Thornburg Files Three Active Muni ETFs Across Duration and Credit

Thornburg Investment Management has filed for three actively managed municipal bond ETFs spanning different interest-rate and credit profiles. The Thornburg Short Municipal Income ETF will normally target a 1-4 year effective duration, while the Thornburg Municipal Income ETF will target 4-6 years. Both expect to keep below-investment-grade and comparable unrated securities to no more than 20% of assets at purchase. The Thornburg Strategic Municipal Income ETF offers greater flexibility, targeting a 1-10 year duration and allowing up to 50% of assets in below-investment-grade debt. All three will normally invest at least 80% of assets in municipal obligations whose income is exempt from regular federal income tax, although some income may be subject to the AMT.