Muni ETF Overview

Muni bond ETFs invest in municipal bonds. These bonds are issued by a local government or territory, or their agencies. One of the attractive features of municipal bonds is that interest income is excluded from gross income for federal income tax purposes.

Municipal bond ETFs are part of the following ETF.com market segments:

With 44 ETFs traded in the U.S. markets, Muni ETFs gather total assets under management of $22.17B. The average expense ratio is 0.35%. Muni ETFs can be found in the following asset classes:

  • Fixed Income

The largest Muni ETF is the iShares National Muni Bond ETF MUB with $9.73B in assets. In the last trailing year, the best performing Muni ETF was the HYMB at 4.10%. The most-recent ETF launched in the Muni space was the First Trust Short Duration Managed Municipal ETF FSMB in 11/01/18.

TOP ETF PERFORMERS

MMIT IQ MacKay Municipal Intermediate ETF 2.65%
CUMB Virtus Cumberland Municipal Bond ETF 1.03%
XMPT VanEck Vectors CEF Municipal Income ETF 0.86%
ITM VanEck Vectors AMT-Free Intermediate Municipal Index ETF 0.73%
PWZ Invesco California AMT-Free Municipal Bond ETF 0.72%

BOTTOM ETF PERFORMERS

TAXF American Century Diversified Municipal Bond ETF -0.66%
FCAL First Trust California Municipal High Income ETF -0.46%
FLMI Franklin Liberty Intermediate Municipal Opportunities ETF -0.34%
BAB Invesco Taxable Municipal Bond ETF -0.12%
SMMU PIMCO Short Term Municipal Bond Active ETF -0.08%

TOP CREATIONS

TFI SPDR Nuveen Bloomberg Barclays Municipal Bond ETF 222.43
SUB iShares Short-Term National Muni Bond ETF 151.43
HMOP Hartford Municipal Opportunities ETF 90.16
PWZ Invesco California AMT-Free Municipal Bond ETF 41.69
MEAR iShares Short Maturity Municipal Bond ETF 32.37

TOP REDEMPTIONS

HYD VanEck Vectors High-Yield Municipal Index ETF -276.94
PZA Invesco National AMT-Free Municipal Bond ETF -65.44
ITM VanEck Vectors AMT-Free Intermediate Municipal Index ETF -41.85
MUB iShares National Muni Bond ETF -21.74
BAB Invesco Taxable Municipal Bond ETF -20.24

AUM WINNERS

HMOP Hartford Municipal Opportunities ETF 373.70%
PWZ Invesco California AMT-Free Municipal Bond ETF 29.89%
IBMM iShares iBonds Dec 2024 Term Muni Bond ETF 23.60%
FMHI First Trust Municipal High Income ETF 8.22%
MUST Columbia Multi-Sector Municipal Income ETF 6.63%

AUM LOSERS

CUMB Virtus Cumberland Municipal Bond ETF -10.04%
SHYD VanEck Vectors Short High-Yield Municipal Index ETF -9.86%
MLN VanEck Vectors AMT-Free Long Municipal Index ETF -9.23%
HYD VanEck Vectors High-Yield Municipal Index ETF -8.04%
PZT Invesco New York AMT-Free Municipal Bond ETF -4.04%

Daily ETF Watch

ETF Week: Pet Care ETF Debuts

There were several key launches this week.

Daily ETF Watch

First Trust Debuts 2 Muni ETFs

Both actively managed funds target securities with shorter durations.

Daily ETF Watch

ETF Week: Motley Fool, JP Morgan Add Funds

It was a strong week for launches, with a half-dozen products making their debut.

Daily ETF Watch

JP Morgan Expands Muni ETF Lineup

New fund targets the intermediate-term space.

ETF Strategist Corner

What To Do When Bonds Fall Short

Bonds having terrible year, but there’s plenty investors can do to hedge risk. 

Daily ETF Watch

ETF Week: eSports ETF Launches

Unique eSports fund is one of just three ETF launches this week.

Daily ETF Watch

JP Morgan Rolls Out Muni ETF

Actively managed fund invests in short-term municipal debt.

Daily ETF Watch

ETF Week: Low-Cost Country Funds Debut

Franklin Templeton added to its lineup of country and regional ETFs, among other events during the week.

Features and News

Revisiting ETF Asset Allocation As Yields Rise

ETF strategists offer their views on what ETF investors are to do in the face of rising rates.