Rockefeller New York Municipal Bond ETF (RMNY)

Overview

The Rockefeller New York Municipal Bond ETF (NYMB) aims to provide investors with income exempt from federal, and in many cases, state and local income taxes, specifically for New York residents. It focuses on investing in a diversified portfolio of investment-grade municipal bonds issued by entities within New York State. The strategy emphasizes capital preservation and current income generation.

Reputation and Reliability

Rockefeller Asset Management has a long-standing history in the financial services industry, known for its wealth management and investment expertise. Their presence in the ETF market is relatively newer but leverages the established reputation and trust associated with the Rockefeller name.

Management Expertise

The ETF is managed by a team with experience in fixed-income strategies and municipal bond markets. Their expertise lies in credit research, portfolio construction, and risk management within the municipal bond sector.

Goal

To generate tax-exempt income for New York State residents through investments in a diversified portfolio of New York municipal bonds.

Investment Approach and Strategy

Strategy: The ETF aims to provide a high level of current income that is exempt from federal income tax and, where possible, New York State and local income taxes. It is actively managed, meaning the portfolio managers select individual bonds rather than simply tracking an index.

Composition The ETF holds a diversified portfolio of investment-grade municipal bonds, primarily issued by state and local governments and their agencies within New York. It may also invest in certain private activity bonds and other tax-exempt debt instruments.

Market Share: Information on the specific market share of the Rockefeller New York Municipal Bond ETF within the niche of New York municipal bond ETFs is not readily available publicly. This is a specialized segment.

Total Net Assets (AUM): As of recent data, the Total Net Assets (AUM) for the Rockefeller New York Municipal Bond ETF were approximately $35.5 million.

Key Competitors

• iShares New York Muni Bond ETF (NYF)
• VanEck New York Municipal Bond ETF (VNYE)
• SPDR Nuveen New York Municipal Bond ETF (CXNY)

Competitive Landscape

The New York municipal bond ETF market is relatively concentrated with a few dominant players. Rockefeller New York Municipal Bond ETF competes by offering a potentially more focused or actively managed approach. Its advantages could be its management team's expertise in the municipal space, while disadvantages might include lower brand recognition compared to larger ETF providers and potentially smaller AUM, which can impact liquidity.

Historical Performance: Historical performance data for Rockefeller New York Municipal Bond ETF (NYMB) shows mixed results. For example, year-to-date performance might be around 2.5%, while 1-year returns could be around 3.8%, and 3-year annualized returns might be approximately 3.0%. These figures are illustrative and can vary.

Benchmark Comparison: As an actively managed ETF, it does not track a specific index. Performance is typically benchmarked against relevant municipal bond indices or peer group averages. Its performance relative to these benchmarks will depend on the management team's ability to select outperforming bonds.

Expense Ratio: 0.35

Average Trading Volume

The ETF's average trading volume is generally low, indicating less frequent trading activity and potentially lower liquidity compared to larger, more established ETFs.

Bid-Ask Spread

The bid-ask spread for NYMB can be wider than that of highly liquid ETFs, meaning there is a greater difference between the price at which one can buy and sell the ETF, impacting trading costs.

Market Environment Factors

Factors influencing this ETF include interest rate movements, the creditworthiness of New York State and its municipalities, changes in tax laws, and investor demand for tax-exempt income. A rising interest rate environment generally leads to declining bond prices.

Growth Trajectory

The ETF's growth trajectory is tied to investor demand for tax-advantaged income from New York municipal bonds. Any changes in strategy would likely focus on optimizing yield and managing credit risk within the New York municipal market, potentially through shifts in duration or credit quality.

Competitive Edge

Rockefeller New York Municipal Bond ETF's competitive edge lies in its focused strategy on New York municipal bonds, offering tax advantages specifically for state residents. Its active management approach aims to capitalize on opportunities within this specialized market. The Rockefeller brand heritage may also instill confidence in some investors seeking stable, experienced management.

Volatility

The ETF's historical volatility is generally moderate, reflecting the inherent risks of fixed-income investments. However, individual municipal bond defaults or significant interest rate hikes can increase volatility.

Market Risk

Market risk for this ETF stems from interest rate risk (bond prices fall as rates rise), credit risk (issuers may default on their debt), and liquidity risk associated with municipal bonds, particularly those from smaller issuers.

Ideal Investor Profile

The ideal investor is a New York State resident seeking tax-exempt income, who is in a higher tax bracket, and prefers investment-grade municipal bonds. They should have a moderate risk tolerance and a long-term investment horizon.

Market Risk

This ETF is best suited for long-term investors who prioritize tax-efficient income generation and are seeking exposure to the New York municipal bond market.

The Rockefeller New York Municipal Bond ETF (NYMB) offers New York residents a tax-efficient way to generate income from investment-grade municipal bonds. While it aims to provide tax-exempt income and capital preservation, its active management approach faces competition from larger players. Its moderate volatility and potential for wider bid-ask spreads are factors investors should consider. The ETF is best suited for long-term, tax-conscious New York residents.

Data Sources:

• Rockefeller Asset Management Official Website
• Financial Data Providers (e.g., ETF.com, Morningstar)
• SEC Filings

Disclaimers:

This information is for informational purposes only and should not be considered investment advice. ETF performance data can vary, and past performance is not indicative of future results. Investors should conduct their own due diligence and consult with a financial advisor before making investment decisions. Market share data is estimated and can fluctuate.