.jpg)
NASDAQ OMX yesterday announced that First Trust launched a new exchange traded fund (ETF), First Trust Managed Municipal ETF (Nasdaq:FMB), which is listed on The NASDAQ Stock Market® (NASDAQ®). FMB began trading on NASDAQ on Thursday, May 15, 2014.
"We are thrilled to list the First Trust Managed Municipal ETF (FMB) on The NASDAQ Stock Market, where we can explore countless opportunities in municipal bonds," said Ryan Issakainen, Exchange Traded Fund Strategist and Senior Vice President at First Trust Portfolios L.P. "Given the potential for rising interest rates as a result of stronger economic growth, we believe that in the current market, positioning the fund along the intermediate portion of the yield curve, coupled with including bonds with lower investment grade ratings, provides investors less interest rate sensitivity than longer duration portfolios."
The ETF is managed by First Trust Advisors L.P. using a disciplined approach that focuses on a combination of quantitative analysis and fundamental research. Under normal market conditions, FMB seeks to achieve its objectives by investing at least 80% of its total net assets (including investment borrowings) in municipal debt securities. Active portfolio management allows the fund managers to make portfolio adjustments, as necessary as conditions change. FMB provides access to a portfolio of primarily investment grade municipal bonds, while offering daily liquidity and full transparency of holdings and pricing.
"We are pleased to launch FMB in conjunction with our good partners at First Trust," said Dave LaValle, Head of Exchange Traded Product Listings at NASDAQ OMX. "We appreciate First Trust's confidence in choosing the NASDAQ marketplace. We are committed to increasing the value of our partnership by continuing to fuel innovation in the listing and trading of exchange traded products and acting as thought leaders and pioneers in the industry."
NASDAQ OMX operates an efficient platform for successfully introducing a product suite into one of the single largest pools of liquidity, including market participants which represent a full spectrum of investors. ETF issuers benefit from an end-to-end solution that provides ongoing product support at every level including index licensing, listings opportunities, data offerings and trading services. As a home to the world's most innovative ventures, NASDAQ OMX generates opportunities for issuers to access new markets and deliver new concepts that change the way the industry develops, manages and applies ETFs.
