This advice completely misses the biggest risk with Muni Bonds - Interest rate risk<p>Investopedia has a somewhat hard, but accurate depiction of this risk.<p><a href="http:&#x2F;&#x2F;www.investopedia.com&#x2F;ask&#x2F;answers&#x2F;05&#x2F;ltbondrisk.asp" rel="nofollow">http:&#x2F;&#x2F;www.investopedia.com&#x2F;ask&#x2F;answers&#x2F;05&#x2F;ltbondrisk.asp</a><p>In general, you should not be investing in Muni Bonds unless you clearly understand how much value the bond will gain or lose with changes in interest rates.<p>&gt; I&#x27;ve been up 8-10% in value too on each as I buy quality ones at a discount to net asset value.<p>This could be partially correct, but it is more likely that the OP just doesn&#x27;t understand what percent of change in bond value came from his&#x2F;her ability to pick bonds and what change in bond value came from other factors like interest rate risk.<p>Investing is really hard and deceptively complex. The best advice is to diversify and index whenever possible.  Buying some muni bonds as part of your portfolio should be fine, but they should be balanced with equity exposure, corp bond exposure etc.  In every case, try to index to gain more diversification with less fees.