California Tax Free Municipal Bonds
Stock market investments are considered to be very risky investments. The other alternatives that are there are the bonds.
Various states issue bonds like the state of California issues the California Tax Free Municipal bonds and these are backed by the State government of California. It helps as that means as that means that your money is safe and state will pay you.
The benefit of this kind of municipal bonds or as they are known as "municipal bonds" is that these are tax free and not risky. However in the recent past the state governments have been running huge deficits and that has resulted people running scared of these so called safe bets. Overall the belief is that these are the safest instruments available in the market today.
If you live in a state other than California then the best bet is to make sure that you invest in that state's Municipal bonds. This is because of the reason that these bonds are no longer tax free for residents of other states. That will mean that the State tax will have to be paid though the federal tax is not there.
Always spread your risk and that is good for safety of your portfolio. Diversification is key to managing a good portfolio. Municipal bonds fit in well into this scenario
You can make more money with bonds when you have a diversified portfolio. Diversification is essential to make sure that when something happens to the stock market you have other avenues where the investment income can be from. This is in effect the spreading of your risk portfolio. Always make sure that you invest in these bonds for safety factors. - 23305
Various states issue bonds like the state of California issues the California Tax Free Municipal bonds and these are backed by the State government of California. It helps as that means as that means that your money is safe and state will pay you.
The benefit of this kind of municipal bonds or as they are known as "municipal bonds" is that these are tax free and not risky. However in the recent past the state governments have been running huge deficits and that has resulted people running scared of these so called safe bets. Overall the belief is that these are the safest instruments available in the market today.
If you live in a state other than California then the best bet is to make sure that you invest in that state's Municipal bonds. This is because of the reason that these bonds are no longer tax free for residents of other states. That will mean that the State tax will have to be paid though the federal tax is not there.
Always spread your risk and that is good for safety of your portfolio. Diversification is key to managing a good portfolio. Municipal bonds fit in well into this scenario
You can make more money with bonds when you have a diversified portfolio. Diversification is essential to make sure that when something happens to the stock market you have other avenues where the investment income can be from. This is in effect the spreading of your risk portfolio. Always make sure that you invest in these bonds for safety factors. - 23305
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The author suggests diversification using California tax free municipal bonds and independent broker dealers
posted by Mr. Forex at
12:56 AM
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