- Prior to the conversion the fund had $1.6 billion in assets
- In 2024, asset managers launched a record number of muni ETFs
BlackRock Inc. is converting its high-yield municipal bond fund into an actively-managed ETF in a bid to grow assets under management by providing a lower-cost and more liquid investment vehicle.
The new fund, called the iShares High Yield Muni Active ETF, is trading under the ticker HIMU. It will continue to invest in high-yield state and local government debt across a variety of sectors and seek to outperform its benchmark, according to a Monday statement from the investment firm.
“Through the ETF wrapper, HIMU aims to take advantage of the attractive yield levels and strong credit quality in municipal bonds,” said BlackRock’s head of municipal bonds Pat Haskell in the statement.
Bloomberg Markets
By Erin Hudson
February 10, 2025