SHYD

VanEck Short High Yield Muni ETF

$22.81

+0.00%

Market closed. Last update: 12:27 PM ET

📎 Investment Objective

The VanEck Short High Yield Muni ETF (SHYD) seeks to provide current income exempt from federal income tax by investing in a portfolio of short-duration, high-yield municipal bonds.

Overview

ETF tracking VanEck Short High Yield Muni ETF

Category High Yield

Issuer VanEck

Inception Date 2018-12-28

Market Cap $355.8M

Average Volume N/A

Dividend Yield 2.93%

52-Week Range $21.84 - $23.01

VWAP $22.81

Performance

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Investment Summary

📎 Investment Objective

The VanEck Short High Yield Muni ETF (SHYD) seeks to provide current income exempt from federal income tax by investing in a portfolio of short-duration, high-yield municipal bonds.

🎯 Investment Strategy

SHYD invests primarily in high-yield municipal bonds with an average duration of 3 years or less. The fund aims to generate tax-exempt income while limiting interest rate risk through its focus on shorter-maturity bonds.

✨ Key Features

Exposure to short-duration, high-yield municipal bonds
Seeks to provide tax-exempt income
Relatively low interest rate sensitivity compared to longer-duration municipal bond funds
Actively managed portfolio to optimize risk and return

⚠️ Primary Risks

Credit risk: The fund is exposed to the risk of default or downgrade of the underlying municipal bonds
Interest rate risk: While lower than longer-duration funds, SHYD is still subject to some interest rate risk
Liquidity risk: The high-yield municipal bond market can be less liquid than the broader municipal bond market
Tax risk: Municipal bond income may become taxable if the investor's income exceeds certain thresholds

👤 Best For

SHYD may be suitable for investors seeking tax-exempt income and lower interest rate sensitivity, particularly those in higher tax brackets. However, the fund's exposure to high-yield municipal bonds means it carries more credit risk than traditional investment-grade municipal bond funds.