First muni ETF debuts on AMEX

The iShares S&P National Municipal Bond Fund from Barclays Global Investors won’t be the last.
SEP 10, 2007
By  Bloomberg
The first exchange traded fund to invest in municipal bonds began trading today on the American Stock Exchange. The iShares S&P National Municipal Bond Fund from Barclays Global Investors of San Francisco, however, won’t be the last muni ETF. Barclays plans to launch additional such ETFs. And State Street Global Advisors of Boston, Van Eck Global in New York, and PowerShares Capital Management LLC of Wheaton, Ill., have all filed to offer their own muni ETFs. The new Barclays’ ETF will follow the S&P National Municipal Bond Index, which includes bonds from issuers that are primarily state or local governments or agencies such that the interest in the bond is exempt from U.S. federal income taxes. Each bond must have a rating of at least BBB- and must have a minimum par amount outstanding of $50 million. The ETF will have an expense ratio of 0.25%. “Investors have been looking for a simple and cost-effective method of gaining exposure to the municipal market, which is traditionally a less liquid and expensive marketplace especially for those building a portfolio of individual issues,” Noel Archard, head of U.S. iShares Product Development, said in a statement. “The iShares S&P National Municipal Bond Fund looks to solve those problems. BGI applied its quantitative investment management expertise to deliver what it believes is a quality municipal ETF accessible to investors.”

Latest News

Advisor AI startup Zeplyn adds ex-LPL leader Kabir Sethi to board
Advisor AI startup Zeplyn adds ex-LPL leader Kabir Sethi to board

The two-decade veteran, whose career also includes a stint at Merill Lynch, will help shape strategy for the Google engineer-founded fintech.

US wholesale inflation surprises on food, energy prices
US wholesale inflation surprises on food, energy prices

The latest PPI print, clocking in north of 3 percent, adds to concerns that inflation is far from tamed.

Robinhood earnings surge as TradePMR acquisition plan rolls along
Robinhood earnings surge as TradePMR acquisition plan rolls along

The DIY investment giant's positive earnings surprise, surpassing $1 billion in revenue for the first time, puts it on strong footing for future expansion.

Advisors expect revenue boost this year as Secure 2.0 provisions kick in
Advisors expect revenue boost this year as Secure 2.0 provisions kick in

Most retirement plan specialists anticipate gain of up to 10%.

Debt has become a way of life for working Americans, report warns
Debt has become a way of life for working Americans, report warns

And they would have to work extra hard to pay it off.

SPONSORED Record growth: Interval funds emerge as key players in alternative investments

Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies

SPONSORED Taylor Matthews on what's behind Farther's rapid growth

From 'no clients' to reshaping wealth management, Farther blends tech and trust to deliver family-office experience at scale.