"Consider that for an investor in the top tax bracket, for example, a muni yield of 3.5% is the equivalent of a roughly 6% yield on a fully taxable bond like a corporate or Treasury bond. The tax-equivalent yield is lower for investors who are not in the top tax bracket,†according to Charles Schwab research. "After adjusting for a muni's tax advantage, even an investor who's not in the top federal tax bracket can obtain yields higher than many other fixed income investments.†MNBD Has Other Favorable Facto ...