# Vanguard Tax-Exempt Bond ETF (VTEB): ETF Facts & Distributions > Markdown mirror of https://www.dividenddata.com/funds/vteb for AI agents. Same live data as the HTML page, regenerated on the same refresh cycle. Not investment advice. - Issuer: Vanguard · Asset class: Municipal Bond - Strategy: Thematic · Inception: 2015-08-21 This index-tracking fund aims to mirror the performance of a specific benchmark, the Standard & Poor's National AMT-Free Municipal Bond Index, which represents the investment-grade segment of the U.S. municipal bond market. It achieves this by employing a sampling strategy, carefully selecting a portion of the index's holdings to replicate its overall characteristics. A minimum of 80% of its assets will be invested in securities included in this target index. Crucially, under typical market conditions, at least 80% of the fund's portfolio will consist of bonds generating income that is exem... ## Key Facts | Metric | Value | |---|---| | Price | $48.68 | | Expense Ratio | 0.03% | | Assets Under Management | $52.40B | | NAV | $48.50 | | Holdings Count | 2 | | Distribution Yield (TTM) | 3.49% | | Annual Distribution (TTM) | $1.70 /share | | Distribution Frequency | Monthly | | 52-Week Range | $46.87 – $51.18 | | Beta | 0.95 | ## Latest Distribution - Amount: $0.1372 /share - Ex-date: 2026-10-01 - Pay date: 2026-10-05 ## Frequently Asked Questions ### What does VTEB invest in? This index-tracking fund aims to mirror the performance of a specific benchmark, the Standard & Poor's National AMT-Free Municipal Bond Index, which represents the investment-grade segment of the U.S. municipal bond market. It achieves this by employing a sampling strategy, carefully selecting a portion of the index's holdings to replicate its overall characteristics. A minimum of 80% of its assets will be invested in securities included in this target index. Crucially, under typical market conditions, at least 80% of the fund's portfolio will consist of bonds generating income that is exempt from both federal income tax and the federal alternative minimum tax (AMT). A primary risk is its sensitivity to interest rate fluctuations: rising rates can lead to a decrease in bond prices, while falling rates may eventually reduce the income distributed by the fund. This fund is designed for investors seeking potentially tax-free federal income who are comfortable with moderate swings in both investment value and distributed income. To maintain diversification, for 75% of its total assets, the fund generally restricts its holdings: it won't acquire more than 10% of an issuer's voting securities, nor will it invest more than 5% of its total assets in a single issuer's securities. Exceptions to these limits apply when necessary to match the target index's composition or when investing in U.S. government or agency obligations. ### What is the expense ratio of VTEB? Vanguard Tax-Exempt Bond ETF (VTEB) charges an expense ratio of 0.03%. This is the annual fee deducted from fund assets to cover management and operations. ### What is VTEB's dividend yield? VTEB's trailing-twelve-month yield is 3.49%, calculated from the sum of dividends over the past year divided by the current price. ### What is the duration of VTEB? Effective duration measures VTEB's sensitivity to interest-rate changes: a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. VTEB's current duration is published on the fund's factsheet on the issuer's website. ### What is the credit quality of VTEB? VTEB's credit quality breakdown (the share of holdings rated AAA through CCC and below) is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds. ### What is the yield to maturity of VTEB? Yield to maturity (YTM) is the total return you'd earn from VTEB if every bond in the portfolio is held to maturity at the current price. VTEB's YTM is published on the fund's factsheet on the issuer's website. It differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid. ### Does VTEB pay a dividend? Yes, Vanguard Tax-Exempt Bond ETF (VTEB) distributes dividends to shareholders. The trailing-twelve-month yield is 3.49%. Full dividend history is on this page. ### How often does VTEB pay dividends? Vanguard Tax-Exempt Bond ETF pays dividends Monthly. Each ex-dividend date, record date, and payment date is listed in the dividend history table on this page. ### When is VTEB's next ex-dividend date? The most recently announced ex-dividend date for VTEB was 2026-10-01. The next ex-date typically follows Monthly; once announced it appears at the top of the dividend history table on this page. ### How much will VTEB's expense ratio cost me over 30 years? On a $10,000 investment compounding at 7% gross return, a 0.03% expense ratio quietly compounds against your balance every year. The Fee Compounding Forecast card above projects the dollar drag for any holding period and assumption you pick. The typical result for a 1.0% expense ratio on a 30-year hold is roughly 25% of the final balance lost to fees. ### How does VTEB charge its expense ratio? The expense ratio is deducted in tiny daily slices from VTEB's net asset value (NAV). You never see a bill. The price quoted on every exchange is already net of fees. There's no "fee day" to avoid; the cost is continuous and built into the trading price. ### Why does VTEB cost more than a fund like VOO? VTEB's strategy (current expense ratio 0.03%) is different from a broad-market index tracker like VOO, so its fee belongs to a different cohort. The Cost Verdict card above shows you where VTEB sits within its own category, which is the comparison that actually matters. ### Are there cheaper alternatives to VTEB? The Lower-Fee Alternatives card above lists ETFs following the same investment strategy as VTEB (0.03%) but at a lower expense ratio. Each row shows the fee gap, the peer's AUM as a liquidity sanity-check, and a direct link to that fund's analysis page. Cheaper price doesn't automatically mean better. Verify the peer holds what you actually want. ## More on Dividend Data - Overview (HTML): https://www.dividenddata.com/funds/vteb - Distribution history: https://www.dividenddata.com/funds/vteb/dividend - Holdings & diversification: https://www.dividenddata.com/funds/vteb/diversification - Fees & cheaper alternatives: https://www.dividenddata.com/funds/vteb/expenses - Peer comparison: https://www.dividenddata.com/funds/vteb/peers Data sourced from primary filings and market data providers; see https://www.dividenddata.com/methodology.