Stoever Glass & Co., Inc.
Phone: (212) 952-1910
P: (800) 223-3881
Muni Bonds January 30, 2019
The average broker at a large firm doesn’t spend much time with municipal bonds. As a result, a firm may not carry an inventory of them. So rather than suggesting a muni bond, professional brokers prefer to put clients into bond funds.
Besides muni funds, other types of funds that are out there include government funds, corporate bond funds, and convertible bond funds. Most readers are familiar with common stock funds, where management goes out and purchases 50 different types of stocks. Corporate bond funds would have corporate bonds. While each of these has a different historical rate of return, they each carry a different amount of risk.
The number one reason that people buy municipal bond funds is for the tax advantage. Check back tomorrow to learn why purchasing muni bond funds is a smart investment that can help you reach your investment goals. #bondmarket #investing