A recent article in the Wall Street Journal described a new investment trend: “Wealthy Americans eyeing
potential tax increases are helping drive record amounts of money into municipal bond funds.”
It also went on to state that tax-free U.S. municipal (muni) bonds attracted an estimated $56.9 billion in
net new money during the first six months of 2021 and that financial advisors are increasingly fielding
questions about muni bonds and bond funds.
With these trends in mind, now is a good time to review some basics about tax-free (aka, tax-exempt)