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 56 ETFs traded in the U.S. markets, Muni ETFs gather total assets under management of $46.18B. The average expense ratio is 0.33%. 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 $17.30B in assets. In the last trailing year, the best performing Muni ETF was the BAB at 8.68%. The most-recent ETF launched in the Muni space was the Overlay Shares Municipal Bond ETF OVM in 09/30/19.

Top ETF Performers

FMHI First Trust Municipal High Income ETF 3.60%
BAB Invesco Taxable Municipal Bond ETF 3.58%
HYMB SPDR Nuveen Bloomberg Barclays High Yield Municipal Bond ETF 3.25%
HYD VanEck Vectors High-Yield Municipal Index ETF 2.44%
SHYD VanEck Vectors Short High-Yield Municipal Index ETF 2.35%

Bottom ETF Performers

IBMO iShares iBonds Dec 2026 Term Muni Bond ETF -0.58%
IBMK iShares iBonds Dec 2022 Term Muni Bond ETF -0.34%
CMF iShares California Muni Bond ETF -0.32%
IBMJ iShares iBonds Dec 2021 Term Muni Bond ETF -0.31%
TFI SPDR Nuveen Bloomberg Barclays Municipal Bond ETF -0.25%

Top Creations

MUB iShares National Muni Bond ETF 883.30
PZA Invesco National AMT-Free Municipal Bond ETF 468.82
SUB iShares Short-Term National Muni Bond ETF 209.67
SHM SPDR Nuveen Bloomberg Barclays Short Term Municipal Bond ETF 114.61
BAB Invesco Taxable Municipal Bond ETF 94.50

Top Redemptions

HMOP Hartford Municipal Opportunities ETF -43.88
SHYD VanEck Vectors Short High-Yield Municipal Index ETF -9.38
IBMI iShares iBonds Sep 2020 Term Muni Bond ETF -6.38
MLN VanEck Vectors AMT-Free Long Municipal Index ETF -4.19
MCEF First Trust Municipal CEF Income Opportunity ETF 0

AUM Winners

PZA Invesco National AMT-Free Municipal Bond ETF 24.87%
SMMU PIMCO Short Term Municipal Bond Active ETF 17.33%
BSMM Invesco BulletShares 2022 Municipal Bond ETF 16.80%
BSML Invesco BulletShares 2021 Municipal Bond ETF 16.67%
JMST JPMorgan Ultra-Short Municipal Income ETF 15.44%

AUM Losers

HMOP Hartford Municipal Opportunities ETF -32.85%
IBMI iShares iBonds Sep 2020 Term Muni Bond ETF -0.94%
SHYD VanEck Vectors Short High-Yield Municipal Index ETF -0.59%
IBMN iShares iBonds Dec 2025 Term Muni Bond ETF 0.04%
SMB VanEck Vectors AMT-Free Short Municipal Index ETF 0.22%

Podcasts

ETF Prime Podcast: ETF Labeling Debate Erupts

Plus, spotlighting actively managed muni bond ETFs.

Features and News

Muni ETFs Walk Into Spotlight

From Fed buying to state bankruptcies, the segment has been the center of a lot of talk.

Features and News

Federal Reserve Will Buy Junk Bond ETFs

The central bank expanded the scope of its Secondary Market Corporate Credit Facility.

Features and News

March Market Madness Unprecedented

Investors have never ridden such a wild ride.

Features and News

Negative Interest Rates Coming To US?

We discuss the possibility of negative rates and what it means for investors.

Features and News

Why Many Bond ETFs Now Trading At Discounts

Legendary market maker Reggie Browne explains why thinning bond liquidity reveals the need for a new fixed income market structure.

Features and News

What’s Ahead For Fixed Income Investors

Rieger Report’s JR Rieger breaks down the outlook and the opportunities in fixed income this year.

Features and News

Rethinking Fixed Income ETF Investing

JP Morgan’s Bryon Lake breaks down what income investing looks like in a world of compressed yields.

Features and News

How A Successful ETF Issuer Is Born

Jan Van Eck, head of the 7th largest ETF issuer today, VanEck, details his trajectory to ETF success, and his outlook for future opportunities.