Interest in Actively Managed Muni ETFs Grows
“In the investment-grade muni space, it tends to be fairly efficient, so gaining significant outperformance relative to a benchmark is traditionally difficult to do,” Quigg said, “though not impossible.”
Ultimately, diversification carries the day, he added. That means investors will likely appreciate the opportunities that actively managed muni ETFs can bring to their portfolios.
“The best portfolios we’ve seen, and those clients that have managed to meet their expectations, have traditionally had a mix of both active and passive investing in various asset classes,” Quigg said, “munis included.”
