Weekly Channel Summary
The Municipal ETF channel, comprising 139 funds from 49 issuers, holds total assets of $219.19 billion. Investors added a substantial $1.97 billion to the space over the past week, bringing year-to-date net inflows to $33.58 billion. Over the last twelve months, the channel has attracted a total of $57.52 billion in new assets.
This Week’s Performance Leaders and Laggards
Short-term municipal bond ETFs provided the best returns this week, posting an average gain of 0.13%. Conversely, High Yield was the only category to finish in the red, declining by 0.09%. Despite the weekly loss, the High Yield category maintains its lead on a year-to-date basis with a total return of 1.60%.
Category Performance Snapshot
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Municipal – Short | 0.13% | -0.19% | 0.29% | 0.33% | 0.89% | 2.34% |
| Municipal – Long | 0.05% | -2.45% | -0.79% | 0.04% | 0.71% | 7.61% |
| Municipal – Intermediate | 0.04% | -1.60% | -0.55% | -0.38% | 0.29% | 5.13% |
| Municipal – Single State | 0.00% | -1.59% | -0.47% | -0.34% | 0.33% | 5.20% |
| Municipal – High Yield | -0.09% | -1.79% | 0.14% | 1.12% | 1.60% | 7.25% |
Top & Bottom 5 ETFs by Weekly Performance
Among individual funds, the VanEck Short High Yield Muni ETF (SHYD) was the week’s top performer with a 0.40% gain. At the bottom of the performance table was the Xtrackers Municipal Infrastructure Revenue Bond ETF (RVNU), which fell 0.68%. This wide performance gap highlights the varied results across different segments of the municipal market.
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| Top Performers | ||
| SHYD | VanEck Short High Yield Muni ETF | 0.40% |
| FTCA | Franklin California Municipal Income ETF | 0.28% |
| PVI | Invesco Floating Rate Municipal Income ETF | 0.28% |
| APMU | ActivePassive Intermediate Municipal Bond ETF | 0.27% |
| SCMB | Schwab Municipal Bond ETF | 0.24% |
| Bottom Performers | ||
| RVNU | Xtrackers Municipal Infrastructure Revenue Bond ETF | -0.68% |
| FMUN | Fidelity Systematic Municipal Bond Index ETF | -0.55% |
| MFLX | First Trust Flexible Municipal High Income ETF | -0.44% |
| FTNY | Franklin New York Municipal Income ETF | -0.39% |
| BMOP | BNY Mellon Municipal Opportunities ETF | -0.38% |
Analyzing the Weekly Flows
Municipal ETFs saw significant demand with net inflows totaling $1.97 billion for the week. The Intermediate category was the primary driver of this trend, attracting over $1.5 billion in new assets. Long-term municipal funds were the sole category to experience net redemptions, with investors pulling $79 million.
Category Flows Summary
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Municipal – Intermediate | 57 | $142.97B | $1,527M | $2,514M | $10,428M | $19,525M | $33,277M |
| Municipal – High Yield | 19 | $17.05B | $238M | $501M | $1,868M | $2,410M | $6,254M |
| Municipal – Single State | 29 | $18.19B | $164M | $512M | $2,350M | $4,239M | $5,810M |
| Municipal – Short | 25 | $33.79B | $117M | $750M | $2,800M | $4,590M | $8,805M |
| Municipal – Long | 9 | $7.19B | -$79M | $40M | $466M | $2,812M | $3,370M |
Top & Bottom 5 ETFs by 5-Day Flow
The Vanguard Tax-Exempt Bond ETF (VTEB) led all funds, gathering $588 million in fresh capital, followed closely by the iShares National Muni Bond ETF (MUB). On the other hand, the iShares Long-Term National Muni Bond ETF (LMUB) saw the largest outflows at $91 million. The VanEck High Yield Muni ETF (HYD) also experienced notable redemptions of $23 million.
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| Inflows | ||
| VTEB | Vanguard Tax-Exempt Bond ETF | $588M |
| MUB | iShares National Muni Bond ETF | $496M |
| HYMB | State Street SPDR Nuveen ICE High Yield Municipal Bond ETF | $159M |
| JMUB | JPMorgan Municipal ETF | $122M |
| TFI | State Street SPDR Nuveen ICE Municipal Bond ETF | $85M |
| Outflows | ||
| LMUB | iShares Long-Term National Muni Bond ETF | -$91M |
| HYD | VanEck High Yield Muni ETF | -$23M |
| ITM | VanEck Intermediate Muni ETF | -$18M |
| TAXX | BondBloxx IR+M Tax-Aware Short Duration ETF | -$11M |
| BAB | Invesco Taxable Municipal Bond ETF | -$8M |
Issuer League Table Update
The issuer landscape remains concentrated, with iShares and Vanguard controlling a combined 57.4% of the channel’s assets. Vanguard had the most successful week, leading all issuers with $755 million in net inflows. In contrast, VanEck recorded the largest net outflows among issuers, totaling $40 million for the week.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| iShares | 10 | $69.79B | 31.84% |
| Vanguard | 8 | $56.05B | 25.57% |
| JPMorgan | 6 | $17.17B | 7.83% |
| Capital Group | 3 | $11.26B | 5.14% |
| SPDR | 4 | $9.81B | 4.48% |
Top & Bottom 3 Issuers by 5-Day Flow
| Brand | 5-Day Flow |
|---|---|
| Inflows | |
| Vanguard | $755M |
| iShares | $535M |
| SPDR | $244M |
| Outflows | |
| VanEck | -$40M |
| BondBloxx | -$11M |
| Invesco | -$5M |
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.
