Core Insights - Investors are increasingly utilizing ETFs to optimize year-end investment decisions, particularly for tax impacts and fixed income allocations [1] - Active ETFs like TAXF and MUSI are highlighted as potential options for investors looking to enhance income and manage tax burdens [1] Tax-Exempt Municipal Bond ETF (TAXF) - TAXF employs an active strategy focusing on tax-exempt municipal bonds, charging a fee of 27 basis points [2] - The fund allocates over one-third of its holdings to riskier municipal bonds to achieve higher yields, allowing for closer scrutiny of bond issuers compared to passive funds [3] - Year-to-date, TAXF has returned 4.4%, outperforming its category average, with a 12-month distribution rate of 3.6% as of November 30 [4] Multisector Income ETF (MUSI) - MUSI charges a fee of 37 basis points and actively invests across a diverse range of fixed income segments, including bank loans, high yield, and emerging markets debt [5] - The fund has achieved a year-to-date return of 8.5%, also surpassing its category average, with a 12-month distribution rate of 5.8% as of November 30 [6] - MUSI's broad investment strategy aims to provide strong income to investors, making it an appealing option for those focused on income generation [6] Overall Assessment - The combination of TAXF and MUSI presents solid investment opportunities for investors seeking to reduce tax liabilities or enhance income during uncertain market conditions [6]

Core Insights - Market uncertainty is increasing, leading investors to seek stability in bond portfolios, particularly for those nearing retirement [1] - Active bond strategies may provide better income options compared to passive strategies, as they can adapt to market changes and issues more effectively [1] - The American Century Multisector Income ETF (MUSI) is highlighted as a potential active bond ETF for income generation, with a fee of 37 basis points [2] Performance Metrics - MUSI has achieved a year-to-date return of 7.5%, outperforming its ETF Database Category average [3] - The ETF offered a yield to maturity of 6.5% and a 12-month distribution rate of 5.9% as of October 31st [3]