About SPDR Nuveen Bloomberg Barclays Short Term Municipal Bond ETF (SHM)

The SPDR Nuveen Bloomberg Barclays Short Term Municipal Bond ETF (SHM) is an exchange-traded fund that provides investors with exposure to a diversified portfolio of short-term municipal bonds. This ETF seeks to track the performance of the Bloomberg Barclays 1-10 Year Municipal Bond Index, which includes investment-grade municipal bonds with remaining maturities between one and ten years. Municipal bonds are debt securities issued by state and local governments to finance public projects such as schools, roads, and utilities.

The SHM ETF offers investors a way to potentially generate income with relatively low risk compared to other fixed-income investments. Municipal bonds are typically considered to have a lower default risk compared to corporate bonds due to the tax revenue backing the bond payments. The short-term nature of the bonds held by the ETF helps to reduce interest rate risk, as the prices of longer-term bonds tend to be more sensitive to changes in interest rates.