CA Municipal Bonds

[Gatordoc50]

I'm starting to wonder if when the ad says "priced at $100", it really means $100 par value, and you have to call to get the price.

Looking at some similar bonds available at Fidelity, a CA Muni bond with a 5 year duration and 5% coupon payment is about $115, making the YTM closer to about 1.8%, which is right in line with what the VCADX Muni bond fund is yielding.

I believe that you've gotten yourself twisted up in this thread.

 

[haha]

The bonds mentioned in the OP matured in 2035 and 2042. Where did you get five year?

That was the average maturity of the Vanguard CA muni fund mentioned in OP. Even god cannot project California ~30 years along.

Ha