Benchmark 10-year tax-exempt yields rose sharply in March, closing at 3.06% , up from 2.47% in February.
Municipal bonds generally have much lower default rates (historically ~0.03%) compared to corporate bonds (~2.5%). should i buy municipal bond funds now
For a deeper dive into these trends, Franklin Templeton's 2026 Outlook and Charles Schwab's Bond Market Analysis provide comprehensive views on why intermediate-term maturities are currently favored. Benchmark 10-year tax-exempt yields rose sharply in March,
If you are in a low tax bracket, you may be better served by the higher yields of taxable corporate bonds. Article: The 2026 Case for Municipal Bond Funds If you are in a low tax bracket,
Munis have a low correlation with the S&P 500 (~0.222), making them effective diversifiers when equities are at all-time highs. Key Risks to Watch
Whether you should buy municipal bond funds now depends largely on your and risk tolerance , though current April 2026 market conditions present a mix of attractive valuations and recent volatility. Market Outlook: April 2026