Oppenheimer Rochester Intermediate Term Municipal Fund is designed to generate a steady and stable, tax-free yield that has historically outperformed bank certificates of deposit (CD) and savings accounts, albeit with different risk characteristics.
Oppenheimer Rochester offers many options for your investing needs. Our fund managers are keenly aware that investors seeking tax-free income have varied financial objectives and needs. We bring nearly three decades of expertise to management of our 20 Oppenheimer Rochester municipal bond funds. We employ the same time-tested, security-specific investment strategies that have historically delivered highly competitive yields. We believe these strategies have lessened our investors’ exposure to market risk over the long term.
Fixed income investing entails credit and interest rate risks. Interest rate risk is the risk that rising interest rates, or an expectation of rising interest rates in the near future, will cause the values of a Fund’s investments to decline. Risks associated with rising interest rates are heightened given that rates in the U.S. are at, or near, historic lows. When interest rates rise, bond prices fall and a fund’s share price can fall. Municipal bonds are subject to default on income and principal payments. Further, a portion of some funds’ distributions may be taxable and may increase alternative minimum tax (AMT) for investors subject to that tax; distributions from net realized capital gains are taxable as capital gains.
The funds invest in below-investment-grade debt securities, which may entail greater credit risks, as described in each fund’s prospectus. These securities (sometimes called “junk bonds”) may be subject to greater price fluctuations and risks of loss of income and principal than investment-grade municipal securities. The funds may invest substantially in municipal securities within a single state or related to similar type projects, which can increase volatility and exposure to regional issues. This Fund may invest in Puerto Rico and other U.S. territories, commonwealths and possessions, and could be exposed to their local political and economic conditions.