Municipal Bond Forum

The lone voice

Q

Why does a CNBC analyst say municipal bonds are bad investments and should be avoided? I hold many munis.

R.D., Vermont

A

James A. Klotz responds:

Because we didn’t hear the interview, we can’t comment on what was said. But for every pundit who says sell muni bonds, there are two who recommend buying them.

Municipal bond funds have experienced inflows of cash 47 out of the past 49 weeks. Clearly, investors are not worried.

Nov 28, 2012

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     The responses provided in this forum are meant to address specific questions posed by investors about their municipal bonds and to provide market insight for our general audience. Please note, your investments, objectives, results and experience may differ significantly. Our answers and any potential strategies discussed should not be construed as a solicitation to buy nor sell any security or investment product. All investing entails risk