ETFs & Mutual Funds

Vanguard’s First New ETF in Two Years Targets Short-Term Munis

  • VTES tracks short-maturity munis and charges a fee of 0.07%
  • First new Vanguard fund since Ultra Short Bond ETF in 2021
Lock
This article is for subscribers only.

Vanguard Group Inc.’s first new exchange-traded fund in two years is setting sail at a turbulent time for municipal debt.

The Vanguard Short-Term Tax-Exempt Bond ETF (ticker VTES), which tracks an index of municipal bonds due in seven years or less, begins trading Thursday, according to a press release. The asset-management giant’s last new ETF was the Vanguard Ultra Short Bond ETF (VUSB), which debuted in April 2021 and now has $3.3 billion of assets.