municipal bonds

Cultural  

1. Bonds issued by nonprofit bodies such as cities, public hospitals, and school boards. They bear relatively low interest rates, but accrued interest is exempt from federal income tax.

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Example Sentences

Jane Lauder holds more than $1 million in Estée Lauder stock directly and millions more through family trusts, and has an extensive portfolio of municipal bonds and land holdings.

From Barron's • Apr. 14, 2026

Treasury bonds, blue-chip “investment-grade” corporate bonds and tax-advantaged municipal bonds.

From MarketWatch • Feb. 12, 2026

And that doesn’t even include the trillions more in municipal bonds and corporate bonds, whose prices are heavily influenced by the Treasury market.

From MarketWatch • Jan. 12, 2026

AA-quality 20-year municipal bonds have a taxable-equivalent yield of roughly 6.5% and are likely to be competitive with long-term equity returns.

From The Wall Street Journal • Jan. 6, 2026

Before becoming a depository, the bank must furnish as security government, state, or municipal bonds, the limit of deposits being an amount equal to the paid-up capital and one-half the surplus....

From Readings in Money and Banking Selected and Adapted by Phillips, Chester Arthur