A. excess of information
B. lack of information
C. frequent information
D. infrequent information
✅ The correct answer is option B.
Thin trading of municipal bonds in secondary markets is because of lack of information. Municipal bonds are loans investors make to local governments. They are issued by cities, states, counties, or other local governments. For that reason, the interest they pay on the bonds is tax-free.
Thin trading of municipal bonds in secondary markets is because of lack of information. Municipal bonds are loans investors make to local governments. They are issued by cities, states, counties, or other local governments. For that reason, the interest they pay on the bonds is tax-free.