Tax Free, Municipal Bonds Yielding nearly 7%. Interested? |
|
Submitted by The Investment Shadow
| RSS Feed
| Add Comment
| Bookmark Me!
Of course you should be interested!
There are several reasonable explanations for recent Municipal Bond price weakness: Higher interest rates expected; equity portfolio window dressing; weakness of state government treasuries; profit taking in municipal CEFs; speculation about proposed tax code changes; illiquidity of individual bonds; irrational investor fear.
There are at least as many excellent reasons why investors should be viewing this weakness as a buying opportunity --- in fact, every emotional or speculative issue that reduces bond prices creates new buying opportunities.
Lower prices and higher yields are always good news for income investors. Managed Closed End Funds are the most liquid and efficient means to take advantage of new opportunities to increase the productivity of your income portfolio.
Contact Steve for a website to use to construct a buy list Closed End Funds to check out for appropriateness --- but only after you read this article: http://kiawahgolfinvestmentseminars.net/Inv/index.cfm/18359
The CEFs I'm talking about are all NYSE listed, actively managed by knowledgeable professionals, and included in Market Cycle Investment Management Portfolios. The current yield on many of these closed end funds is hovering around 7%, priced at discounts from their NAV of roughly 6%, and comprised of well over 100 individual issues. Most positions represent less than 2% of their respective portfolios.
These same portfolios were yielding less than 6% a year ago. What a great time either to start or to upgrade your tax free, home made, beyond-your-own-lifetime, annuity program.
Contact Steve to open an MCIM portfolio with 30%, 50%, or 70% invested in Muni CEFs, including some that hold insured and ATM-exempt issues.
CLICK HERE TO RECEIVE ALL OF MY NEW ARTICLES AND ANNOUNCEMENTS
Click here to obtain the official Market Cycle Investment Management Brochure
|
