The fund has been developed with a strategy to offer investors current income as a primary objective and total return as a secondary objective.
According to wealth manager, investors can avail income tax benefit by investing in the fund and such income may be included for purposes of the Federal alternative minimum tax.
The Fund has been managed by the MacKay Municipal Managers team of MacKay Shields under the supervision of Robert DiMella and John Loffredo.
MainStay Funds president Stephen Fisher said the firm believes that investors recognised the value of an opportunistic municipal bond strategy providing attractive tax-exempt income in the current economic climate.
"Bob and John have managed municipal credit and portfolio strategies together for 19 years and are supported by dedicated research and risk management personnel with an average of 20 years of experience," Fisher added.
MainStay Investments, the mutual fund distribution arm of New York Life manages more than $60bn in mutual fund assets under management, as of 31 March 2012.
