FMHI vs HYD: Grades, Fees and Holdings Compared

First Trust Municipal High Income ETF

FMHIBNasdaq

VanEck High Yield Muni ETF

HYDACboe

Overlap

0.0%by weight

Expense ratio

HYD −0.38pt a year

FMHI0.70%HYD0.32%

Avg volume · 30D

HYD 6.5×the volume

FMHI239KHYD1.55M

5Y return · a year

FMHI +0.9pt

FMHI+0.4%HYD−0.5%

FMHI vs HYD Performance

Nov 9, 2021 – Nov 9, 2026

+2.0%FMHI−2.5%HYD

Expense ratio: FMHI 0.70%; HYD 0.32%, better
Fund size: FMHI $1.12B; HYD $4.65B
1Y total return: FMHI +1.8%, better; HYD +1.7%
Yield (12M): FMHI 4.49%, better; HYD 4.45%
Holdings: FMHI 787; HYD 2184
Avg volume (30D): FMHI 239K sh; HYD 1.55M sh, better
NAV per share: FMHI $46.82; HYD $49.64
52W range

ETF.net Grade

Pillar letters and Scores for FMHI, HYD, with each pillar’s weight
Pillar	FMHI	HYD
Cost30% weight	F0	A89Higher
Mission25% weight	A100Higher	A92
Risk15% weight	C47	C54Higher
Tradability15% weight	A83Higher	B61
Holdings10% weight	A93Higher	A82
Durability5% weight	A73	A81Higher

Rank among High-Yield Municipal Bonds funds

How we build Categories ›

Same Category. FMHI and HYD are both graded against the same 18 High-Yield Municipal Bonds funds, so their Grades compare head to head.

High-Yield Municipal Bonds⁠

Category · 18 funds

See all 18 ›

HYD ranks 2nd and FMHI 12th of 18 funds in the High-Yield Municipal Bonds Category.

Rank 1ACGHMCapital Group Municipal High-Income ETFScore 81
Rank 2AHYDVanEck High Yield Muni ETFScore 79
Rank 3AFMUBFidelity Municipal Bond Opportunities ETFScore 73
Rank 12BEVYMEaton Vance High Income Municipal ETFScore 57
Rank 12BFMHIFirst Trust Municipal High Income ETFScore 57
Rank 14BJMHIJPMorgan High Yield Municipal ETFScore 55

Our read on each fund

ETF.net Research

FMHIBFirst Trust Municipal High Income ETF

HYDAVanEck High Yield Muni ETF

In short

FMHI Active muni high yield that leans in: at least half the portfolio in junk-rated or unrated bonds, hand-picked rather than indexed, with federally tax-exempt income paid monthly. Running since 2017, and priced above the category median for the credit work.

HYD Junk munis with a seatbelt: HYD's index mixes lower-rated and unrated bonds with a slice of investment-grade credit, spread across roughly 1,900 tax-exempt issues. Trading since 2009, priced under the category median.

Stated mandate

FMHI The Fund seeks federally tax-exempt income as its primary objective and long-term capital appreciation as its secondary objective.

HYD The fund seeks to track the performance of a broad index of U.S. dollar-denominated, high-yield, long-term tax-exempt municipal bonds.

Why people hold it

FMHI Does what the label says: at least 80% of net assets in bonds paying federally tax-exempt interest, spread across roughly 800 positions.ftportfolios.com
Genuinely active, not an index in disguise. Managers choose credits bond by bond, including beaten-up issues an index-rules screen would skip.sec.gov ftportfolios.com
A billion-dollar fund that pays monthly and trades at moderate volume, with a record going back to its 2017 launch rather than a recent debut.

HYD The "crossover" build is the whole idea: lower-rated and unrated munis blended with an investment-grade allocation meant to firm up credit quality and tradability.vaneck.com vaneck.com 2
Costs 0.32% a year, below the high-yield muni median of 0.40% and under index rival HYMB at 0.35%.
Roughly 1,900 bonds, paid out monthly, so no single troubled issuer drives the whole distribution.
Open since 2009 and one of the stronger index implementations in the high-yield muni group.vaneck.com

Worth knowing

FMHI Costs more than the index heavyweights: above the category median, against 0.32% at HYD and 0.35% at HYMB. The stock-picking has to cover that gap.
At least half the book is below investment grade or unrated, and the prospectus permits bonds already in default, so downgrades bite harder than in a core muni fund.sec.gov
Clean execution of its mandate, but in a crowded high-yield muni field it lands in the lower half overall, mostly on price and credit risk.

HYD High yield means what it says: lower-rated and unrated municipal credit, where defaults and price swings bite harder than in investment-grade munis.vaneck.com
A long-term muni portfolio, so interest-rate moves move the price. The tax-exempt income counts for most in a taxable account.vaneck.com
Munis trade over the counter, not on an exchange, so spreads on the fund can widen when the bond market gets jumpy.vaneck.com

Full FMHI profile⁠

Full HYD profile⁠

FMHI vs HYD Holdings

How FMHI and HYD differ

Overlap by weight

0.0%

Level by level

Holdings0 in both0.0%
Countryby domicile95.1%
Sector2 Sectors98.6%

Sector

Sector weights in FMHI and HYD, widest gap first
Sector	More in FMHIMore in HYD	Gap	FMHI	HYD
Municipal		FMHI +1.4 points	100.0%	98.6%
Corporate		HYD +1.4 points	0.0%	1.4%

Country, concentration and asset class

Country by domicile

Country weights in FMHI and HYD, widest gap first
Country	Gap	FMHI	HYD
United States	FMHI +4.9 points	97.6%	92.7%
Puerto Rico	HYD +4.6 points	2.4%	7.0%
Philippines	HYD +0.3 points	0.0%	0.3%

Concentration

Weight in the 10 largest Holdings

FMHI5.8%
HYD9.4%

Securities held

FMHI780
HYD591

Asset class

FMHI: Bonds
HYD: Multi-Asset

Holdings

Only in FMHI780
In both0
Only in HYD591

Only in FMHI

780 securities, 100% of FMHI by weight

NEW YORK CITY NY MUNI WTR FIN AUTH Variable rate, due 06/15/20410.79%
LOUISVILLE & JEFFERSON CNTY KY REGL ARPT AUTH Variable rate, due 01/01/20290.74%
CHICAGO IL O'HARE INTL ARPT REV 5.50%, due 01/01/20510.66%
PUERTO RICO SALES TAX FING CORP 4.329%, due 07/01/20400.65%
MOBILE CNTY AL INDL DEV AUTH SOL WST DISP 5%, due 06/01/20540.58%
NEW HOPE CULTURAL EDU FACS FIN CORP TX Variable rate, due 08/01/20550.55%
ATLANTA GA ARPT REVENUE 5.50%, due 07/01/20510.51%
PUB FIN AUTH WI TAX INCREMENT REV 5%, due 06/01/20410.49%
PENNSYLVANIA ST ECON DEV FING AUTH 5.25%, due 06/30/20530.49%
DIST OF COLUMBIA WTR & SWR AUTH Variable rate, due 10/01/20600.45%
MOBILE AL INDL DEV BRD POLL CONTROL Variable rate, due 06/01/20340.45%
PENSACOLA FL ARPT REVENUE 5.50%, due 10/01/20500.45%
ILLINOIS ST 5.50%, due 03/01/20470.44%
BURKE CNTY GA DEV AUTH POLL CTRL REV Variable rate, due 11/01/20520.44%
PUERTO RICO CMWLTH AQUEDUCT & SWR AUTH 4%, due 07/01/20470.43%
BLACK BELT ENERGY GAS DIST AL 5%, due 10/01/20350.43%
BUCKEYE OH TOBACCO SETTLEMENT FING AUTH 5%, due 06/01/20550.42%
VIRGINIA SMALL BUSINESS FING AUTH 5%, due 12/31/20470.40%
SAINT LOUIS CNTY MO INDL DEV AUTH 5%, due 09/01/20480.39%
MARICOPA CNTY INDL DEV AUTH 4%, due 10/15/20470.38%
ARKANSAS DEV FIN AUTH ENVIRONMENTAL REV 5.70%, due 05/01/20530.37%
SPRING VLY ID CMNTY INFRASTRUCTURE DIST 1 6.25%, due 09/01/20530.37%
EDGEWATER EAST CDD FL SPL ASSMNT REV 4%, due 05/01/20520.36%
ARKANSAS DEV FIN AUTH ENVIRONMENTAL REV 5.45%, due 09/01/20520.36%
EFFINGHAM CNTY GA INDL DEV AUTH Variable rate, due 02/01/20380.36%
PUERTO RICO CMWLTH 4%, due 07/01/20410.36%
COLUMBUS OH REGL ARPT AUTH REV 5.50%, due 01/01/20500.35%
MAIN STREET NATURAL GAS INC GA Variable rate, due 09/01/20530.35%
COLORADO INTERNATIONAL CENTER CO MET DIST 14 5.375%, due 12/01/20510.35%
MARYLAND ST HLTH & HGR EDUCTNL FACS AUTH 5.25%, due 07/01/20500.34%
CHARLOTTE CNTY FL INDL DEV AUTH 4%, due 10/01/20510.34%
HOUSTON TX ARPT SYS REVENUE 5.50%, due 07/15/20350.33%
MEADE CNTY KY INDL BLDG REVENUE Variable rate, due 08/01/20610.33%
NEW HAMPSHIRE ST HLTH & EDU FACS AUTH 5.50%, due 08/01/20500.33%
HARRIS CNTY TX CULTURAL EDU FACS FIN CORP Variable rate, due 07/01/20560.33%
FIELDS ESTATES PUBLIC INFRASTRCTURE DIST UT 6.125%, due 03/01/20550.31%
RED BARN MET DIST CO 5.50%, due 12/01/20550.31%
TULSA OK MUNI ARPT TRUST TTEES 6.25%, due 12/01/20400.30%
BLACK BELT ENERGY GAS DIST AL 5.50%, due 04/01/20360.30%
AEROTROPOLIS REGL TRANPRTN AUTH CO 5.50%, due 12/01/20440.30%
NEW YORK ST TRANSPRTN DEV CORP 5.25%, due 08/01/20310.29%
MISSION TX ECON DEV CORP REVENUE Variable rate, due 08/01/20460.29%
VALPARAISO IN EXEMPT FACS REV 4.875%, due 01/01/20440.29%
BLACK BELT ENERGY GAS DIST AL 5%, due 06/01/20360.28%
MARYLAND ST HLTH & HGR EDUCTNL FACS AUTH 5.25%, due 07/01/20520.28%
MARYLAND ST HLTH & HGR EDUCTNL FACS AUTH 6.25%, due 01/01/20510.28%
NORTH CAROLINA ST MED CARE COMMN 4%, due 03/01/20410.28%
BLACK BELT ENERGY GAS DIST AL 5%, due 12/01/20340.28%
CLACKAMAS CNTY OR HOSP FAC AUTH 5.375%, due 11/15/20550.28%
MISSOURI ST HLTH & EDUCTNL FACS AUTH 5.25%, due 02/01/20480.28%

Only in HYD

591 securities, 97.8% of HYD by weight

New York Transportation Development Cor4.96%
Chicago Board Of Education4.87%
Puerto Rico Sales Tax Financing Corp Sa3.91%
Public Finance Authority3.41%
City Of Houston Tx Airport System Reven2.26%
California Municipal Finance Authority2.10%
Florida Development Finance Corp1.92%
California Statewide Communities Develo1.66%
Commonwealth Of Puerto Rico1.58%
Black Belt Energy Gas District1.30%
Massachusetts Development Finance Agenc1.25%
Colorado Health Facilities Authority1.17%
California Community Choice Financing A1.11%
Tobacco Settlement Financing Corp1.07%
Metropolitan Pier & Exposition Authorit1.07%
New Hampshire Business Finance Authorit0.98%
Pennsylvania Economic Development Finan0.98%
Arizona Industrial Development Authorit0.89%
Build Nyc Resource Corp0.88%
Cscda Community Improvement Authority0.86%
Virginia Small Business Financing Autho0.86%
New York Liberty Development Corp0.85%
Metropolitan Washington Airports Author0.84%
North Carolina Medical Care Commission0.77%
Washington State Housing Finance Commis0.77%
Arkansas Development Finance Authority0.76%
Oklahoma Development Finance Authority0.73%
New York State Dormitory Authority0.72%
New Jersey Transportation Trust Fund Au0.72%
Kentucky Public Energy Authority0.70%
California Health Facilities Financing0.68%
Iowa Finance Authority0.67%
New Hope Cultural Education Facilities0.65%
Illinois Finance Authority0.64%
Maryland Health & Higher Educational Fa0.62%
Southeast Energy Authority A Cooperativ0.62%
City Of Chicago Il0.59%
State Of Illinois0.58%
Texas Private Activity Bond Surface Tra0.56%
Chicago O'Hare International Airport0.56%
Puerto Rico Commonwealth Aqueduct & Sew0.55%
Ohio Air Quality Development Authority0.54%
Indiana Finance Authority0.51%
South Carolina Jobs-Economic Developmen0.49%
City Of Salt Lake City Ut Airport Reven0.49%
Mission Economic Development Corp0.47%
Connecticut State Health & Educational0.46%
Baldwin County Industrial Development A0.43%
Allentown Neighborhood Improvement Zone0.42%
Buckeye Tobacco Settlement Financing Au0.41%

Weight gaps

FMHI and HYD share no securities.

All 787 FMHI holdings⁠All 1,940 HYD holdings⁠

How we measure overlap

Each holding counts at its smaller weight in the two funds, summed over the full Holdings. Sector, country and asset class use the same rule on each fund’s split. Cash, FX and derivative lines stay out of the counts. Two bond funds get no overlap figure.

FMHI vs HYD Cost

Overpaying FMHI vs HYD

$7,064

On $10,000 over 30 years. 7% growth a year before fees, expense ratio only.

FMHI 0.70%
$13,606
HYD 0.32%
$6,542

Amount$10,000

Years30 years

Cost over time

FMHI 0.70%
HYD 0.32%
Overpaying

Year by year

Year	FMHI	HYD	Overpaying
10	$1,250	$580	$670
20	$4,760	$2,250	$2,510
30	$13,606	$6,542	$7,064

Expense ratio

0.70%FMHI
0.32%HYD, cheaper

HYD0.32%FMHI0.70%

0.30%0.70%

Middle half of High-Yield Municipal Bonds funds
Median 0.39%

HYD 2nd cheapest of 18 funds

FMHI 18th cheapest of 18 funds

FMHI vs HYD Dividends

Last 12 months to Nov 9, 2026

Yield (12M): FMHI 4.49%, better; HYD 4.45%
Payout (12M): FMHI $2.10; HYD $2.20
Last payment: FMHI $0.18; HYD $0.18
Ex-dividend: FMHI Oct 21, 2026; HYD Nov 2, 2026
Paid on: FMHI Oct 30, 2026; HYD Nov 5, 2026
Frequency: FMHI Monthly; HYD Monthly

Distribution history

Per share, 2023 to 2026, same scale for both

FMHIMonthly · 46 paymentsAll FMHI payments⁠

HYDMonthly · 46 paymentsAll HYD payments⁠

FMHI vs HYD Risk

Fall from peak · 5 years

FMHI
HYD

Risk facts

VolatilityStd dev, 3 years: FMHI 6.3%, betterHYD 6.6%
Return per unit of riskSharpe ratio, 3 years: FMHI 0.25, betterHYD 0.20
Worst fallMax drawdown, 5 years: FMHI −18.8%, betterHYD −20.2%
Market sensitivityBeta, 5 years: FMHI 0.97HYD 1.02; Market = 1

FMHI and HYD in the news

All news⁠

New ETFs
GMO's ETF share class costs more than the fund's $35 million Class III shares
Oct 22, 2026HYD
New ETFs
Nine new bond ETFs match the index fund beside them, or cost more
Oct 5, 2026HYD
New ETFs
Victory's two new municipal ETFs list at fees a waiver is holding down
Oct 5, 2026HYD
New ETFs
MacKay's new muni ETF matches Capital Group's credit rule and waives its fee to 0.34%
Oct 5, 2026HYD

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FMHI vs HYD

In short

Stated mandate

Why people hold it

Worth knowing

How FMHI and HYD differ

Level by level

Sector

Country, concentration and asset class

Country by domicile

Concentration

Asset class

Holdings

Only in FMHI

Only in HYD

Weight gaps

Cost over time

Year by year

Distribution history

Fall from peak · 5 years

Risk facts

GMO's ETF share class costs more than the fund's $35 million Class III shares

Nine new bond ETFs match the index fund beside them, or cost more

Victory's two new municipal ETFs list at fees a waiver is holding down

MacKay's new muni ETF matches Capital Group's credit rule and waives its fee to 0.34%

How FMHI and HYD differ

Level by level

Sector

Country, concentration and asset class

Country by domicile

Concentration

Asset class

Holdings

Only in FMHI

Only in HYD

Weight gaps