CGMU

Capital Group Municipal Income ETF

$27.36

+0.00%

Market closed. Last update: 10:58 PM ET

📎 Investment Objective

The Capital Group Municipal Income ETF (CGMU) seeks to provide current income that is exempt from federal income tax by investing primarily in municipal bonds.

Overview

ETF tracking Capital Group Municipal Income ETF

Category Municipal Bonds

Issuer Other

Inception Date 2022-10-27

Market Cap $4.1B

Average Volume N/A

Dividend Yield 2.75%

52-Week Range $26.20 - $27.50

VWAP $27.41

Performance

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Investment Summary

📎 Investment Objective

The Capital Group Municipal Income ETF (CGMU) seeks to provide current income that is exempt from federal income tax by investing primarily in municipal bonds.

🎯 Investment Strategy

The fund invests in a diversified portfolio of municipal bonds, focusing on investment-grade securities. The portfolio managers use fundamental research and active management to identify undervalued municipal bonds with the potential for attractive risk-adjusted returns.

✨ Key Features

Invests primarily in municipal bonds to generate tax-exempt income
Actively managed portfolio aiming to identify undervalued municipal securities
Diversified exposure to the municipal bond market
No minimum investment required

⚠️ Primary Risks

Interest rate risk: The value of municipal bonds may decline when interest rates rise
Credit risk: The fund is exposed to the risk of default or downgrade of the municipal bonds it holds
Liquidity risk: Municipal bonds may be less liquid than other fixed-income securities, which could affect the fund's ability to sell its holdings
Tax risk: Changes in tax laws or adverse determinations by tax authorities could affect the tax-exempt status of municipal bonds

👤 Best For

This ETF may be suitable for investors seeking tax-exempt income and exposure to the municipal bond market. It may be particularly attractive for investors in higher tax brackets who are looking to generate income while minimizing their tax liability. However, investors should be aware of the risks associated with municipal bonds and be willing to hold the fund for the medium to long term.