Underlying Debt: Definition, Mechanics, And Illustrations

Municipal Bonds Overview Investors who purchase municipal bonds are essentially lending money to the government in exchange for regular interest payments and the return of their principal investment at maturity. The interest earned from these bonds is typically exempt from federal income taxes, and in some cases, state and local …

Revenue Bond Definition Types Examples

What are Revenue Bonds? Revenue bonds are a type of municipal bond that is issued by a government agency or a municipality to finance specific projects or facilities. These bonds are backed by the revenue generated from the project or facility that they are financing. Types of Revenue Bonds There …

Municipal Securities Rulemaking Board (MSRB) Overview

Municipal Securities Rulemaking Board (MSRB) Overview The Municipal Securities Rulemaking Board (MSRB) is a self-regulatory organization that oversees the municipal securities market in the United States. It was established by Congress in 1975 as part of the Securities Acts Amendments of 1975. The MSRB’s primary role is to develop and …

Municipal Bond Definition Types Risks and Tax Benefits

Municipal Bond Definition Types of Municipal Bonds There are several types of municipal bonds, each with its own characteristics and benefits: General Obligation Bonds: These bonds are backed by the full faith and credit of the issuing municipality. They are typically used to fund projects that benefit the entire community, …

Industrial Revenue Bonds—IRBs: A Comprehensive Guide

What are Industrial Revenue Bonds (IRBs)? Industrial Revenue Bonds (IRBs) are a type of municipal bond that is issued by local governments to finance the construction or expansion of industrial projects. These bonds are typically used to fund projects that will create jobs and stimulate economic growth in the community. …

Housing Bonds: A Guide to Investing in Real Estate

What are Housing Bonds? Housing bonds are a type of municipal bond that is specifically issued to finance affordable housing projects. These bonds are typically issued by local government entities, such as cities or counties, and are used to raise funds for the construction, rehabilitation, or preservation of housing units …

Housing Authority Bonds – Definition

Housing Authority Bonds: What You Need to Know Housing Authority Bonds are a type of municipal bond that is issued by a housing authority to finance affordable housing projects. These bonds are typically backed by the revenue generated from the housing projects and are used to fund the construction, renovation, …

Hospital Revenue Bond Explained

What are Hospital Revenue Bonds? Hospital Revenue Bonds are a type of municipal bond that is issued by local governments to finance the construction, renovation, or expansion of hospitals and healthcare facilities. These bonds are backed by the revenue generated by the hospital or healthcare facility, such as patient fees, …

Effective Signs for Successful Work

Importance of Effective Signs Effective signs play a crucial role in the success of any business or organization. They serve as a powerful tool to communicate messages, attract attention, and create a lasting impression on potential customers. Whether it’s a storefront sign, a billboard, or a digital display, the importance …

De Minimis Tax Rule Definition Calculation and Example

What is the De Minimis Tax Rule? The De Minimis Tax Rule is a regulation that applies to municipal bonds, which are issued by state and local governments to finance public projects such as infrastructure improvements, schools, and hospitals. The rule determines whether the interest earned from these bonds is …

Build America Bonds (BABs) – Types, Restrictions, Vs Other Bonds

What are Build America Bonds? Build America Bonds (BABs) are a type of municipal bond that were created as part of the American Recovery and Reinvestment Act of 2009. They were designed to stimulate investment in infrastructure projects and provide a source of financing for state and local governments. Unlike …