average interest rate on municipal bonds
Over the longer-term, however, the returns of municipal bonds have been fairly close to those of the investment-grade market. As of December 31, 2013, the 10-year average annual total return of the Barclays Municipal Bond Index was 4.29%, close to the 4.55% return of the Barclays Aggregate. Keep in mind, however, that this isn't an apples-to-apples comparison since the interest on municipal bonds is tax-free.