MMIT vs TXXI

MMITANYLI MacKay Muni Intermediate ETF

TXXICBondBloxx IR+M Tax-Aware Intermediate Duration ETF

In short

MMIT Active muni bond-picking in an ETF wrapper. MacKay Shields' municipal desk has run MMIT since 2017, sifting roughly 900 investment-grade, AMT-free bonds for income exempt from federal tax, and paying it out monthly.

TXXI Most muni ETFs pick a lane. TXXI runs both: at least half in federally tax-exempt munis, the rest in taxable bonds, with duration held to a 3 to 5 year band. Actively managed by bond shop IR+M, launched in 2025.

Stated mandate

MMIT The Fund seeks current income exempt from federal income tax.

TXXI The Fund seeks attractive after-tax income while preserving capital. It invests in dollar-denominated municipal and taxable intermediate-duration fixed-income securities, normally allocating at least 50% of assets to federally tax-exempt municipal securities and seeking a 3–5-year weighted-average portfolio duration.

Why people hold it

• MMIT Genuinely active, not an index in disguise: MacKay Shields' muni team picks bonds on credit and yield-curve analysis, targeting a 3 to 10 year duration band.nylim.comstockanalysis.com
• A billion-dollar-plus fund and one of the more actively traded in the intermediate muni group, with roughly 900 bonds spreading issuer risk.
• Trading since 2017, a long run for an active muni ETF, and one of the stronger implementations in its intermediate muni peer group.
• Does the one job it advertises: current income exempt from federal income tax, distributed monthly.

• TXXI The mandate is written down, not implied: a 50% floor in federally tax-exempt munis, the balance in taxable fixed income, weighted-average duration kept between 3 and 5 years.
• What it holds matches what it says. The portfolio stays inside its tax-aware, intermediate-duration lane rather than drifting long or into pure taxable credit.
• Distributions land monthly, so income arrives on a steady schedule instead of in quarterly lumps.
• The blend is the point: a manager deciding where after-tax income looks better, munis or taxables, instead of an index locking the fund into one side.

Worth knowing

• MMIT 0.30%, net of a fee waiver off 0.46% gross, sits near the category median but above index rivals: TAXI 0.05%, ITM 0.18%, EVIM 0.11% net of a waiver through February 1, 2027.
• Active management cuts both ways: holdings and results can drift from a plain muni index in either direction.nylim.com
• Income is exempt from federal income tax, not state tax, and the bonds still reprice when rates move.nylim.com

• TXXI At 0.35% it runs above the muni-fund median of 0.30%, and index heavyweights VTEB and SCMB charge 0.03%. Active management and the crossover mandate are what the gap buys.
• A small, thinly traded fund launched in 2025: spreads can be wider than the big muni trackers, and the track record is still short.
• Only half the book must be tax-exempt. Income from the taxable sleeve is federally taxable, so the shelter is partial compared with a pure muni fund.

Full MMIT profile⁠

Full TXXI profile⁠