Tax exempt solutions

Tax exempt solutions, like municipal bonds, offer investors a powerful tax advantage by generating income that is generally exempt from federal, and often state and local, income taxes, making them particularly compelling for individuals in the highest tax brackets. Certain investment vehicles, like separately managed accounts, allow for direct ownership of individual bonds, giving advisors the ability to tailor portfolios to each client’s specific tax situation, including their state of residence and alternative minimum tax (AMT) exposure. This level of customization also enables strategic tax-loss harvesting at the individual security level, creating opportunities to offset gains elsewhere in a client’s broader portfolio and further potential to enhance their after-tax return profile.