Vanguard Fund Overtakes BlackRock as Muni Market’s Biggest ETF

Competition is heating up in the rapidly growing arena of municipal-bond exchange-traded funds.

The Vanguard Tax-Exempt Bond ETF (ticker VTEB) now has $39.9 billion in assets after drawing in $4.3 billion so far this year, according to data compiled by Bloomberg. That has nudged it just past the $39.4 billion iShares National Muni Bond ETF (ticker MUB), which was long the largest fund in the category.