MUB vs FIGB: Choosing Between Tax-Free Income and Broader Bond Exposure

Overview

• MUB charges a 0.05% expense ratio compared with 0.36% for FIGB.
• FIGB offers a higher trailing yield of about 4.10% versus roughly 3.20% for MUB.
• MUB holds municipal bonds whose interest is often exempt from federal income tax, and FIGB mixes Treasuries and corporate credit with about 45% in government debt.
• MUB is far larger and broader inside munis at about $44.0 billion and 6,538 holdings, versus roughly $465 million and more than 800 bonds for FIGB.
• Recent figures show MUB returned 4.94% over the past year and had an 11.90% five‑year max drawdown, compared with 4.57% and 18.10% for FIGB.