Municipal Bondholders

Municipal bondholders are investors who purchase bonds issued by state or local governments to fund public projects like schools, roads, or hospitals. When you buy a municipal bond, you’re lending money to the government entity, which promises to pay you back with interest over time. These bonds are generally considered low-risk and tax-advantaged, often exempt from federal income tax and sometimes state or local taxes, making them attractive for certain investors. Municipal bondholders play a vital role in financing community infrastructure and public services while earning stable income from their investments.