Weekly Channel Summary
The Fixed Income: Municipal ETF channel closed the week representing a total of 136 ETFs and 47 distinct issuers, managing a combined $196.2B in Assets Under Management (AUM). Over the past week, the channel attracted net positive flows of $356M. This adds to a robust longer-term growth trend, with Year-to-Date (YTD) inflows reaching $7.84B and a formidable $42.75B gathered over the past year.
This Week’s Performance Leaders and Laggards
Performance across municipal bonds faced broad headwinds this week. The Short duration category fared best, dropping only -0.23% for the week, while maintaining a 0.83% gain YTD. On the opposite end of the spectrum, the Long duration category was the most sensitive to recent moves, shedding -1.02% for the week, though it still holds a YTD return of 1.19%.
Category Performance Snapshot
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Short | -0.23% | 0.08% | 1.12% | 1.68% | 0.83% | 3.73% |
| Intermediate | -0.80% | 0.07% | 1.59% | 4.11% | 1.25% | 4.88% |
| Single State | -0.81% | 0.12% | 1.51% | 4.20% | 1.14% | 3.91% |
| High Yield | -0.83% | 0.28% | 1.89% | 5.08% | 1.56% | 3.97% |
| Long | -1.02% | 0.23% | 1.52% | 5.21% | 1.19% | 3.54% |
Top & Bottom 5 ETFs by Weekly Performance
Drilling down into individual funds, the ZMUN (F/m Ultrashort Tax-Free Municipal ETF) outpaced the rest of the field as the single best-performing fund, registering a slight positive return. Meanwhile, the two worst-performing funds were PZT (Invesco New York AMT-Free Municipal Bond ETF) and BAB (Invesco Taxable Municipal Bond ETF), which declined noticeably more than their peers.
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| Top Performers | ||
| ZMUN | F/m Ultrashort Tax-Free Municipal ETF | 0.08% |
| PVI | Invesco Floating Rate Municipal Income ETF | 0.03% |
| AMUN | Abrdn Ultra Short Muncipal Income Active ETF | 0.00% |
| GUMI | Goldman Sachs Ultra Short Municipal Income ETF | -0.01% |
| FUMB | First Trust Ultra Short Duration Municipal ETF | -0.01% |
| Bottom Performers | ||
| PZT | Invesco New York AMT-Free Municipal Bond ETF | -1.35% |
| BAB | Invesco Taxable Municipal Bond ETF | -1.29% |
| LMUB | iShares Long-Term National Muni Bond ETF | -1.24% |
| XMPT | VanEck CEF Muni Income ETF | -1.21% |
| NMB | Simplify National Muni Bond ETF | -1.17% |
Analyzing the Weekly Flows
In terms of asset gathering, the overall municipal channel added $356M in net new money this week. The Intermediate category commanded the largest slice of inflows, netting $125M against its $129.7B AUM base. The Short category was close behind, securing $122M. Conversely, the Long category experienced light pressure, leading the outflows with -$14M leaving the space.
Category Flows Summary
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Intermediate | 56 | $129.7B | $125M | $465M | $4,094M | $6,218M | $24,076M |
| Short | 25 | $30.5B | $122M | $494M | $2,435M | $1,036M | $8,619M |
| Single State | 28 | $15.1B | $93M | $542M | $1,742M | $1,218M | $3,643M |
| High Yield | 18 | $15.9B | $29M | $301M | $1,581M | $1,008M | $5,367M |
| Long | 9 | $5.0B | -$14M | $126M | $481M | $529M | $1,047M |
Top & Bottom 5 ETFs by 5-Day Flow
At the fund level, the MUB (iShares National Muni Bond ETF) topped the inflow leaderboard this week with $43M in new assets. Conversely, the VTEB (Vanguard Tax-Exempt Bond ETF) and the PZA (Invesco National AMT-Free Municipal Bond ETF) suffered the heaviest losses, shedding -$147M and -$15M respectively.
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| Inflows | ||
| MUB | iShares National Muni Bond ETF | $43M |
| CGMU | Capital Group Municipal Income ETF | $43M |
| VTES | Vanguard Short-Term Tax Exempt Bond ETF | $38M |
| CGSM | Capital Group Short Duration Municipal Income ETF | $38M |
| SCMB | Schwab Municipal Bond ETF | $36M |
| Outflows | ||
| VTEB | Vanguard Tax-Exempt Bond ETF | -$147M |
| PZA | Invesco National AMT-Free Municipal Bond ETF | -$15M |
| FUMB | First Trust Ultra Short Duration Municipal ETF | -$8M |
| TFI | State Street SPDR Nuveen ICE Municipal Bond ETF | -$5M |
| BKMI | BNY Mellon Municipal Intermediate ETF | -$3M |
Issuer League Table Update
iShares and Vanguard firmly hold the top two spots in issuer market share for municipal ETFs. iShares further solidified its commanding lead this week by securing the most assets with $112M in inflows. Vanguard, despite its massive base, found itself at the bottom of the weekly flow chart, seeing the largest outflows at -$31M.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| iShares | 10 | $64.22B | 32.74% |
| Vanguard | 8 | $49.09B | 25.03% |
| JPMorgan | 4 | $13.85B | 7.06% |
| SPDR | 5 | $9.56B | 4.88% |
| Capital Group | 3 | $9.26B | 4.72% |
Top & Bottom 3 Issuers by 5-Day Flow
| Brand | 5-Day Flow |
|---|---|
| Inflows | |
| iShares | $112M |
| Capital Group | $94M |
| Schwab | $36M |
| Outflows | |
| Vanguard | -$31M |
| Invesco | -$10M |
| BNY Mellon | -$7M |
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.
