Van Eck Global, the parent company of ETF issuer Market Vectors, has filed plans with the Securities and Exchange Commission to possibly introduce an ETF focusing on short-dated, non-investment grade municipal bonds.
The Market Vectors Short High-Yield Municipal Index ETF will track the Short High Yield Index. The new fund will use a sampling strategy, which means it will not include all of the issues in the index, Index Universe reported. Van Eck's SEC filing did not include a ticker or expense ratio.
Market Vectors currently sponsors six muni bond ETFs, including the popular Market Vectors High-Yield Municipal Index ETF (NYSE:HYD), which has almost $804 million in assets under management, and the $159 million Market Vectors Short Municipal Index ETF (NYSE:SMB).
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