PMO

Putnam Municipal Opportunities Trust is a diversified, closed-end management investment company that invests primarily in tax-exempt municipal securities. The fund operates under the investment management of Putnam Investment Management, LLC, a subsidiary of Great-West Lifeco Inc. PMO focuses on providing investors with current income exempt from federal income tax while preserving capital through a portfolio of investment-grade and below-investment-grade municipal bonds. The trust employs a leveraged strategy to enhance returns, utilizing borrowings and reverse repurchase agreements to increase its investment exposure to municipal securities across various sectors including healthcare, education, transportation, and utilities. PMO invests in obligations issued by state and local governments and agencies throughout the United States, with holdings spanning general obligation bonds, revenue bonds, and private activity bonds. The fund typically maintains a portfolio of 300-400 individual municipal securities to achieve diversification across issuers and sectors. As a closed-end fund, PMO trades on the New York Stock Exchange with a fixed number of shares, often at a premium or discount to its net asset value. The trust pays monthly distributions to shareholders, making it attractive to income-focused investors seeking tax-advantaged returns. Putnam's experienced municipal bond team actively manages the portfolio, conducting credit analysis and market research to identify opportunities across the municipal bond market.