BlackRock Taxable Municipal Bond Trust of Beneficial Interest
Find Ratings Reports- Last Ratings Update:02/29/2024
- Price as of 02/29/2024 :$16.36
- Net Assets:$1,108.21 Million
- NAV:$17.78
- Premium-7.99%
- Peer Rank:93 of 116
- Investment Rating:D
- Performance:D-
- RiskC+
We rate BlackRock Taxable Municipal Bond Tr at D. Negative factors that influence this rating include a high expense structure. The fund invests approximately 100% of its assets in bonds and may be considered for investors seeking a Municipal - National strategy.
Total return ranks well below peers over the last three years. The BlackRock Taxable Municipal Bond Tr has returned an annual rate of 5.47% since inception. More recently, the fund has generated a total return of 0.51% in the last five years, -5.69% in the last three years, and 2.55% in the last year. How does that compare to other equity funds? In the last five years, it has outperformed 18% of them. It has also outpaced 13% of its competitors on a three year basis and 23% of them over the last year for the period ending 2/29/2024. On a year to date basis, BBN has returned 2.48%.
Downside risk has been above average. BBN has a draw down risk of -43.40%, which is the largest price decline experienced over the last three years. This fund has a three year standard deviation of 17.6%. This fund has had moderate volatility in its monthly performance over the last 36 months.
High expense ratio hinders performance. On total assets of $1.11 billion, BBN maintains a high expense ratio compared to its Municipal - National peers of 3.42% to cover all operating costs. Brokerage costs for the fund to buy and sell shares are not included in the expense ratio. As BBN is a closed end fund, it has no front end or back end load.
Manager tenure is a net positive but performance record lags managerial peers. Substandard fund managers tend to be replaced, so a long tenure is usually a good sign that a fund is achieving its objectives. The BlackRock Taxable Municipal Bond Tr has been managed by Peter J. Hayes for the last 14 years. Over that period, the manager was able to capture more actual gains in excess of the expected return than just 32% of other fund managers.