NYSE Arca · ETF
Invest in TAFM ETF from India
Indian and foreign residents can buy Alliance Bernstein - AB Tax-Aware Intermediate Municipal ETF (TAFM) units directly through Paasa.
By Paasa · Updated
TAFM at a glance
- Price
- $24.99+$0.02 (0.08%)
- Expense ratio
- 0.28%
- Day range
- $24.93 – $25.01
- Assets
- $1.2B
- Domicile
- the US
- Holdings
- 684
- Launched
- 2023
- Dividends
- Distributing
- 1 month
- +4.30%
- 6 months
- -1.88%
- YTD
- -2.08%
- 1 year
- -2.15%
- 5 years
- —
Price change, excluding dividends.
Top 10 holdings
- 1ALLIANCEBERNSTEIN GOVT STIF SSC FUND 64BA AGIS 5873.0%
- 2SS3GPO2 IRS USD R F 4.58350 IS3GPO2 CCPOIS1.9%
- 3SS3GAJ2 IRS USD R F 4.74600 IS3GAJ2 CCPOIS1.8%
- 4BS39GZ9 IRS USD R V 12MUSCPI IS39H01 CCPINFLATIONZERO1.4%
- 5ALABAMA ST TOLL ROAD BRIDGE ATRTRN 10/32 FIXED 51.2%
- 6SS34364 IRS USD R F 3.65950 IS34364 CCPOIS1.0%
- 7BS3DP98 IRS USD R V 12MUSCPI IS3DPA9 CCPINFLATIONZERO1.0%
- 8PUBLIC FIN AUTH WI TOLL REVENU PUBTRN 06/60 FIXED 6.50.7%
- 9PRINCE GEORGES CNTY MD COPS PRICTF 10/43 FIXED 50.7%
- 10BLACK BELT ENERGY GAS DIST AL BBEUTL 12/31 FLOATING VAR0.7%
TAFM holds 684 securities in total. These 10 are 13.4% of the fund.
Where the money is invested
Sectors
- Municipal88.0%
- Government7.8%
- Securitized0.1%
Countries
- United States95.4%
- Other3.5%
- Puerto Rico0.9%
- Guam0.2%
How to invest in TAFM from India
Step 1
Open your Paasa account
KYC takes a few minutes: PAN, Aadhaar and address proof. Your brokerage account is opened in your own name with Interactive Brokers.
Step 2
Add funds from your Indian bank account
Remit up to $250,000 a year under the RBI's Liberalised Remittance Scheme. Your bank converts the rupees to US dollars at its rate on the day you remit.
Step 3
Search TAFM and buy
Find the fund by its ticker, TAFM, on NYSE Arca, and place your order. Fractional units are available and there is no minimum trade size, so you can buy by amount.
Why invest in TAFM from India
What TAFM holds
This actively managed exchange-traded fund (ETF) specializes in intermediate-duration municipal bonds. Its primary aim is to generate an optimized income stream and deliver appealing post-tax returns, carefully calibrated for the level of risk involved.
Hold a dollar asset
TAFM is priced in US dollars, so a weaker rupee adds to what it's worth in rupees. The rupee depreciated over 85% against the dollar between 2010 and 2025.
Buy a fraction of a unit
Buy by amount, not by unit, and get the matching fraction of one TAFM unit. There is no minimum trade size.
Paasa handles the paperwork
Investing abroad brings paperwork with it: remittance filings, capital gains reporting, foreign asset disclosure. Paasa prepares all of it for you. Your India-ready tax reports arrive at year end, ready to file.
Planning to hold more than $60,000 in US ETFs? Here's what US estate tax means for you.
US-domiciled ETFs held in your own name fall under US estate tax rules. If your US holdings cross $60,000, the amount above that can be taxed at up to 40% when the account passes to your family.
A UCITS ETF tracking a similar market sits outside US estate tax.
Frequently asked questions
Can I buy TAFM from India?
Yes. Indian residents can buy Alliance Bernstein - AB Tax-Aware Intermediate Municipal ETF (TAFM) through Paasa. It is listed on NYSE Arca and trades in US dollars. Your money leaves India under the RBI's Liberalised Remittance Scheme, and the units are held in your own name at Interactive Brokers.
What does TAFM invest in?
Alliance Bernstein - AB Tax-Aware Intermediate Municipal ETF holds 684 securities. Its largest holdings are ALLIANCEBERNSTEIN GOVT STIF SSC FUND 64BA AGIS 587 (3.0%), SS3GPO2 IRS USD R F 4.58350 IS3GPO2 CCPOIS (1.9%) and SS3GAJ2 IRS USD R F 4.74600 IS3GAJ2 CCPOIS (1.8%). Municipal is its largest sector at 88.0%. It is a distributing fund domiciled in the US.
What is the expense ratio of TAFM?
Alliance Bernstein - AB Tax-Aware Intermediate Municipal ETF has an expense ratio of 0.28% a year, taken from the fund's assets rather than billed to you. The fund manages about $1.2B.
How are TAFM dividends taxed in India?
Alliance Bernstein - AB Tax-Aware Intermediate Municipal ETF is a distributing fund. It pays the dividends from its holdings out to you in cash. Dividends are taxed at your slab rate in India. Paasa's dividend report lists the gross dividend and any tax withheld for each payment.
What tax do I pay in India when I sell TAFM?
The US does not levy capital gains tax on shares for Indian residents. Gains are taxable in India. Debt-oriented funds can be taxed differently from equity funds, so confirm your rate before selling. The gain is worked out in rupees at the USD/INR rate on the day you bought and the day you sold, so the currency move is part of the gain. Paasa's capital-gains statement gives you the figures for your return.
Can I buy a fraction of one TAFM unit?
Yes. You can buy by amount rather than by unit and add to your position over time. One unit is $24.99, and there is no minimum trade size.
What happens to my TAFM units if I pass away?
US-domiciled ETFs held in your own name fall under US estate tax rules. If your US holdings cross $60,000, the amount above that can be taxed at up to 40% when the account passes to your family. A UCITS ETF tracking a similar market sits outside US estate tax. Paasa's US estate tax calculator shows the exposure for a given portfolio value.