To figure your tax equivalent yield, simply divide the bond fund yield by 1 minus your marginal tax rate. For instance, if the muni is yielding 7.2% and you are in the 28% tax bracket, your taxable equivalent yield would be 10% (7.2%/(1-0.28) = 10%).
You can buy individual muni bonds, but funds are a better choice for most investors since they offer instant diversification.
Interest in telecoms is mostly confined to the major companies like AT&T (T - Get Report) and Verizon (VZ - Get Report), but I've found rich yields and a compelling story in a largely ignored part of the telecom sector -- rural landline phone companies.
These quaint relics of an earlier age throw off huge cash flow and pay healthy dividends. Some, such as Frontier Communications (FTR - Get Report), have yielded up to 14% at some points this year (the yield is now around 9%).The rural areas these companies serve are too small to interest the big cable and wireless companies. As a result, there is little price competition. You might expect their revenue to be shrinking, but that's not the case. The reason is broadband Internet service. To be sure, customers are shedding landlines in favor of cellular service, but they are also signing up for broadband. For most of these companies, broadband is only a tiny fraction of their revenue base, so there are still plenty of growth opportunities to continue powering yields.