What is the purpose of municipal bonds how are they, Ask an Expert

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What is the purpose of municipal bonds? How are they different from corporate bonds, i.e. taxation and risk? Why would an investor accept a lower yield on a muni than an equally risky corporate? If an investor (in a 34% tax bracket) could earn 3% on a municipal, how much would she have to earn on an equivalent corporate to be equally compensated?

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Financial Management, Finance

Category:- Financial Management
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