Education revenue bonds: Education revenue bonds are issued to finance the construction or improvement of higher-education facilities, like public and private colleges, or help with ongoing operations.
The bonds are repaid through the revenue earned by the transportation system.
Transportation revenue bonds: Transportation revenue bonds are issued to finance local public transportation projects, such as buses, subway systems, toll roads and airport systems. For example, a special tax may be levied on the sale of alcohol or tobacco to help fund a new cancer research facility. Special tax revenue bonds: A special tax revenue bond is a bond that is repaid by levying a tax on a particular activity or asset. Public power electric utilities acquire or generate electric power and provide it to their constituents. Revenues to meet debt service are derived from various rates and fees, which most often are based on usage and connections. Water and sewer/public power electric utilities bonds: Water and sewer revenue bonds are issued to finance the construction and improvement of sanitation or water utility facilities. The most common types of revenue bonds are: Given the size and diversity of the revenue bond market, astute investors can benefit from identifying the right type of revenue bonds for their needs and focusing a portion of their municipal bond portfolio there. Credit quality varies more with revenue bonds compared to GO bonds, but they can be an attractive option for muni investors looking to round out a diversified portfolio or to add investments that may have higher yields, if they're willing to accept additional risks.Ī mistake some investors make is to lump all revenue bonds in the same category. Revenue municipal bonds, or revenue bonds, account for nearly two-thirds of all investment-grade munis outstanding, but they tend to get less attention than their more popular counterpart, general obligation bonds. In other words, the amount of debt issued per state is much larger than the amount of debt issued per local government. The dollar value of GOs issued by states compared to local governments is roughly equal, even though there are fewer states than local governments. Most states and local governments issue GO bonds to help fund operations or specific projects. General obligation bonds account for 28% of the investment-grade muni market and are usually backed by the taxing authority of the bond issuer. General obligation, or GO, bonds are backed by the general revenue of the issuing municipality, while revenue bonds are supported by a specific revenue source, such as income from a toll road or sewer system. Munis can generally be classified into two camps-general obligation bonds and revenue bonds. Environmental, Social and Governance (ESG) Investing. 
Bond Funds, Bond ETFs, and Preferred Securities.ADRs, Foreign Ordinaries & Canadian Stocks.Environmental, Social and Governance (ESG) ETFs.Environmental, Social and Governance (ESG) Mutual Funds.Benefits and Considerations of Mutual Funds.
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