- Muni CEFs have been beaten up so far in 2022. This is the worst 3-month period in a non-recessionary environment for 3 decades.
- In prior periods of rising rates it has been a good time to get in as muni bonds tend to be resilient over time.
- While muni CEFs are much cheaper today than they were three months ago, the rapid decline in the NAVs keeps me on the sidelines.
- For those looking to add, we have several good options. As always, we look at distribution safety above all else but couple it with an attractive valuation.
- Picks: MMD, NEA, LEO, MVF, EVN, VPV, PMF.
For further details see:
Muni CEF Update April 2022: Still No Capitulation But Cuts Have Started Up