Ask Terry Questions ira investment choices

ira investment choices

By Terry Savage on February 17, 2025 |

Does it make sense to hold municipal bond funds in an IRA?

Terry Says

Usually not, unless they offer a much higher — guaranteed — rate of return. And it never makes sense to buy individual municipal bonds. You pay too much for them at purchase, and get too little at sale — since the brokers markup is never shown! If buying muni bonds, at least buy them in a muni bond fund!

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