American Century Multisector Income ETF

MUSI

Market cap $228M

Broadly speaking, bonds frustrated investors in the first quarter, but that may be all the impetus some advisors and fixed income investors need to consider alternatives to traditional passive aggregate bond funds. Enter MUSI, the American Century Multisector Income ETF.

The “will they, won't they” between the Trump administration and the Iranian government has gone on for weeks, and while headlines avoid it, the energy disruption remains a huge story. Not only has infrastructure been devastated in key energy production zones, but other critical commodities like fertilizer have become much more expensive as well.

Income ETF strategies have become a key part of the portfolio toolbox in recent years. The ETF's flexibility, and the ETF rule in 2019, have supercharged innovation as more shops look to join the competitive landscape.

Many investors may still be making end of year investment decisions, whether to reduce tax impacts or to shift fixed income allocations for the new year. More than ever, ETFs offer tools to meet those goals, with an ever-increasing roster of strategies therein.

Market uncertainty is on the rise, and volatility can't be too far away. Many investors look to their bond portfolio for ballast in those times, adding income.

Investors and advisors, alike, may be taking a look at market uncertainty and feeling the pull of some steady, reliable income. Market volatility from tariff news can really throw investors plans – and portfolios – for a whirl.

If the macroeconomic movements of 2025 have taught advisors anything, it's that diversification is paramount for a well-rounded portfolio.  We're certainly seeing advisors build more diversified portfolios when it comes to equities.

For advisors looking for a potential safe haven from volatile macro conditions, fixed income has emerged as a popular choice. Even as the U.S. markets face volatility, a fixed income portfolio can simultaneously provide income, capital appreciation, and crucial diversification.

The stock market has taken a hit in recent days, amid concern about the potential impact of tariffs. With recession indicators also rising, investor concern about the impact on their portfolios may be growing.

2025 is fully in gear, and with it, investors may be looking at refreshing their fixed income portfolios. What's more, with the Fed pausing rate cuts for now, many investors may want to adjust for a year of mostly steady rates.