Northern Trust 2035 Tax-Exempt Distributing Ladder ETF

Northern Trust 2035 Tax-Exempt Distributing Ladder ETF is an exchange-traded fund designed to provide a structured stream of federal tax-exempt income and return of principal through the year 2035. Classified as a fixed income fund, it primarily invests in a diversified portfolio of investment-grade U.S. municipal bonds with staggered maturity dates, effectively replicating a traditional bond ladder's characteristics within a single, accessible ETF structure. The core objective is to deliver regular monthly distributions of tax-exempt income, supplemented by annual principal payments as underlying bonds mature, supporting cash flow management for investors seeking predictable, tax-efficient withdrawals—such as those in or approaching retirement. Notable features include the convenience of professional management, broad credit diversification, and liquidity typically exceeding what is available through direct bond laddering, all at a low expense ratio typical of the ETF format. By focusing on high-quality municipal issuers, this fund plays a significant role in the market by offering a turnkey solution for investors who desire the benefits of municipal bond ladders—income stability, tax advantages, and interest rate risk management—without the complexity of assembling and maintaining individual bonds themselves.