Invesco Taxable Municipal Bond ETF
BAB
New York Stock Exchange Arca- -
USD
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- -
Capital Structure
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in mil. unless spec.Working Capital
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in mil. unless spec.Growth Rates
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in mil. unless spec.Quarterly Revenue
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in mil. unless spec.Quarterly Earnings Per Share
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in mil. unless spec.- Sector
- Financial Services
- Industry
- Asset Management - Bonds
- Address
- 11 Greenway Plaza, Suite 1000 Houston TX United States of America 77046
- IPO Date
- Nov 17, 2009
- CIK
- 0001378872
- Website
- invesco.com
- Similar Companies
- Business
- Invesco Taxable Municipal Bond ETF (BAB) is an exchange-traded fund that seeks investment results corresponding generally to the price and yield performance of the ICE BofA US Taxable Municipal Securities Plus Index (the Index), by investing primarily in U.S. dollar-denominated taxable municipal debt publicly issued by U.S. states, territories, and their political subdivisions, with at least one year remaining to maturity; the Fund employs a representative sampling methodology rather than purchasing all securities in the Index, and both the Fund and Index are rebalanced and reconstituted monthly. Launched on November 17, 2009, and issued by Invesco under Invesco Exchange-Traded Fund Trust II, managed by Invesco Capital Management LLC and domiciled in the United States with headquarters in Atlanta, Georgia, BAB focuses on investment-grade fixed income in the municipal bond sector, offering exposure to securities secured by revenue streams or tax pledges similar to tax-exempt municipals but subject to federal taxation (and often exempt from state and local taxes for in-state residents). Its portfolio as of recent data comprises approximately 939 holdings concentrated in local authorities (100%), with significant geographic allocations to California (23%), New York (14%), Texas (11%), and Illinois (7%); top holdings include State of California bonds and Invesco Government & Agency Portfolio, alongside maturity distributions spanning 0-25+ years. The Fund targets investors seeking higher yields from taxable municipals compared to tax-exempt counterparts, providing diversification in fixed income portfolios with a 30-day SEC yield around 5.01% and an expense ratio of 0.28%; it emphasizes investment-grade quality (e.g., 15% AAA/AA ratings per S&P) amid interest rate sensitivity and limited liquidity in legacy Build America Bonds. BAB operates exclusively in U.S. markets, appealing to income-oriented investors in volatile equity environments or those prioritizing municipal credit stability over tax efficiency. Recent developments include sustained institutional interest, with firms such as Janney Montgomery Scott LLC increasing holdings by 2.2% in Q2 2025 to approximately 29,641 shares valued at $786,000, alongside new positions and stake expansions by Opal Wealth Advisors (116.6% growth), FORM Wealth Advisors, Gilliland Jeter Wealth Management (25.8% increase), Progressive Investment Management (10.9% boost), and Centric Wealth Management (2.9% rise) during Q1-Q2 2025; these reflect heightened demand amid favorable yield conditions. Analyst commentary in 2025 highlights BAB as offering relative value in taxable munis, with rating upgrades citing quality yield potential in rising rate scenarios, though noting headwinds like suboptimal historical results compared to peers; no major acquisitions, new product launches, or strategic shifts for the ETF itself were reported in the last 1-2 years, with focus remaining on core index tracking and monthly rebalancing. Morningstar awarded an overall 4-star rating (Muni National Long category) as of August 31, 2025, based on risk-adjusted returns across 3-, 5-, and 10-year periods.