Invesco AMT-Free Municipal Income Fund (OMFYX)

Overview

The fund described focuses on investing a significant portion of its assets in securities that generate income exempt from federal and, if applicable, state income taxes. With at least 80% of its net assets (plus any borrowings for investment purposes) allocated to such securities, the fund seeks to maximize tax-exempt income for its investors. Specifically, it targets securities that, according to the issuer's legal counsel, offer income not subject to regular federal individual income tax and, when relevant, the fund's state income tax. Additionally, it consciously avoids any municipal securities that could be impacted by the federal alternative minimum tax (AMT), ensuring that its investments remain as tax-efficient as possible for its investors.

Products and Services

• Tax-Exempt Income Investments

This product focuses on investing in securities whose income is exempt from regular federal individual income tax and, if pertinent, state income tax as well. It is specifically designed for investors looking for tax-efficient income sources. By concentrating on such securities, the fund aims to provide a steady stream of income that is not eroded by federal or state taxes.

• AMT-Free Municipal Securities

The fund offers investments in municipal securities that are not subject to the federal alternative minimum tax. This ensures that investors seeking tax-exempt income do not face the potential drawback of the AMT. By carefully selecting these securities, the fund aims to provide its investors with a fully tax-exempt income source, optimizing their returns in a tax-efficient manner.