BNY Mellon Strategic Municipal Bond Fund Short Interest Drops 67.2% in January

The closed-end fund saw a significant decline in short positions last month.

Published on Feb. 14, 2026

Got story updates? Submit your updates here. ›

BNY Mellon Strategic Municipal Bond Fund, Inc. (NYSE:DSM) saw a 67.2% decrease in short interest in January, with short positions falling from 104,507 shares to 34,313 shares. The fund, which is focused on providing tax-exempt income, now has approximately 0.1% of its shares sold short.

Why it matters

The decline in short interest for the BNY Mellon Strategic Municipal Bond Fund suggests that investor sentiment towards the fund has improved, potentially indicating increased confidence in the fund's performance and strategy.

The details

The short interest ratio, which measures the number of days it would take to cover all the short positions, has fallen to 0.3 days based on the fund's average daily trading volume. Additionally, major shareholder Saba Capital Management, L.P. increased its stake in the fund by 0.54% in a recent transaction.

  • As of January 30th, 2026, the fund had 34,313 shares sold short.
  • This represents a 67.2% decline from the 104,507 shares sold short as of January 15th, 2026.

The players

BNY Mellon Strategic Municipal Bond Fund, Inc.

A closed-end, diversified management investment company sponsored by The Bank of New York Mellon Corporation, launched in 2007 and listed on the New York Stock Exchange.

Saba Capital Management, L.P.

A major shareholder of the BNY Mellon Strategic Municipal Bond Fund, Inc. that recently increased its stake in the fund by 0.54%.

Got photos? Submit your photos here. ›

The takeaway

The significant drop in short interest for the BNY Mellon Strategic Municipal Bond Fund could signal a positive shift in investor sentiment towards the fund, potentially reflecting increased confidence in its performance and investment strategy.