VTEB - VTEB: Uncompelling Value Proposition Few Reasons To Buy
2024-05-14 06:54:23 ET
Summary
- VTEB is a simple muni bond index ETF by Vanguard.
- It sports a tax-advantaged 3.0% dividend yield.
- For most investors, other ETFs provide higher after-tax yields than VTEB, with other benefits as well.
I last covered the Vanguard Tax-Exempt Bond ETF ( VTEB ), a simple muni bond index ETF, in early 2023. In that article, I argued that the fund's 3.0% dividend yield was simply too low for a bullish rating or opinion on the fund, even after considering potential tax benefits from investing in munis. I presented investors with some alternatives, including t-bills and the JPMorgan Ultra-Short Income ETF ( JPST ). These have outperformed VTEB since, as expected....
VTEB: Uncompelling Value Proposition, Few Reasons To Buy