Description

The primary goal of this fund is to generate a substantial income stream that is exempt from standard federal income taxes, with capital growth being a secondary objective. Typically, under normal market conditions, the fund allocates a minimum of 80% of its total investment capital (which includes both its net assets and any funds borrowed for investment purposes) to municipal bonds. The interest payments from these specific bonds are not subject to regular federal personal income tax. The portfolio notably emphasizes long-dated municipal bonds with lower credit ratings and has the flexibility to employ financial leverage, often achieved through instruments like inverse floaters.