2024-06-09 23:59:06 ET
Summary
- Invesco Taxable Municipal Bond ETF is a passive ETF that tracks the performance of US dollar-denominated taxable municipal debt.
- The outlook for BAB is modest, with a potential for 2-3% returns, which is weak compared to inflation and cash offerings.
- Low levels of issuance in the taxable municipal bond sector could be a bullish catalyst for the Fund.
Main Thesis & Background
The purpose of this article is to evaluate the Invesco Taxable Municipal Bond ETF (BAB) as an investment option at its current market price. The fund is managed by Invesco, and it is designed to "track the performance of US dollar-denominated taxable municipal debt publicly issued by US states and territories". This is a passive ETF, which is a contrast to most of the funds I normally review in this space, which are leveraged CEFs....
Read the full article on Seeking Alpha
For further details see:
BAB: A Year Later, I'd Still Tread Carefully On Taxable Munis/Build America Bonds