Muni ETFs Attract $1.12B; Intermediate & High Yield Lead Demand

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Weekly Channel Summary

The FI: Municipal channel currently tracks 131 ETFs across 46 issuers, with a total AUM of $180B. The channel experienced positive momentum this week, gathering $1.12B in net inflows over the past 5 days. This continues a strong longer-term trend, with Year-to-Date inflows reaching $35.78B and 1-Year net flows totaling $36.05B.

This Week’s Performance Leaders and Laggards

Performance was relatively flat across the board this week, with the Short duration category leading the pack with a modest 0.06% return. On the downside, the High Yield and Long categories were the week’s laggards, both posting returns of -0.04%. Despite the slight dip this week, High Yield remains a strong performer Year-to-Date with a 3.63% return, while the Short category is up 3.68% YTD.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Short 0.06% 0.23% 0.29% 2.15% 3.68% 3.44%
Intermediate 0.00% -0.03% 1.25% 4.55% 4.27% 3.29%
Single State -0.02% -0.13% 1.26% 4.34% 2.90% 2.02%
Long -0.04% -0.34% 1.70% 5.45% 2.09% 0.95%
High Yield -0.04% -0.17% 1.33% 4.58% 3.63% 2.16%

Top & Bottom 5 ETFs by Weekly Performance

Among individual funds, the TAXS (Northern Trust Short-Term Tax-Exempt Bond ETF) claimed the top spot with a return of 0.17%. Conversely, the RTAI (Rareview Tax Advantaged Income ETF) and XMPT (VanEck CEF Muni Income ETF) lagged behind, posting losses of -0.52% and -0.50%, respectively.

Ticker Fund Name WTD Performance
Top Performers
TAXS Northern Trust Short-Term Tax-Exempt Bond ETF 0.17%
HTAX Nomura National High-Yield Municipal Bond ETF 0.16%
RJMI RJ Eagle Municipal Income ETF 0.14%
ZTAX X-Square Municipal Income ETF 0.12%
INTM Invesco Intermediate Municipal ETF 0.11%
Bottom Performers
RTAI Rareview Tax Advantaged Income ETF -0.52%
XMPT VanEck CEF Muni Income ETF -0.50%
OVM Overlay Shares Municipal Bond ETF -0.21%
PWZ Invesco California AMT-Free Municipal Bond ETF -0.17%
PZT Invesco New York AMT-Free Municipal Bond ETF -0.13%

Analyzing the Weekly Flows

The channel attracted a robust $1,115M in net inflows this week. The Intermediate category, which holds $120.0B in AUM, was the primary beneficiary, pulling in the most capital. The High Yield category also saw significant interest with notable inflows, while the Long category was the only segment to experience net outflows.

Category Flows Summary

Category Fund Count AUM 5 Day 30 Day 90 Day YTD 1 Year
Intermediate 52 $120.0B $552M $1,876M $8,767M $19,936M $19,866M
High Yield 18 $14.5B $281M $604M $1,362M $4,591M $4,553M
Short 24 $27.6B $181M $783M $1,952M $7,741M $7,952M
Single State 28 $13.4B $120M $343M $1,535M $3,068M $3,249M
Long 9 $4.4B ($2M) ($56M) $390M $441M $431M

Top & Bottom 5 ETFs by 5-Day Flow

The HYD (VanEck High Yield Muni ETF) led all funds in asset gathering. On the other end of the spectrum, the PZA (Invesco National AMT-Free Municipal Bond ETF) and FTCA (Franklin California Municipal Income ETF) saw the most significant outflows.

Ticker Fund Name 5-Day Flow
Inflows
HYD VanEck High Yield Muni ETF $230M
VTEB Vanguard Tax-Exempt Bond ETF $147M
JMST JPMorgan Ultra-Short Municipal Income ETF $87M
JMUB JPMorgan Municipal ETF $76M
CMF iShares California Muni Bond ETF $66M
Outflows
PZA Invesco National AMT-Free Municipal Bond ETF ($13M)
FTCA Franklin California Municipal Income ETF ($10M)
FTNY Franklin New York Municipal Income ETF ($4M)
NYM AB New York Intermediate Municipal ETF ($4M)
FTMH Franklin Municipal High Yield ETF ($3M)

Issuer League Table Update

iShares and Vanguard continue to dominate the landscape, holding 33.76% and 26.56% of market share, respectively. This week, Vanguard gathered the most in weekly inflows, while AB Funds saw the largest outflows among the top issuers.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
iShares 10 $60.74B 33.76%
Vanguard 8 $47.78B 26.56%
JPMorgan 4 $12.55B 6.98%
SPDR 5 $9.41B 5.23%
Capital Group 3 $7.95B 4.42%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
Vanguard $257M
VanEck $242M
JPMorgan $162M
Outflows
AB Funds ($1M)
aberdeen $0M
Allspring $0M

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.