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:
- Fixed Income U.S. Municipals Build America Bonds
- Fixed Income California Municipals Investment Grade
- Fixed Income U.S. Municipals
- Fixed Income U.S. Municipals High Yield
- Fixed Income U.S. Municipals Investment Grade Short Term
- Fixed Income U.S. Municipals Investment Grade Intermediate
- Fixed Income New York Municipals Investment Grade
- Fixed Income U.S. Municipals VRDO Floating Rate
With 63 ETFs traded on the U.S. markets, Muni ETFs have total assets under management of $69.80B. The average expense ratio is 0.34%. 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 $25.31B in assets. In the last trailing year, the best-performing Muni ETF was FMHI at 5.91%. The most recent ETF launched in the Muni space was the IQ MacKay California Municipal Intermediate ETF MMCA on 12/21/21.