SMBS Alternatives & Similar ETFs

Schwab Mortgage-Backed Securities ETF (SMBS) belongs to the Mortgage Backed Securities category. Below you'll find alternative ETFs from the same category, ranked by key criteria, plus funds that investors commonly compare with SMBS. Use the tables to find lower-cost options, better risk-adjusted returns, or a closer substitute for your current allocation.

Cheapest Alternatives to SMBS

SMBS charges 0.03% annually. No ETFs in the Mortgage Backed Securities category have lower expense ratios; the lowest-cost alternatives shown here go as low as 0.04%.

Symbol	Name	Expense Ratio	AUM	Inception
VMBS	Vanguard Mortgage-Backed Securities ETF	0.04%	17.30B	Nov 2009	SMBS vs VMBS
SPMB	SPDR Portfolio Mortgage Backed Bond ETF	0.04%	7.00B	Jan 2009	SMBS vs SPMB
MBB	iShares MBS Bond ETF	0.04%	38.93B	Mar 2007	SMBS vs MBB
GNMA	iShares GNMA Bond ETF	0.15%	421.25M	Feb 2012	SMBS vs GNMA
MTBA	Simplify MBS ETF	0.15%	1.49B	Nov 2023	SMBS vs MTBA

Best Risk-Adjusted Alternatives to SMBS

SMBS has a PortfoliosLab risk / return rank of 43. There are 5 ETFs in the Mortgage Backed Securities category with higher risk-adjusted ranks, going as high as 96.

Symbol	Name	Risk / Return Rank	AUM	Inception
FTSD	Franklin Short Duration U.S. Government ETF	96	301.85M	Nov 2013	SMBS vs FTSD
LMBS	First Trust Low Duration Mortgage Opportunities ET...	91	6.35B	Nov 2014	SMBS vs LMBS
VABS	Virtus Newfleet ABS/MBS ETF	85	112.17M	Feb 2021	SMBS vs VABS
JMTG	JPMorgan Mortgage-Backed Securities ETF	46	6.79B	Aug 2000	SMBS vs JMTG
DEED	First Trust TCW Securitized Plus ETF	43	64.17M	Apr 2020	SMBS vs DEED

Top Performing SMBS Alternatives (YTD)

SMBS is at -0.04% YTD. There are 8 ETFs in the Mortgage Backed Securities category with higher YTD returns, going as high as 4.51%.

Symbol	Name	YTD Return	AUM	Inception
MBSX	Regan Fixed Rate MBS ETF	4.51%	13.94M	Apr 2025	SMBS vs MBSX
NSCI	Nuveen Securitized Income ETF	2.58%	207.24M	Sep 2025	SMBS vs NSCI
VABS	Virtus Newfleet ABS/MBS ETF	2.04%	112.17M	Feb 2021	SMBS vs VABS
LMBS	First Trust Low Duration Mortgage Opportunities ET...	1.39%	6.35B	Nov 2014	SMBS vs LMBS
FTSD	Franklin Short Duration U.S. Government ETF	1.24%	301.85M	Nov 2013	SMBS vs FTSD

Lowest Volatility Alternatives to SMBS

SMBS has 4.09% 1-year volatility. There are 13 ETFs in the Mortgage Backed Securities category with lower 1-year volatility, going as low as 1.30%.

Symbol	Name	Volatility 1Y	AUM	Inception
NSCI	Nuveen Securitized Income ETF	1.30%	207.24M	Sep 2025	SMBS vs NSCI
FTSD	Franklin Short Duration U.S. Government ETF	1.36%	301.85M	Nov 2013	SMBS vs FTSD
ASEC	American Century Securitized Credit ETF	1.83%	20.00M	May 2026	SMBS vs ASEC
VABS	Virtus Newfleet ABS/MBS ETF	1.89%	112.17M	Feb 2021	SMBS vs VABS
LMBS	First Trust Low Duration Mortgage Opportunities ET...	1.97%	6.35B	Nov 2014	SMBS vs LMBS

Lowest Drawdown Alternatives to SMBS

SMBS has a 1-year max drawdown of -2.83%. There are 11 ETFs in the Mortgage Backed Securities category with shallower 1-year drawdowns, going as shallow as -0.45%.

Symbol	Name	Max Drawdown 1Y	AUM	Inception
FTSD	Franklin Short Duration U.S. Government ETF	-0.45%	301.85M	Nov 2013	SMBS vs FTSD
VABS	Virtus Newfleet ABS/MBS ETF	-0.98%	112.17M	Feb 2021	SMBS vs VABS
LMBS	First Trust Low Duration Mortgage Opportunities ET...	-1.43%	6.35B	Nov 2014	SMBS vs LMBS
MBSD	FlexShares Disciplined Duration MBS Index Fund	-2.17%	88.64M	Sep 2014	SMBS vs MBSD
CMBS	iShares CMBS ETF	-2.44%	472.92M	Feb 2012	SMBS vs CMBS

Other ETFs from Charles Schwab

The 10 most viewed Charles Schwab ETFs shown here include SCHD, SCHG, SCHX and span 6 categories. AUM among these funds goes as high as $104B.

Symbol	Name	Category	Risk / Return Rank	YTD Return	AUM	Inception
SCHD	Schwab U.S. Dividend Equity ETF	Dividend	95	24.03%	104.16B	Oct 2011	SMBS vs SCHD
SCHG	Schwab U.S. Large-Cap Growth ETF	Large Cap Growth Equities	30	4.99%	59.97B	Dec 2009	SMBS vs SCHG
SCHX	Schwab U.S. Large-Cap ETF	Large Cap Blend Equities	64	10.00%	71.82B	Nov 2009	SMBS vs SCHX
SCHB	Schwab U.S. Broad Market ETF	Large Cap Blend Equities	67	10.58%	43.26B	Nov 2009	SMBS vs SCHB
SCHF	Schwab International Equity ETF	Foreign Large Cap Equities	77	14.79%	67.17B	Nov 2009	SMBS vs SCHF
SCHY	Schwab International Dividend Equity ETF	Dividend, Foreign Large Cap Equities	86	13.81%	2.52B	Apr 2021	SMBS vs SCHY
SCHV	Schwab U.S. Large-Cap Value ETF	Large Cap Value Equities	89	16.12%	15.73B	Dec 2009	SMBS vs SCHV
FNDX	Schwab Fundamental U.S. Large Company Index ETF	Large Cap Value Equities	95	17.56%	26.79B	Aug 2013	SMBS vs FNDX
FNDF	Schwab Fundamental International Equity ETF	Foreign Large Cap Equities, Large Cap Value Equities	91	20.14%	25.13B	Aug 2013	SMBS vs FNDF
SCHA	Schwab U.S. Small-Cap ETF	Small Cap Blend Equities	77	18.33%	22.23B	Nov 2009	SMBS vs SCHA

Often Compared With SMBS

Investors most often compare SMBS with HIMU, SCHI, SCHH. These 20 comparison targets span 15 categories, based on PortfoliosLab usage data.

Symbol	Name	Category	Risk / Return Rank	YTD Return	AUM	Inception
HIMU	iShares High Yield Muni Active ETF	High Yield Muni	77	2.34%	—	Feb 2025	SMBS vs HIMU
SCHI	Schwab 5-10 Year Corporate Bond ETF	Corporate Bonds	30	-0.64%	11.45B	Oct 2019	SMBS vs SCHI
SCHH	Schwab US REIT ETF	REIT	63	17.68%	11.48B	Jan 2011	SMBS vs SCHH
SCCR	Schwab Core Bond ETF	Intermediate Core Bond	30	-0.67%	1.53B	Feb 2025	SMBS vs SCCR
CLOI	VanEck CLO ETF	CLO	98	2.85%	1.53B	Jun 2022	SMBS vs CLOI
SPMO	Invesco S&P 500 Momentum ETF	Momentum, S&P 500	46	21.07%	21.05B	Oct 2015	SMBS vs SPMO
SCHP	Schwab U.S. TIPS ETF	Inflation-Protected Bonds	32	0.54%	16.38B	Aug 2010	SMBS vs SCHP
VOO	Vanguard S&P 500 ETF	S&P 500	68	10.16%	1.70T	Sep 2010	SMBS vs VOO
TLT	iShares 20+ Year Treasury Bond ETF	Government Bonds, Long-Term Bond	9	-3.49%	41.54B	Jul 2002	SMBS vs TLT
JPIE	JPMorgan Income ETF	Multisector Bonds	95	1.77%	10.22B	Oct 2021	SMBS vs JPIE
BIL	SPDR Bloomberg 1-3 Month T-Bill ETF	Government Bonds, Ultrashort Bond	100	2.08%	47.03B	May 2007	SMBS vs BIL
VGIT	Vanguard Intermediate-Term Treasury ETF	Government Bonds	25	-0.77%	50.40B	Nov 2009	SMBS vs VGIT
TLH	iShares 10-20 Year Treasury Bond ETF	Government Bonds, Long-Term Bond	11	-2.91%	10.83B	Jan 2007	SMBS vs TLH
MGK	Vanguard Mega Cap Growth ETF	Large Cap Growth Equities	29	4.77%	33.30B	Dec 2007	SMBS vs MGK
VGSH	Vanguard Short-Term Treasury ETF	Government Bonds, Short-Term Bond	91	0.77%	33.80B	Nov 2009	SMBS vs VGSH
USFR	WisdomTree Floating Rate Treasury Fund	Government Bonds, Ultrashort Bond	100	2.27%	18.13B	Feb 2014	SMBS vs USFR
SPTS	SPDR Portfolio Short Term Treasury ETF	Government Bonds, Short-Term Bond	92	0.75%	6.12B	Nov 2011	SMBS vs SPTS
VETZ	Academy Veteran Bond ETF	Mortgage Backed Securities	37	-0.34%	80.69M	Aug 2023	SMBS vs VETZ
SHV	iShares 0-1 Year Treasury Bond ETF	Government Bonds, Ultrashort Bond	100	2.01%	20.70B	Jan 2007	SMBS vs SHV
PMBS	PIMCO Mortgage-Backed Securities Active Exchange-T...	Mortgage Backed Securities	41	-0.16%	—	Jul 1997	SMBS vs PMBS

Compare SMBS with Any Fund or Stock

Compare SMBS with any ETF, mutual fund, or stock using PortfoliosLab's comparison tool.

Symbol name

Diversifiers

Pair SMBS with funds that move differently

Schwab Mortgage-Backed Securities ETF alternatives help with substitution. Diversifiers are the next step when you want funds with lower historical correlation to SMBS.

Explore SMBS Diversifiers

Schwab Mortgage-Backed Securities ETF (SMBS) Alternatives