Vanguard on Tuesday launched two index municipal bond exchange-traded funds managed by its fixed income group: Vanguard Intermediate-Term Tax-Exempt Bond ETF (VTEI) and Vanguard California Tax-Exempt Bond ETF (VTEC).
"The continued expansion of our tax-exempt bond ETF lineup brings advisors and individual investors new ways to access the municipal market with a low-cost and diversified portfolio," said Sara Devereux, global head, Vanguard Fixed Income Group.
Vanguard Intermediate-Term Tax-Exempt Bond ETF is designed for tax-sensitive investors with an intermediate time horizon and a preference for passive management. Its 0.08% expense ratio compares with the 0.37% average for competing funds, Vanguard said.
