Municipal bonds gettyInfrastructure spending is back in vogue, and we’ve got a chance to grab a piece of it tax-free. This is why muni bonds are popular among high-income earners, and that popularity has caused some out-of-whack demand for some muni-bond funds. This one is so popular that investors are willing to pay $1.26 for every dollar of municipal bonds it holds! That makes it safer than your average muni-bond fund (which is already pretty steady) and therefore ideal for adding stability to your portfolio. But that isn’t even the best thing about NXJ; its dividend is—its 4.7% yield is large for a tax-free muni-bond fund.

Source: Forbes May 01, 2021 00:22 UTC