Alabama Municipal Bond

Alabama municipal bond funds and ETFs invest in debt obligations issued by... Alabama municipal bond funds and ETFs invest in debt obligations issued by a local government or entity in the state of Alabama. These funds typically include revenue bonds and general obligation bonds with various maturity dates. Revenue bonds are linked to specific projects, while general obligation bonds are repaid from general government finances. Alabama has issued over $30 billion of municipal bonds, putting in roughly in the middle of states. Jefferson County is a notable issuer. There are 67 counties in Alabama. Voters must approve the issuance of local debt (such as school district bonds),but rolling over this debt does not require public approval. Alabama also issues general obligation bonds to fund its operations. Investors buy municipal bonds because they can benefit from attractive after-tax yields. Generally speaking, municipal bonds are exempt from federal tax, and also exempt from state tax if purchased by an in-state resident. Last Updated: 12/04/2024 View more View less

Alabama municipal bond funds and ETFs invest in debt obligations issued by a local government or entity in the state of Alabama. These funds typically include revenue bonds and general obligation bonds with... Alabama municipal bond funds and ETFs invest in debt obligations issued by a local government or entity in the state of Alabama. These funds typically include revenue bonds and general obligation bonds with various maturity dates. Revenue bonds are linked to specific projects, while general obligation bonds are repaid from general government finances. Alabama has issued over $30 billion of municipal bonds, putting in roughly in the middle of states. Jefferson County is a notable issuer. There are 67 counties in Alabama. Voters must approve the issuance of local debt (such as school district bonds),but rolling over this debt does not require public approval. Alabama also issues general obligation bonds to fund its operations. Investors buy municipal bonds because they can benefit from attractive after-tax yields. Generally speaking, municipal bonds are exempt from federal tax, and also exempt from state tax if purchased by an in-state resident. Last Updated: 12/04/2024 View more View less