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Municipal Bonds Not Likely to Lose Popularity.(Originated from The Orange County Register, Calif.)
Knight Ridder/Tribune Business News, September, 1997 by Pulliam, Liz
Sep. 5--Municipal bonds aren't about to go out of style.
That's the consensus of the Orange County Register panel of bond experts after reviewing the 1997 Taxpayer Relief Act's possible effects on bonds issued by cities, schools and other government agencies.
Municipal's main draw, the tax-exempt interest they pay, won't find much competition from the new law's tax-free alternatives such as Roth IRAs and the $250,000 exemption on home profits, the panel said.
"There might be a few dollars less going to municipal bonds, but the main market of muni buyers, the high-income people, is still there," said Mary J. Miller, municipal bond fund manager for T. Rowe Price.
Municipal bonds pay a lower yield than equivalent...
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