparative advantage of municipals, particularly their high taxable-equivalent yields. The accompanying chart illustrates municipal bonds ...
The tax-equivalent yield on a muni increases as tax rates rise ... Certain Private Activity Bonds (PABs) issued in the muni market are subject to the AMT, muting the tax benefits for investors ...