Vanguard sees rare opportunity in high-grade munis

“Given the current yields, valuations, and technical tailwinds, longer-dated high-grade munis represent a sweet spot in the market,” said Paul Malloy, Vanguard head of municipals, in a commentary on the personal finance website Kiplinger. “Conditions are likely to shift in the coming months, so investors may want to consider seizing this investment opportunity before it’s gone.” 

Notes:

All investing is subject to risk, including the possible loss of the money you invest.

Although the income from a municipal bond is exempt from federal tax, you may owe taxes on any capital gains realized through the fund’s trading or through your own redemption of shares. For some investors, a portion of the fund’s income may be subject to state and local taxes, as well as to the federal Alternative Minimum Tax.