---
title: "Forget flashy AI stocks: This $45 billion ETF is built for tax-free income"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/291970475.md"
description: "The iShares National Muni Bond ETF (MUB) offers tax-free income, appealing to high-bracket investors. With $45.7B in assets and a 0.05% expense ratio, it provides a tax-equivalent yield of 5.66%, outperforming taxable bonds for those in the 37% bracket. However, its 6.19-year duration exposes investors to interest rate risk, making it unsuitable as a cash substitute or for short-term needs."
datetime: "2026-07-07T19:43:38.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/291970475.md)
  - [en](https://longbridge.com/en/news/291970475.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/291970475.md)
---

# Forget flashy AI stocks: This $45 billion ETF is built for tax-free income

Quick ReadMUB's 3.35% tax-free yield translates to a 5.66% taxable equivalent, outpacing the 10-year Treasury's 4.49% for top-bracket investors.A 6-year effective duration means a 1% rate spike cuts MUB's price by roughly six points, making it a poor cash substitute.MUB suits a 10 to 25% allocation in taxable accounts for the 32% bracket or higher,...

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