Municipal bonds come with risks

| Thursday, Feb. 28, 2013, 12:01 a.m.

Municipal bonds come with risks

Municipal bonds are one method that state and local governments raise money for public service projects.

This type of bond can provide an attractive tax exemption for investors. But anyone interested in municipal bond investing should also understand the risks that can accompany “munis.”

If you would like to learn more about municipal bonds, here are a few useful sites:

-U.S. Securities and Exchange Commission: Offers municipal bonds basics and background. Covers municipal bond basics, risk factors and buying strategies.

-AARP: Answers nine questions about municipal bonds.

-E-Muni: Provides a useful glossary of municipal bond terms. Select “About Municipal Bonds” link on this website, which is run by an industry trade group, to find information about buying and selling munis.

Source: McClatchy-Tribune Information Services

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