FSMB

First Trust Short Duration Managed Municipal ETF

$20.07

+0.00%

Market closed. Last update: 10:58 PM ET

📎 Investment Objective

The First Trust Short Duration Managed Municipal ETF (FSMB) seeks to provide current income that is generally exempt from regular federal income taxes by investing primarily in a portfolio of municipal debt securities with short-term maturities.

Overview

ETF tracking First Trust Short Duration Managed Municipal ETF

Category Municipal Bonds

Issuer First Trust

Inception Date 2018-11-02

Market Cap $484.7M

Average Volume N/A

Dividend Yield 2.57%

52-Week Range $19.58 - $20.20

VWAP $20.07

Performance

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Investment Summary

📎 Investment Objective

🎯 Investment Strategy

The fund invests in a diversified portfolio of municipal bonds and other municipal debt securities, focusing on those with short-term maturities, typically less than 5 years. The portfolio is actively managed, with the goal of maintaining a low duration profile to help mitigate interest rate risk.

✨ Key Features

Focuses on municipal bonds with short-term maturities, typically less than 5 years
Actively managed portfolio to maintain a low duration profile
Seeks to provide current income that is generally exempt from regular federal income taxes
Low expense ratio of 0.00%

⚠️ Primary Risks

Interest rate risk: The value of the fund's holdings may decline if interest rates rise
Credit risk: The fund is exposed to the risk of default or downgrade of the municipal bonds it holds
Liquidity risk: The municipal bond market may experience periods of low liquidity, 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 the municipal bonds held by the fund

👤 Best For

This ETF may be suitable for investors seeking current income that is generally exempt from regular federal income taxes, with a low-to-moderate risk tolerance and a short-term investment horizon. It may be particularly appealing to investors looking to manage interest rate risk in their fixed-income allocation.