The iShares National Muni Bond ETF (MUB) Offers a Broader Bond Mix Than the Vanguard Intermediate-Term Treasury Index ETF (VGIT)
By Bullbit Editorial · March 28, 2026
WhatThe iShares National Muni Bond ETF (MUB) offers a broader mix of municipal and corporate bonds compared to the Vanguard Intermediate-Term Treasury Index ETF (VGIT), which primarily invests in US Treasury bonds.
WhyThis difference in bond type and portfolio diversity can impact risk, tax benefits, and income potential for investors.
SignalMUB's diversified portfolio may provide a higher income potential and tax benefits, but also comes with a slightly higher credit risk compared to VGIT.
TargetInvestors seeking a broader bond mix and potential tax benefits may consider MUB, while those prioritizing low-risk, low-credit US Treasury bonds may prefer VGIT, which has a 0.04% expense ratio.
RiskMUB's credit risk is slightly higher due to its exposure to corporate and municipal bonds, with a credit rating of AA compared to VGIT's US Treasury bonds with a credit rating of Aaa.