MYMK: SPDR SSGA MY2031 MUNICIPAL BOND ETF
What this ETF is trying to do
The SPDR SSGA MY2031 MUNICIPAL BOND ETF (ticker: MYMK) is an exchange-traded fund that focuses on municipal bonds. These are essentially loans made to local governments, such as states or counties. The fund holds a variety of these bonds, including those from places like Connecticut, Illinois, and California.
What the numbers show
When looking at an ETF, it is important to understand two different types of returns: price return and total return.
• Price Return: This measures only the change in the share price. For MYMK, the one-year price return was approximately -3.07%. The year-to-date (YTD) price return was approximately -3.47%.
• Total Return: This includes the share price change plus any cash distributions paid out to investors. The one-year total return was approximately -0.53%, and the YTD total return was approximately -1.60%.
To give you an idea of how the price has moved, the current price is $24.19. The estimated price from roughly one year ago was approximately $24.95.
Income and distribution explanation
Some investors look for ETFs that pay out regular cash, known as distributions. This ETF has a distribution yield of approximately 2.67%. The trailing distributions were approximately $0.64 per share. These payments usually happen monthly, and over the last 12 months, there were 12 payouts.
It is important to remember that a distribution yield tells you how much cash was paid out relative to the price, but it is not the same thing as total return.
NAV erosion explanation
"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). While a falling share price can sometimes look like erosion, they are not always the same thing.
For this ETF, the StockValueFinder erosion-risk score is 94, which is labeled as "Stable / sideways." The erosion severity is described as "good," and there is no severe erosion-risk flag present.
Pros
• Regular Income: The fund provides monthly distributions.
• Stable Risk Profile: According to the erosion-risk score, the fund is currently viewed as stable or moving sideways.
• Diversification: The fund holds many different municipal bonds, such as those from various state and county authorities.
Cons
• Negative Returns: Both the one-year price return and the total return have been negative.
• Price Decline: The share price has decreased compared to the estimated price from one year ago.
Beginner takeaway
When looking at MYMK, it is helpful to distinguish between the cash you receive from distributions and the actual change in the share price. While the fund pays out monthly income, the total return (which includes those payments) has been negative for both the year-to-date and one-year periods. Always remember that a high distribution yield does not guarantee that the overall value of your investment will grow.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | CONNECTICUT ST SPL TAX OBLIG REV 5% | n/a | 4.72% |
| 2 | ILLINOIS ST 5% | n/a | 4.10% |
| 3 | HARRIS CNTY TEX TOLL RD REV 5% | n/a | 3.74% |
| 4 | n/a | n/a | 3.67% |
| 5 | PENNSYLVANIA ST TPK COMMN TPK REV 5% | n/a | 3.60% |
| 6 | CALIFORNIA ST PUB WKS BRD LEASE REV 5% | n/a | 3.54% |
| 7 | LOS ANGELES CALIF DEPT WTR & PWR REV 5% | n/a | 3.29% |
| 8 | n/a | n/a | 3.25% |
| 9 | IOWA FIN AUTH REV 5% | n/a | 3.13% |
| 10 | CHESTERFIELD CNTY VA 5% | n/a | 2.96% |