CEF Report Aug 2023 | Taxables Get Bought And Are Not Very Compelling. Munis Look Best

Aug 23, 2023

∙ Paid

Summary

Taxable CEF discounts have narrowed, reducing attractiveness and leaving downside risk - primarily discount and credit risk.
Muni CEFs remain exceptionally cheap, with discounts at historically wide levels.
The risk for taxable bond CEFs is the uncertainty of a potential economic recession, while muni CEFs await a change in the macro environment.
Lo…