ETF Education Report: Franklin New Jersey Municipal Income ETF (FTNJ)

What this ETF is trying to do

The Franklin New Jersey Municipal Income ETF (FTNJ) is an exchange-traded fund. While the specific investment strategy isn't detailed in the data, its name suggests it focuses on municipal income, which often involves bonds from the state of New Jersey.

What the numbers show

As of October 6, 2026, the current price of one share is $8.26.

When looking at how the fund has performed so far this year (Year-to-Date), we look at two different numbers:

• Price Return: The share price has decreased by approximately 5.6%. This measures only the change in the cost of a single share.

• Total Return: The total return is approximately -3.02%. Total return is a more complete picture because it includes both the change in share price and the impact of distributions.

Because the total return (-3.02%) is higher than the price return (-5.6%), it shows that the distributions helped offset some of the share-price decline.

Income and distribution explanation

This ETF provides cash payments called distributions. The distribution yield is approximately 3.40%. This number describes the cash paid out relative to the current share price.

Over the last 12 months, the fund made 11 distributions. These payments usually happen on a monthly basis, with Monday being the most common day for a payment to occur. It is important to remember that a distribution yield tells you how much cash was paid out, but it does not guarantee that the investor earned that same amount as a total return.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value, which is the actual value of the assets held by the fund. A falling market price does not always mean NAV erosion is happening, but they are related concepts.

For this ETF, there is no severe erosion-risk flag present. The data provided does not include an erosion score because there is insufficient verified price history to calculate one.

Pros

• The fund provides regular cash distributions, which usually occur monthly.

• The total return is currently higher than the price return, meaning distributions are helping to cushion the decline in share price.

Cons

• The fund has experienced a negative year-to-date price return of approximately 5.6%.

• The income rating grade is a "D," which is a score provided by StockValueFinder.

Beginner takeaway

When looking at an ETF like FTNJ, it is helpful to distinguish between the share price and the total return. The share price tells you what it costs to buy a piece of the fund, while the total return shows how much value was gained or lost including the cash paid out to you. High yields can provide income, but they do not protect against a falling share price.