Weekly Channel Summary
The Municipal ETF channel holds $222.37 billion in assets under management across 139 funds from 49 different issuers. Investors continued to allocate capital to the space, adding $1,679 million in net inflows over the past week. This brings the year-to-date total to a robust $40.11 billion, while the one-year figure now stands at an impressive $58.97 billion.
This Week’s Performance Leaders and Laggards
Most municipal bond categories posted negative returns for the week as interest rates ticked higher. The Municipal – Short category proved most resilient, declining by a modest -0.14%, and it remains one of two categories in positive territory year-to-date. On the other end of the spectrum, Municipal – Long funds experienced the largest drop, falling -1.15% for the week.
Category Performance Snapshot
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Municipal – Short | -0.14% | 0.08% | 0.14% | 0.34% | 1.11% | 1.93% |
| Municipal – Single State | -0.74% | -1.21% | -1.97% | -1.73% | -0.55% | 2.88% |
| Municipal – Intermediate | -0.80% | -1.24% | -2.06% | -1.78% | -0.59% | 2.88% |
| Municipal – High Yield | -0.94% | -1.29% | -1.94% | -0.58% | 0.65% | 4.86% |
| Municipal – Long | -1.15% | -2.10% | -3.32% | -2.23% | -0.92% | 4.29% |
Top & Bottom 5 ETFs by Weekly Performance
Individual fund performance was led by actively managed, ultra-short duration strategies. The X-Square Municipal Income ETF (ZTAX) was the week’s top performer with a gain of 0.13%. Conversely, the Invesco New York AMT-Free Municipal Bond ETF (PZT) registered the largest decline, falling -2.05% over the period.
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| Top Performers | ||
| ZTAX | X-Square Municipal Income ETF | 0.13% |
| AMUN | Abrdn Ultra Short Muncipal Income Active ETF | 0.07% |
| GUMI | Goldman Sachs Ultra Short Municipal Income ETF | 0.07% |
| PUSH | PGIM Ultra Short Municipal Bond ETF | -0.01% |
| JMST | JPMorgan Ultra-Short Municipal Income ETF | -0.03% |
| Bottom Performers | ||
| PZT | Invesco New York AMT-Free Municipal Bond ETF | -2.05% |
| YYYM | Amplify Municipal CEF High Income ETF | -1.86% |
| XMPT | VanEck CEF Muni Income ETF | -1.65% |
| RTAI | Rareview Tax Advantaged Income ETF | -1.62% |
| MLN | VanEck Long Muni ETF | -1.51% |
Analyzing the Weekly Flows
Investor demand for municipal bond ETFs remained strong, with the channel attracting nearly $1.7 billion in net new assets. All five categories recorded positive inflows for the week, demonstrating broad-based interest. The Municipal – Intermediate category led the way, pulling in $786 million, while Municipal – High Yield funds saw the smallest, yet still positive, intake of $115 million.
Category Flows Summary
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Municipal – Intermediate | 57 | $143.94B | $786M | $3,004M | $8,255M | $22,860M | $34,655M |
| Municipal – Short | 25 | $34.93B | $387M | $1,288M | $3,205M | $5,967M | $9,463M |
| Municipal – Long | 9 | $7.38B | $252M | $388M | $582M | $3,200M | $3,589M |
| Municipal – Single State | 29 | $18.73B | $139M | $797M | $2,354M | $5,075M | $6,454M |
| Municipal – High Yield | 19 | $17.39B | $115M | $505M | $1,550M | $3,003M | $4,813M |
Top & Bottom 5 ETFs by 5-Day Flow
The Vanguard Tax-Exempt Bond ETF (VTEB) was the most popular fund, gathering $333 million in net new assets for the week. On the other side of the ledger, outflows were relatively muted across the channel. The Hartford Schroders Tax-Aware Bond ETF (HTAB) saw the largest redemption at -$46 million, followed by the State Street SPDR Nuveen ICE Municipal Bond ETF (TFI) with -$31 million in outflows.
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| Inflows | ||
| VTEB | Vanguard Tax-Exempt Bond ETF | $333M |
| MUB | iShares National Muni Bond ETF | $250M |
| LMUB | iShares Long-Term National Muni Bond ETF | $220M |
| VTES | Vanguard Short-Term Tax Exempt Bond ETF | $161M |
| CGMU | Capital Group Municipal Income ETF | $141M |
| Outflows | ||
| HTAB | Hartford Schroders Tax-Aware Bond ETF | -$46M |
| TFI | State Street SPDR Nuveen ICE Municipal Bond ETF | -$31M |
| JMUB | JPMorgan Municipal ETF | -$25M |
| HYD | VanEck High Yield Muni ETF | -$20M |
| ITM | VanEck Intermediate Muni ETF | -$14M |
Issuer League Table Update
The issuer landscape remains concentrated, with iShares and Vanguard controlling 31.66% and 25.59% of the market share, respectively. Vanguard led all issuers in weekly asset gathering, attracting $737 million in net inflows. Meanwhile, Hartford experienced the largest net redemptions for the week, with outflows totaling -$46 million.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| iShares | 10 | $70.41B | 31.66% |
| Vanguard | 8 | $56.90B | 25.59% |
| JPMorgan | 6 | $17.67B | 7.95% |
| Capital Group | 3 | $11.62B | 5.22% |
| SPDR | 4 | $9.98B | 4.49% |
Top & Bottom 3 Issuers by 5-Day Flow
| Brand | 5-Day Flow |
|---|---|
| Inflows | |
| Vanguard | $737M |
| iShares | $560M |
| Capital Group | $181M |
| Outflows | |
| Hartford | -$46M |
| VanEck | -$26M |
| Fidelity | -$13M |
For a deeper dive into these trends, access our FREE, in-depth Municipal ETF reports in the right side panel of this page.
Disclosures
This material is for informational purposes only and should not be considered investment advice. All investments, including ETFs, involve risk, including the possible loss of principal. Investors should consider their investment objectives, risks, charges, and expenses carefully before investing.
This analysis was developed by the team at ETF Action. We leverage advanced AI tools to assist in the drafting and refinement of our content, based on our expert prompts, direction, and final review.
