Summary

• YTD realized volatility for broad investment grade munis is roughly 4–6%, versus 13–20%+ for major equity indices.
• Muni Sharpe ratios have held up well, supported by low volatility and solid underlying credit quality.
• Tax-equivalent yields (TEY) remain comparatively attractive on both investment grade and high yield munis.

Muni ETFs just posted record inflows. Jim Colby on why low volatility, strong risk-adjusted returns, and tax-advantaged yields keep drawing investors in.

The Muni Brief is an ongoing series of commentaries from VanEck Senior Municipal