First Trust Short Duration Managed Municipal ETF (FSMB) Fund Overview
Educational signal · not a buy or sell recommendation · How to read this
Beta 0.36: the stock has moved about 64% less than the S&P 500.
For informational purposes only. Not financial advice. Machine-generated analysis by Stock Expert AI — model gemini-2.0-flash, generated Mar 18, 2026. Editorial oversight is systemic, not page-by-page. Editorially accountable: Sedat ANAK, Founder and Editor-in-Chief. Data sources: Financial Modeling Prep, Yahoo Finance, SEC EDGAR
Quick AnswerFirst Trust Short Duration Managed Municipal ETF (FSMB) trades at $19.52. First Trust Short Duration Managed Municipal ETF (FSMB) aims to provide federally tax-exempt income while prioritizing capital preservation. The fund invests primarily in short-duration municipal debt securities. Sector: Financials.
Price as of · Last analyzed: Mar 18, 2026Analyst Coverage for FSMB: FSMB does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage.
First Trust Short Duration Managed Municipal ETF (FSMB) Financial Services Profile
First Trust Short Duration Managed Municipal ETF (FSMB) offers investors federally tax-exempt income through a portfolio of short-duration municipal debt. With a focus on capital preservation, FSMB provides a relatively low-volatility option within the leveraged asset management sector, appealing to risk-averse investors seeking tax advantages.
What Is the Investment Thesis for FSMB?
FSMB presents a compelling option for investors seeking tax-exempt income with a focus on capital preservation. The fund's strategy of investing primarily in short-duration municipal bonds reduces interest rate risk compared to longer-duration fixed income investments. With a beta of 0.36, FSMB exhibits lower volatility relative to the broader market. However, the absence of a dividend yield may deter income-focused investors seeking regular payouts. The fund's success hinges on the continued stability of the municipal bond market and effective management of credit risk within its portfolio. Growth catalysts include increasing demand for tax-advantaged investments and strategic allocation to high-quality municipal debt. The fund's ability to maintain its focus on short-duration securities and manage expenses will be critical to its long-term performance.
Based on FMP financials and quantitative analysis
FSMB Key Highlights
Market Cap of $0.57B indicates a moderate size within the ETF landscape.
- Beta of 0.36 suggests lower volatility compared to the overall market.
- Focus on municipal debt securities provides federally tax-exempt income.
- Investment strategy emphasizes capital preservation, appealing to risk-averse investors.
- Actively managed portfolio allows for adjustments based on market conditions and credit quality.
Who Are FSMB's Competitors?
FSMB is benchmarked below against 5 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | MoonshotScore |
|---|---|---|---|---|
| DFCA Dimensional - California Municipal Bond ETF | $47.81 | +0.03% | $680M | — |
| ELM Elm Market Navigator ETF | $29.49 | +0.03% | $585M | — |
| IBND SPDR Bloomberg International Corporate Bond ETF | $29.79 | +0.60% | $438M | — |
| JNUG Direxion Daily Junior Gold Miners Index Bull 2X ETF | $143.60 | -1.51% | $466M | — |
| MUST Columbia Multi-Sector Municipal Income ETF | $19.17 | -0.10% | $571M | — |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are FSMB's Key Strengths?
Focus on capital preservation.
- Federally tax-exempt income.
- Actively managed portfolio.
- Low beta indicates lower volatility.
What Are FSMB's Weaknesses?
No dividend yield may deter income-focused investors.
- Susceptible to interest rate risk, although mitigated by short duration.
- Credit risk associated with municipal bond issuers.
- Relatively small market cap compared to larger ETFs.
What Are the Key Risks for FSMB?
Changes in tax laws that could reduce the attractiveness of municipal bonds.
- Rising interest rates could negatively impact bond prices.
- Credit risk associated with municipal bond issuers.
- Market volatility and economic uncertainty.
What Are FSMB's Competitive Advantages?
- Established brand recognition of First Trust within the ETF market.
- Focus on short-duration municipal bonds provides a specific niche.
- Actively managed portfolio allows for flexibility in changing market conditions.
- Tax-exempt income stream offers a unique benefit to investors.
What Does FSMB Do?
The First Trust Short Duration Managed Municipal ETF (FSMB) was created to provide investors with federally tax-exempt income while prioritizing the preservation of capital. The fund achieves this objective by investing primarily in municipal debt securities that pay interest exempt from regular federal income taxes. Under normal market conditions, FSMB invests at least 80% of its net assets, including investment borrowings, in these types of securities. This strategy focuses on short-duration bonds, which are less sensitive to interest rate fluctuations compared to longer-term bonds. FSMB's investment approach is designed to offer a stable income stream with lower volatility than broader fixed-income markets. The fund's portfolio is actively managed, allowing the investment team to adjust holdings based on market conditions and credit quality considerations. By focusing on short-duration municipal bonds, FSMB aims to provide a balance between income generation and capital protection for its investors.
What Products and Services Does FSMB Offer?
- Invests in municipal debt securities to provide federally tax-exempt income.
- Prioritizes capital preservation through a focus on short-duration bonds.
- Seeks to maintain a portfolio of high-quality municipal bonds.
- Actively manages its portfolio to adapt to changing market conditions.
- Offers investors a relatively low-volatility fixed-income option.
- Provides diversification within the municipal bond market.
How Does FSMB Make Money?
- Generates revenue through management fees charged on assets under management (AUM).
- Invests primarily in municipal bonds that pay tax-exempt interest.
- Manages credit risk through careful selection of municipal bond issuers.
- Adjusts portfolio duration to manage interest rate risk.
What Industry Does FSMB Operate In?
FSMB operates within the asset management industry, specifically focusing on leveraged ETFs investing in municipal bonds. The market for municipal bonds is influenced by factors such as interest rates, credit ratings, and tax policies. Demand for tax-exempt income drives investment in municipal bond funds. FSMB competes with other short-duration municipal bond ETFs and actively managed fixed-income funds. The competitive landscape includes firms like DFCA, ELM, IBND, JNUG, and MUST. FSMB differentiates itself through its specific investment strategy and focus on capital preservation.
Who Are FSMB's Key Customers?
- Individual investors seeking tax-exempt income.
- Financial advisors looking for fixed-income options for their clients.
- Institutions seeking to diversify their portfolios with municipal bonds.
- Retirees looking for stable income streams with capital preservation.
Research confidence
Thin evidence — scoring coverage unknown. Treat this as a starting point, not a conclusion.
- ● Scoring coverage unknown
- ● Price is current
- ● No filing on record
- ● No analyst coverage
- ● This is an etf, not an operating company
MoonshotScore History
Recorded daily since 2026-08-23 · 42 snapshots
| 2026-08-23 | 47 |
| 2026-08-31 | 47 |
| 2026-09-08 | 47 |
| 2026-09-16 | 47 |
| 2026-09-24 | 47 |
| 2026-10-04 | 47 |
| 2026-10-05 | 47 |
What changed?
The score has stayed at 47.
Over the same 30 days the stock moved -1.6%.
FSMB Financials
Bull Case vs Bear Case
Bull Case
- Focus on capital preservation.
- Federally tax-exempt income.
- Actively managed portfolio.
- Low beta indicates lower volatility.
Bear Case
- No dividend yield may deter income-focused investors.
- Susceptible to interest rate risk, although mitigated by short duration.
- Credit risk associated with municipal bond issuers.
- Relatively small market cap compared to larger ETFs.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
FSMB Latest News
No recent news available for FSMB.
FSMB Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations collected by Financial Modeling Prep for FSMB.
Price Targets
Wall Street price target analysis for FSMB.
FSMB MoonshotScore
MoonshotScore is Stock Expert AI's proprietary 0-100 research rating, not a buy or sell recommendation. No MoonshotScore is published for FSMB; grades run from A+ (80-100) to F (below 30).
Common Questions About FSMB (Financials)
What are the main risks for FSMB?
The main risks for FSMB include interest rate risk, credit risk, and market risk. Interest rate risk refers to the potential for bond prices to decline as interest rates rise. Credit risk is the risk that a municipal bond issuer will default on its debt obligations.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
MoonshotScore is not published for this security.
Data provided for informational purposes only.
- Financial data is based on publicly available information and may be subject to change.