Invesco Rochester High Yield Municipal ETF (IROC)

Invesco Rochester High Yield Municipal ETF is an actively managed exchange-traded fund from Invesco that invests mainly in municipal bonds whose interest is generally exempt from federal income tax. Its focus is on the higher-yielding end of the municipal market, including lower-rated and unrated issues.

The portfolio is run by Invesco's Rochester municipal team, which has a long history in tax-exempt credit research. Holdings can span state and local general obligation bonds as well as revenue bonds backed by projects such as hospitals, housing, transportation and utilities. Because the fund is active, the managers choose securities, sectors and maturities based on their own credit analysis rather than replicating an index, with the goal of producing a high level of tax-exempt income.