A client in a high tax bracket seeking tax-advantaged income would most likely benefit from which of the following?

a.High-yield corporate bonds
b.Municipal bonds
c.Certificates of deposit
d.Money market funds

Explanation

Municipal bond interest is generally exempt from federal income tax, making munis especially valuable to investors in high tax brackets on an after-tax basis. Corporate bonds, CDs, and money market funds generate fully taxable interest. Advisers compare yields on a taxable-equivalent basis to confirm the benefit.

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