FRGDUX

About FRGDUX

First Trust Tax-Exempt Municipal Income Trust 305 is a unit investment trust designed to provide investors with a stream of income that is exempt from federal income taxes. The trust primarily invests in a diversified portfolio of municipal bonds issued by various U.S. state and local governments or related agencies. These bonds are selected for their income-generating potential and their tax-advantaged status, making the trust well-suited for investors seeking to reduce their tax liability while preserving capital. First Trust implements a 'buy and hold' approach for this trust, meaning the underlying bonds are held until the trust’s maturity date, which supports stable income distributions over the trust's lifespan and helps minimize turnover costs. The trust targets individuals and institutions looking to balance steady, tax-free income with relative capital preservation. As part of a broad suite of municipal income products from First Trust, this trust plays a significant role in fixed-income portfolios by offering diversification and exposure to the municipal debt sector, while aiming to help investors meet long-term income objectives in a tax-efficient manner.