How Do You Buy Municipal Bonds In California?
Buying municipal bonds in California can range from an extremely easy to an extremely complicated process, depending on your investment objectives. If you simply seek secure, tax-exempt income, you can buy almost any insured California bond and not worry about anything else. If you seek capital appreciation, want to trade bonds or hope to maximize your income, you will have to take additional steps. Determine your investment objective and risk tolerance. California municipal bonds can range from conservative to speculative, from no-income to high-income. Once you decide what you want out of your bonds, you can narrow your search rapidly. Choose a maturity date. California municipal bonds can have maturities ranging up to 30 years or more. If you want to receive your money back in a particular year, choose a bond that matures in that year. If you want to maximize income, you will generally have to look at longer-maturity bonds. Understand that the longer a bond maturity, the more suscep
