Nominal yields for 12 year and longer AAA municipal bonds remain higher than U.S. Treasury bond yields.
In the 0 – 10 year range most Taxable Equivalent Yields (TEY) for AAA municipal bonds still show value for most tax brackets.
On the longer end of the curve, AAA munis and their TEYs show value for the higher tax brackets and benefit most from the tax exempt interest.
Munis vs. high quality corporate bonds, such as Apple Inc., AAA muni Taxable Equivalent Yields for the higher tax brackets are competitive. At lower tax brackets, Apple Inc. bond yields are relatively favorable in comparison to municipal bonds yields.
Data as of 6/12/2018
Sources: The Bond Buyerwww.bondbuyer.comData Workstation, MBIS Municipal Yield Curves, U.S. Department of the Treasury www.treasury.gov. Chart is provided for illustrative purposes only. TEY = Taxable Equivalent Yield.
Data as of 6/12/2018
Sources: Apple Inc. bond yields provided by SQXhttps://sqx.com/. Municipal data sourced from the Bond Buyer Data Workstationwww.bondbuyer.comand MBIS Municipal Yield Curves. U.S. Treasury bond yields sourced from U.S. Department of the Treasurywww.treasury.gov. Chart is provided for illustrative purposes only. TEY = Taxable Equivalent Yield.
Data as of 6/12/2018
Sources: Apple Inc. bond yields provided by SQX https://sqx.com/. Municipal data sourced from the Bond Buyer Data Workstation www.bondbuyer.comand MBIS Municipal Yield Curves. Chart is provided for illustrative purposes only. TEY = Taxable Equivalent Yield.
AAA Muni Yields v. Apple Inc. Corporate Bond Yields
Sources: Apple Inc. bond yields provided by SQX https://sqx.com/. Municipal data sourced from the Bond Buyer Data Workstation www.bondbuyer.comand MBIS Municipal Yield Curves. Data as of 6/12/2018. Table is provided for illustrative purposes only. TEY = Taxable Equivalent Yield.
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