ETF Evaluator:
Dimensional National Municipal Bond ETF ()
Follow This ETF
(as of Aug 26)
Best Performing in Muni National Interm Over the Last Year
| 7.5% | Simplify National Muni Bond ETF (NMB) |
| 6.9% | X-Square Municipal Income Tax Free ETF (ZTAX) |
| 6.3% | BNY Mellon Municipal Opportunities ETF (BMOP) |
| 6.2% | PIMCO Muncpl Income Oppos Act Ex-Trd (MINO) |
| 6.0% | American Century Divers Muncpl Bd ETF (TAXF) |
Risk
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Risk
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ETF Details
Dimensional National Municipal Bond ETF Overview
Dimensional National Municipal Bond ETF (DFNM) is an actively managed Municipal Bond Muni National Interm exchange-traded fund (ETF). Dimensional Fund Advisors launched the ETF in 2021.
The investment seeks to provide current income that is expected to be exempt from federal personal income tax.
Under normal market conditions, the Portfolio will invest at least 80% of its net assets in municipal securities that pay interest exempt from federal income tax. The Portfolio will generally maintain a weighted average duration of no more than one half year greater, and no less than one year below, the average duration of the S&P Intermediate Term National AMT-Free Municipal Bond Index.
About Dimensional National Municipal Bond ETF (DFNM)
There are 3 members of the management team with an average tenure of 4.71 years: David Plecha (2021), Travis Meldau (2021) and Joseph Kolerich (2021). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 2 primary benchmarks: S&P National AMT Free Muni TR USD index with a weighting of 100% and S&P Interm National AMT Free Muni TR USD index with a weighting of 100%. Dimensional National Municipal Bond ETF has 1200 securities in its portfolio. The top 10 holdings constitute 6.0% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
Dimensional National Municipal Bond ETF is part of the Fixed Income global asset class and is within the Municipal Bond ETF group. Dimensional National Municipal Bond ETF has 0.0% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0% There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 97.1% (97.1% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Dimensional National Municipal Bond ETF has 2.9% of the portfolio in cash.
Assets Under Management
The fund has $2 billion in total assets, which is below the $2 billion average for the Muni National Interm category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
DFNM Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Dimensional National Municipal Bond ETF expense ratio is low compared to funds in the Muni National Interm category. Dimensional National Municipal Bond ETF has an expense ratio of 0.17%, which is 40% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Dimensional National Municipal Bond ETF has a portfolio turnover rate of 42%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 41% for the Muni National Interm category.
Recently, in the month of July 2026, Dimensional National Municipal Bond ETF returned -1.2%, which earned it a grade of A, as the Muni National Interm category had an average return of -1.6%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
Dimensional National Municipal Bond ETF has a trailing yield of 2.98%, which is below the 3.53% category average.
The fund normally distributes its income monthly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Dimensional National Municipal Bond ETF Grades
Year to date, the ETF has returned 0.4%, 0.0 percentage points better than the category, which translates into a grade of C. The fund has returned 3.7% over the past year (grade of F) and 2.9% over the past three years (grade of D).
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DFNM Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| DFNM Return (NAV) | -1.2% | -0.5% | 3.7% | 2.9% | na | na |
| DFNM Return (Price) | -1.2% | -0.5% | 3.8% | 2.9% | na | na |
| NAV +/- Price Return | -0.039% | -0.018% | -0.095% | -0.007% | na | na |
| Muni National Interm Avg | -1.6% | -0.5% | 4.9% | 3.3% | 0.6% | 1.9% |
| DFNM Grade (NAV) | A | C | F | D | na | na |
| +/- Category (NAV) | 0.4% | -0.0% | -1.2% | -0.4% | na | na |
| DFNM Tax-Cost Ratio | na | na | 0.0% | 0.0% | na | na |
DFNM Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| DFNM Return (NAV) | 0.4% | 3.9% | 1.3% | 3.9% | -4.0% | na | na | na | na | na | na |
| DFNM Return (Price) | 0.5% | 3.9% | 1.2% | 4.0% | -4.0% | na | na | na | na | na | na |
| NAV +/- Price Ret | 0.204% | 0.000% | -0.091% | 0.015% | -0.000% | na | na | na | na | na | na |
| Muni National Interm Avg | 0.4% | 4.7% | 2.0% | 6.1% | -8.1% | 1.6% | 5.0% | 7.7% | 1.2% | 5.2% | 0.1% |
| DFNM Grade (NAV) | C | F | D | F | A | na | na | na | na | na | na |
| +/- Category | 0.0% | -0.8% | -0.6% | -2.2% | 4.1% | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | 0.58 |
| R-Squared: | 98% |
| Standard Deviation: | 3.4% |
| Category Risk Index: | 0.67 |
| Category Risk Rating: | Low |
| Total Risk Index: | 0.27 |
| Total Risk Rating: | Low |
| Portfolio Characteristics | |
| Yield: | 3.0% |
| Total Assets: | $ 2,236 Mil |
| Share Class Assets: | $ 2,236 Mil |
| Turnover: | 42.0% |
| Expense Ratio: | 0.17% |
| Index Fund: | No |
| Index Tracked: | S&P National AMT Free Muni TR USD |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | Annually |
| Income Distribution Frequency: | Monthly |
Management Team
| Number of Managers: 3 | |||
| Longest Tenure: 4.7 years | |||
| Average Tenure: 4.7 years | |||
| Managers (Year): Plecha David (2021), Meldau Travis (2021), Kolerich Joseph (2021) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 1200 |
| % in Top 10 Holdings: | 6.0% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 0.0% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 97.1% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 2.9% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | Dimensional Fund Advisors |
| Phone Number: | 512-306-7400 |
| Website: | https://www.dimensional.com |
| Inception Date: | November 15, 2021 |
Expenses and Fees
| Expense Ratio (%): | 0.17% (Rating: Low) |
| Category Average Expense Ratio (%): | 0.28% |
