Nuveen Taxable Municipal Income Fund (NBB)

Nuveen Taxable Municipal Income Fund invests in long-tenor, taxable municipal bonds, using leverage to boost returns, but exposes investors to interest rate risk. Unlike traditional muni funds, NBB's income is taxable, removing the usual federal tax advantage and raising questions about its appeal versus tax-free alternatives. A significant portion of NBB's distributions is classified as return of capital—a structure I find puzzling and potentially unattractive.

Here is an evaluation of the Nuveen Taxable Municipal Income Fund as an investment option at its current market price. After a nice run since mid-2023, I view the recent gains as a time to take some profit and am downgrading my outlook going forward. Taxable munis remain challenged by higher interest rates and inaction by the Fed. Further, investors have poured into the sector in 2024, mitigating the contrarian play I saw last year.

We take a look at the shape of the current CEF sell-off. The sell-off has followed a similar pattern to previous instances, with equity funds falling more than fixed-income funds, leveraged funds underperforming and discounts widening. Longer-duration assets may become more compelling as longer-term rates rise, and investors should consider adding them to their portfolios.

Macro markets saw positive movement, with the S&P 500 up 1.81% and bonds performing well. The PPI report offset slightly hot CPI, leaving uncertainty about how the Fed will respond to rising inflation figures. PIMCO Corp & Inc Strat (PCN), a fund I've been high on for some time, has gone parabolic. There was a recommendation from a Seeking Alpha author that likely drove.

For the second consecutive month, both equity (+3.42% on a NAV basis) and fixed income (+3.14%) CEFs on average posted plus-side returns. At month end, 9% of all CEFs traded at a premium to their NAV, with 9% of equity CEFs and 8% of fixed income CEFs trading in premium territory. Developed Markets CEFs (+6.45%), for the second straight month, outpaced the other classifications in the equity CEF universe for December.

The Nuveen Taxable Municipal Income Fund has a lower current yield compared to other comparable closed-end fixed-income funds. The NBB closed-end fund's price performance has been worse than the ICE BofAML US Taxable Municipal Securities Index over the past five years. The NBB fund's use of leverage and exposure to states with strained finances pose risks for investors.

NEW YORK--(BUSINESS WIRE)--Two Nuveen closed-end funds have declared additional cash distributions with the record, ex-dividend and payable date outlined below. The following dates apply to today's distribution declarations for the following taxable closed-end funds: Record Date December 27, 2023   Ex-Dividend Date December 26, 2023   Payable Date December 29, 2023     Taxable Per Share Distribution Amount Ordinary Short-Term Long-Term Ticker Exchange Fund Name Income Capital Gain Capital Gain.

NEW YORK--(BUSINESS WIRE)--Nuveen Closed-End Funds today announced that the Board of Trustees of the Funds has approved the regular monthly and quarterly distributions. In addition, the Board of Trustees has approved updated distribution polices described below under “Monthly & Quarterly Distributions” for The Nuveen Preferred & Income Opportunities Fund (NYSE: JPC), Nuveen Preferred and Income Term Fund (NYSE: JPI), Nuveen Variable Rate Preferred & Income Fund (NYSE: NPFD), Nuveen.

Nuveen Taxable Municipal Income Fund is currently undervalued with a discount to NAV of almost 9%. Taxable munis offer higher income compared to tax-exempt munis, making them attractive for investors in lower tax brackets. NBB has maintained its distribution in the short-term, providing reassurance to investors despite the challenges posed by the inverted yield curve.

NEW YORK--(BUSINESS WIRE)--As previously announced on April 10, 2023, John V. Miller effective today is no longer a portfolio manager for Nuveen Municipal High Income Opportunity Fund (NYSE: NMZ), Nuveen Taxable Municipal Income Fund (NYSE: NBB), Nuveen Municipal Credit Opportunities Fund (NYSE: NMCO), and Nuveen Dynamic Municipal Opportunities Fund (NYSE: NDMO). There are no additional changes to the portfolio management teams, which are as follows: Daniel Close and Stephen Candido continue to.

NBB has had a pretty strong 2023 so far and is in positive territory since my last bullish review. The fund did see an income cut in January, which was not a great sign. Then this month, we were hit with another cut announcement. This makes me less bullish on the fund.

NEW YORK , April 10, 2023 /PRNewswire/ -- Effective immediately, portfolio manager responsibilities for Nuveen Municipal High Income Opportunity Fund (NYSE: NMZ),  Nuveen Taxable Municipal Income Fund (NYSE: NBB), Nuveen Municipal Credit Opportunities Fund (NYSE: NMCO), and Nuveen Dynamic Municipal Opportunities Fund (NYSE: NDMO) have been updated.

We will go over our thesis as to how a diversified income method with low volatility could make you financially independent. We regularly write about multi-basket income strategies with an in-built hedging mechanism to keep the drawdowns to a minimum. They provide not only consistent income but also long-term growth with 30% less volatility.

We review closed-end fund market valuation and performance through the second week of January and highlight recent market action. CEFs continue to power ahead, stringing together two strong weeks in a row.

Presenting our 2022 year-end review of our 8% Income Portfolio. This high-income portfolio earned over $29,000 in distributions (including year-end special distributions) amounting to over 14% yield-on-cost basis.

The BlackRock Taxable Municipal Bond Trust benchmarks against the Bloomberg Taxable Municipal Bond USD index. The Nuveen Taxable Municipal Income Fund benchmarks against the same benchmark. I wasn't able to find information on the benchmark, but not critical since both are actively managed.