Franklin Municipal High Yield ETF (FTMH)

The Franklin Municipal High Yield ETF (FTMH) is an actively managed exchange-traded fund sponsored by Franklin Templeton. It seeks a high level of income exempt from federal income tax.

The fund invests mainly in municipal bonds from issuers across the United States, with a significant portion in lower-rated or unrated securities that typically pay higher yields than investment-grade municipals. Franklin's municipal research team analyzes individual credits and sectors such as healthcare, housing, transportation and special tax districts when building the portfolio.

Municipal bond interest may be subject to the federal alternative minimum tax for some investors, and the fund's distributions of capital gains are generally taxable. Shares trade on NYSE Arca throughout the day like a stock, while the portfolio is managed in the style of a traditional municipal bond fund.