Its ok, not great. Its in my category of safer things to do. I don’t see many of the CA munis it holds defaulting, lol. It’s also tax free both federal and state. I figure since I already pay a lot of CA state taxes, I might as well get some back, kind of like the idea of paying more taxes and buying section 8 housing to get some of it back. 🙂
In all seriousness, it was where I was parking my money arbitraging against my previous 2.5% mortgage and 4% rental mortgage, before I paid the former off with Broadcom RSU stock after I left.
(I don’t end to keep investments in the sector I work in, lol)[/quote]
well, if your tax rate is up to 45% (ca + fed), a 4% return turns into just over a 7% pre-tax investment.
not sure I can find a 7%+ investment vehicle in this climate of perpetual low interest.
