Objective

The Municipal Bond folio was developed for investors seeking tax benefits, capital preservation and income with moderate bond risk.

Strategy

The Municipal Bond folio consists of ETFs that invest in municipal bonds and is designed to provide income exempt from U.S. federal income taxes.

Municipal bonds are issued by U.S. cities, counties, and states. The level of income from these bonds is generally higher than that of money market and short-term bond ETFs but the values are likely to be more volatile.

Last Updated: September 27, 2016

Category: Bond
Inception Date: January 15, 2001
Date Funded: August 31, 2009*

Folio S&P 500 Total Return
One-Month -0.45% -0.26%
Three-Month -0.57% 8.55%
Year-to-Date 3.39% 7.38%
One-Year 5.48% 14.28%
Three-Year (Annualized) 5.16% 10.77%
Five-Year (Annualized) 3.72% 15.38%
Since Inception 4.66% N/A
Volatility 2.02% 14.51%

Past performance is no guarantee of future results.
See how returns are calculated

* Returns reflect model performance from the Inception Date to the Date Funded, and funded performance since the Date Funded, if funded. Your returns may deviate significantly from the values displayed here, due to many factors, including how long after a strategy has been updated that you place orders to update your holdings.

#SymbolCompanyWeight
(% of Folio)
1MUBishares s&p national municipal bond fund25.00%
2PZApowershares insured national municipal b25.00%
3SHMspdr barclays capital short term municip25.00%
4TFIspdr barclays capital municipal bond etf25.00%

Steps to Create This Folio

  1. We constructed our folio through selecting ETFs that were defined as municipal bond ETFs by Morningstar. These ETFs invest mainly in bonds issued by cities, counties, states and are generally considered investment grade. This term means that bond-rating agencies consider the issuers’ ability to meet the bonds’ obligations adequate or better. However, they may also invest in bonds of a lower credit quality.
  2. We then selected ETFs with low expense ratios that met certain volume, asset level and other requirements.
  3. We equally weighted each municipal bond ETF in the folio.

Number of Securities

The number of securities in this folio will vary.

Update Frequency

Quarterly.

If the characteristics of the folio have changed substantially, the securities included may change. Also, corporate actions, such as a merger, or other events may cause changes to the securities held at any time. Your returns may deviate significantly from the values displayed here, due to many factors, including how long after a folio has been updated that you place orders to update your holdings.