What this ETF is trying to do

The BNY Mellon Strategic Municipals Inc (LEO) is an ETF that focuses on municipal bonds. These are typically loans made to local or state governments. Investors often use these types of funds to earn regular income.

What the numbers show

As of October 9, 2026, the share price of LEO was $5.55. To understand how the price has changed, we can look at the price return (which only tracks the share price) and the total return (which includes distributions).

• Year-to-Date (YTD): The price return is -12.74%, while the total return is -9.26%.

• One Year: The price return is -11.2%, while the total return is -6.64%.

• Three Year: The price return is 4.13%, while the total return is 18.41%.

• Five Year: The total return is -18.69%.

For a simple example, if you had invested $10,000 based on the estimated price from roughly one year ago ($6.25), the price-only decline of -11.2% would mean your shares are now worth approximately $8,880. This example does not include any cash distributions you may have received.

Income and distribution explanation

LEO usually pays out distributions monthly. Over the last 12 months, it made 12 payments totaling $0.32 per share. This results in a distribution yield of approximately 5.69%.

It is important for beginners to know that a high distribution yield alone can be misleading. While these payments provide cash income, they do not guarantee that the original money you invested (the principal) will stay the same or grow.

NAV erosion explanation

"NAV erosion" happens when the underlying value of a fund's assets declines over time. StockValueFinder uses an erosion-risk score to measure this. LEO has an erosion score of 75, which is labeled as "Mild price erosion." This is a measurement of risk, not a guarantee of how the fund will perform in the future.

Pros

• Regular Income: The fund provides monthly cash distributions.

• Positive Long-Term Total Return: The three-year total return is positive at 18.41%.

Cons

• Recent Price Decline: Both the YTD and one-year price returns are negative.

• Long-Term Loss: The five-year total return is -18.69%.

• Erosion Risk: The fund has a "mild" erosion-risk label.

Beginner takeaway

LEO provides regular monthly income, but its share price has fallen over the last year. When looking at this ETF, it is important to distinguish between the price return (the change in share price) and the total return (which includes the cash paid out to investors).