Which Bond ETF Is the Better Buy: Fidelity's FIGB or iShares' Tax-Exempt MUB?
Fidelity offers a 4.1% dividend yield with concentrated holdings, while iShares provides tax-exempt income and charges just 0.05% in fees.
Overview
Investors comparing Fidelity Investment Grade Bond ETF (NYSEMKT:FIGB) and iShares National Muni Bond ETF (NYSEMKT:MUB) may find the former's higher yield potential attractive, while the latter offers tax-exempt income and lower fees.
Both funds provide exposure to investment-grade debt, but they target different segments of the fixed income market. While the Fidelity fund focuses on a broad range of highly rated taxable bonds, the iShares fund specializes in high-quality municipal bonds issued across the United States.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.