Updated Index Research

S-Network Global Indexes > Index Research > Muni CEFs: Enticing Tax-Exempt Income and Diverse Exposure

Index Research

  • December 01, 2020
  • S-Network Global Indexes
  •     

Muni CEFs: Enticing Tax-Exempt Income and Diverse Exposure

With interest rates low and investors hunting for yield, municipal bonds are a potentially attractive option for those seeking income. The S-Network Municipal Bond Closed-End Fund Index (CEFMX) yields a robust 4.5%, above many fixed income categories, and provides diverse exposure to municipal bond closed-end funds. This note discusses the differentiated design of CEFMX and the advantages of the index’s smart beta approach.