American Century Diversified Municipal Bond ETF

TAXF

Market cap $521M

The end of the year is fast approaching, and so too is the end of the tax year. It's been a complicated stock market year for investors, to say the least, with tax implications galore.

Fall is just around the corner, and with it comes the start of portfolio preparation for the end of the year. For many investors and advisors, that means adding investments that can help reduce the tax bill from portfolios.

With advisor enthusiasm mounting towards fixed income strategies, many portfolios are looking to build municipal bond exposure. Joe Gotelli, vice president and senior portfolio manager for American Century Investments®, recently sat down with VettaFi to break down the advantages of municipal bonds, American Century's fund library, and more.

A new year means tax season is just around the corner. While it may be too late to really impact last year's tax bill, 2025's tax bill has just begun.

As 2024 approaches an end, many investors are looking to refresh their portfolios. With markets up majorly this year, taxes loom as a key factor for consideration.

With U.S. elections just under a week from now, many investors may be tuning in with questions about taxes. Overlapping with a time of year when many advisors look to mitigate tax impacts for clients, it may be worth considering ETFs to help.

Many investors have likely shifted their fixed income allocation since the live rate market returned. The rapid rate hikes introduced last year helped push inflation back down, with rate cuts now on the horizon.

On Thursday, American Century Investments launched the American Century California Municipal Bond ETF (CATF). With a net expense ratio of 0.27%, CATF is an actively managed fund.

The Federal Reserve standing pat on interest rates for the time being leaves the window open for fixed income investors to take advantage of current yields. That also includes muni bond exposure, but investors may want to take advantage before that proverbial window shuts.

The anticipation of lower interest rates in the new year could bring a flash flood of new municipal bond issuance, according to Bond Buyer. If yields continue to fall and bond prices rise, it might be an opportune time to get muni bond exposure via two ETFs from American Century.