What is a tax-exempt income fund?
A tax-exempt income fund invests in municipal securities issued by state and local governments, subdivisions and authorities. The interest from these securities is generally exempt from federal income taxes and state and local income taxes – depending upon the state in which they are issued and where you reside. Also, as mentioned above, the income may be subject to the alternative minimum tax. What is a growth and income fund? Growth and income funds typically invest in a mix of stocks for growth, along with bonds or other dividend-paying securities for income. The income may help to soften the impact of the short-term ups and downs of stocks on the overall value of your investment. What are international funds? International funds invest primarily in securities issued outside the U.S. Over the past 25 years, the percentage of the world’s capital represented by foreign securities has risen dramatically. International funds involve special risks, including political and economic uncert
Related Questions
- Did the Fund pay a year-end dividend? If so, what was the record and pay dates, the amount, and was the dividend from capital gains or from net investment income?
- Are capital gains distributions paid by a tax-exempt fund treated as taxable income?
- How will the Managed Income Fund change after the conversion?
