Double And Triple Tax-Exemption

Securities that are exempt from state and local as well as federal income taxes are said to have double or triple tax-exemption.

Remarks: Bond funds including mutual funds (open-end and closed-end, actively managed and indexed), exchange-traded funds and unit investment trusts offer a convenient and affordable way to invest in a diversified portfolio of bonds, but a bond fund investment can differ from a bond investment in ways that are important to understand.