VanEck High Yield Muni ETF

HYD tracks a market value-weighted index of high-yield, tax-exempt US municipal bonds.

VanEck Short High Yield Muni ETF

With aggregate bond indexes flailing this year at the hands of rising interest rates, fixed income investors are understandably frustrated and wary about the asset class at large. However, this year's turbulence could be giving way to opportunities in the bond market, including with municipal bonds.

Opportunity Knocks With High Yield Muni Bonds

HYD is exactly why investors should not reach for yield in the modern bond market climate. It suckers investors in with the lure of "high yield, tax-free."

HYD: Even After Epic Drop, Still Not A Place To Hide

With the widely observed Bloomberg US Aggregate Bond Index down 11.55% year-to-date, it's easy to understand why fixed income investors are frustrated and why many are departing the related funds, including exchange traded funds.

Muni ETFs Could Be Just What Frustrated Bond Investors Need

Debate lingers regarding whether or not the U.S. economy is in a recession, but recent GDP data are discouraging, indicating market participants may want to evaluate recession-buffering assets. Traditionally, investors turn to fixed income assets when recessions set in, but that strategy is imperiled this year due to rising interest rates.

Embracing Muni Bonds for Recession Protection

Municipal bond funds offer investors above-average, tax-exempt dividend yields. HYD is one of the highest-yielding municipal bond ETFs in the market.

HYD: Strong Municipal Bond Index ETF, 3.9% Yield

Like other fixed income segments, municipal bonds are incurring punishment at the hands of rising interest rates, but some market observers believe that munis are being too harshly repudiated and that there's opportunity in the group. That includes high yield municipal bonds, an asset class easily accessible with the VanEck Vectors High Yield Muni ETF [.

High Yield Munis Remain Strong Income Ideas

VanEck Vectors Muni Allocation ETF

VanEck Vectors Long Muni ETF

Municipal bonds and the related exchange traded funds are languishing as interest rates rise, but a silver lining could materialize. While the first four months of 2022 have been rough on munis, some market observers believe that rare opportunity could avail itself in this corner of the bond market.

Muni Carnage Could Create Opportunity

SPDR Nuveen S&P High Yield Municipal Bond ETF

Blackrock High Yield Muni Income Bond ETF

Speculative-grade municipal bond-related exchange traded funds have taken a beating, with high-yield munis on pace for their worst year since 2008. Year-to-date, the VanEck Vectors High Yield Muni ETF (HYD) declined 10.8%, the SPDR Nuveen S&P High Yield Municipal Bond ETF (NYSEArca: HYMB) decreased 11.0% and the BlackRock High Yield Muni Income Bond ETF (HYMU) [.

High-Yield Muni Bond ETFs Are Having a Rough Time

iShares iBoxx High Yield Corporate Bond ETF

iShares Core S&P 500 ETF

SPDR Bloomberg High Yield Bond ETF

PIMCO Intermediate Municipal Bond Active ETF

Invesco QQQ

Invesco S&P 500 Equal Weight ETF

iShares Short Treasury Bond ETF

SPDR S&P 500 ETF Trust

iShares 20+ Year Treasury Bond ETF

Investors were overall net purchasers of fund assets (including those of conventional funds and ETFs) for the first week in three, injecting a net $9.2 billion for the Refinitiv Lipper fund-flows week ended March 23.

U.S. Weekly FundFlows Insight Report: Despite Rise In Interest Rates, Investors Inject Net New Money Into Fixed Income ETFs For The Lipper Fund Flows Week

The municipal bond sector has broadly been under pressure over the past few quarters. This includes high yield munis, passive ETFs, and CEFs of all stripes. The causes are multi-fold. Rising yields, lack of movement on tax rates, and continued uncertainty on further legislative changes from Washington.

HYD: Outlook Fading On High Yield, Will Be More Selective On Munis

VanEck Vectors Intermediate Muni ETF

VanEck Vectors Short Muni ETF

NEW YORK--(BUSINESS WIRE)--VanEck announces plans to change underlying indexes tracked by some of the firm's municipal bond ETFs to new indexes from ICE Data Indices (“ICE”)

VanEck to Transition Underlying Indexes for Several of Its Municipal Bond ETFs

Low bond yields on Treasuries and other safe fixed income assets, including investment-grade municipal bonds, often encourage investors to take on more risk in the bond space. That scenario is repeating this year as fixed income investors flock to junk bonds, bank loans, and related fare.

Riskier Muni Bonds, Funds Paying off for Investors

First Trust Managed Municipal ETF

JPMorgan Ultra-Short Municipal Income ETF

IQ MacKay Municipal Insured ETF

iShares National Muni Bond ETF

SPDR Nuveen Bloomberg Short Term Municipal Bond ETF

PIMCO Short Term Municipal Bond Active ETF

iShares Short-Term National Muni Bond ETF

SPDR Nuveen Bloomberg Municipal Bond ETF

Climate risk isn't being adequately priced into many ETFs, but there are signs the tides are turning.

Warm Up To Climate Change Investing

BlackRock Taxable Municipal Bond Trust

Nuveen Quality Municipal Income Fund

Nuveen AMT-Free Quality Municipal Income Fund

Nuveen Intermediate Duration Quality Municipal Term Fund

As a working professional, the municipal bond market has been a preferred asset class of mine for a long time. I find the tax-exempt income preferable to alternative, taxable investment grade options. With a new administration in the White House that is calling for higher tax rates on corporations and the wealthy, the outlook for munis should be very bullish.

Municipal Bond Market Outlook - A Lot Of Uncertainty

Yields are low across the fixed income universe this year, and municipal bonds aren't exempt from that trend. That may sound like an invitation to embrace high-yield municipal bonds and exchange traded funds like the VanEck Vectors High Yield Muni ETF (HYD).

High-Yield Munis Worth Considering as Default Rates Cooperate

The federal government heaped billions of dollars on states to help them tidy up their balance sheets in the wake of the coronavirus pandemic. However, municipal default rates ticked higher in 2020 and to this point this year.

High-Yield Munis Remain Sturdy Despite an Uptick in Defaults

Yields are low across the fixed income spectrum and municipal bonds aren't being spared. The positive is that bond prices are appreciating, but when yields get too low, investors are often compelled to embrace riskier fixed income assets.

The HYD ETF: Elevate Your Municipal Bond Income

HYD: I Feel Comfortable Buying High Yield Munis

Ares Dynamic Credit Allocation Fund

Invesco BulletShares 2023 High Yield Corporate Bond ETF

First Trust TCW Opportunistic Fixed Income ETF

Hartford Municipal Opportunities ETF

First Trust Tactical High Yield ETF

JPMorgan High Yield Research Enhanced ETF

Invesco KBW Premium Yield Equity REIT ETF

PIMCO Enhanced Short Maturity Active ETF

Virtus Newfleet Multi-Sector Bond ETF

Virtus InfraCap U.S. Preferred Stock ETF

WisdomTree CBOE S&P 500 PutWrite Strategy Fund

Global X NASDAQ 100 Covered Call ETF

Virtus Seix Senior Loan ETF

Global X SuperDividend REIT ETF

 SPDR Blackstone Senior Loan ETF

Vanguard Short-Term Corporate Bond ETF

Vanguard Mortgage-Backed Securities ETF

Vanguard Real Estate ETF

Global X S&P 500 Covered Call ETF

In counter-cyclical investing, we want to buy CEFs when discounts are wide and sell them when discounts are tight. The problem we run into is that when we swap, we give up the upside of the NAVs should the bull market continue. We also give up higher income streams.

Swap Options For Reducing Discount Risk And Not Sacrificing A Ton Of Yield

HYD: Strong Municipal Bond Index ETF, 3.7% Yield

The Biden Administration is proposing significant increases to capital gains taxes, and while those levies are aimed at big earners and the wealthy, the debate is bringing renewed attention to tax-advantaged asset classes. That group includes municipal bonds.

As Tax Talks Ramp Up, Investors Turning to High-Yield Munis

VanEck CEF Municipal Income ETF 

For seven straight months, fixed income investors turned to municipal bonds over Treasuries, putting the spotlight on three VanEck ETFs investors can consider. “America's municipal bonds are staging their longest winning streak against Treasuries in seven years,” said a Bloomberg article.

Municipal Bonds Are Soaring. So Are 3 VanEck ETFs

VanEck Fallen Angel High Yield Bond ETF

VanEck Emerging Markets High Yield Bond ETF

Fund flows can help indicate investors' penchant for certain ETFs when it comes to bonds and right now, it's high yield for ETF provider VanEck. One reason could be the falling default rates.

These 3 High Yield Bond ETFs from VanEck Are Dominating YTD Inflows

High yield sectors, whether in corporates or municipals, have elevated credit risk. With the economy finally re-opening, this is less of a concern.

HYD: There Is Still Some Value In High Yield Munis

More investors are looking at riskier assets in order to obtain increasingly elusive yield. ETF provider VanEck is seeing strong inflows in three of its ETFs that focus on high yield debt.

News for VanEck High Yield Muni ETF ETF (HYD)