BAB vs. SUB

Last updated Apr 1, 2026

Compare and contrast key facts about Invesco Taxable Municipal Bond ETF (BAB) and iShares Short-Term National Muni Bond ETF (SUB).

BAB and SUB are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. BAB is a passively managed fund by Invesco that tracks the performance of the BofA Merrill Lynch Build America Bond Index. It was launched on Nov 17, 2009. SUB is a passively managed fund by iShares that tracks the performance of the ICE Short Maturity AMT-Free US National Municipal Index - Benchmark TR Gross. It was launched on Nov 5, 2008. Both BAB and SUB are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

BAB vs. SUB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Taxable Municipal Bond ETF (BAB) and iShares Short-Term National Muni Bond ETF (SUB). The values are adjusted to include any dividend payments, if applicable.

BAB vs. SUB - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BAB Invesco Taxable Municipal Bond ETF	0.13%	8.30%	1.03%	8.67%	-19.50%	1.00%	9.11%	10.85%	0.93%	9.87%
SUB iShares Short-Term National Muni Bond ETF	0.23%	3.64%	2.17%	2.91%	-2.05%	0.03%	2.51%	2.93%	1.85%	0.75%

Returns By Period

In the year-to-date period, BAB achieves a 0.13% return, which is significantly lower than SUB's 0.23% return. Over the past 10 years, BAB has outperformed SUB with an annualized return of 2.59%, while SUB has yielded a comparatively lower 1.46% annualized return.

BAB

• 1D: 0.97%
• 1M: -2.43%
• YTD: 0.13%
• 6M: 0.79%
• 1Y: 5.22%
• 3Y*: 4.12%
• 5Y*: 0.02%
• 10Y*: 2.59%

SUB

• 1D: 0.04%
• 1M: -0.66%
• YTD: 0.23%
• 6M: 1.01%
• 1Y: 3.37%
• 3Y*: 2.75%
• 5Y*: 1.39%
• 10Y*: 1.46%

*Multi-year figures are annualized to reflect compound growth (CAGR)

BAB vs. SUB - Expense Ratio Comparison

BAB has a 0.28% expense ratio, which is higher than SUB's 0.07% expense ratio.

BAB

Invesco Taxable Municipal Bond ETF

SUB

iShares Short-Term National Muni Bond ETF

Return for Risk

BAB vs. SUB — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

BAB

BAB Risk / Return Rank: 43
BAB Sharpe Ratio Rank: 44
BAB Sortino Ratio Rank: 43
BAB Omega Ratio Rank: 36
BAB Calmar Ratio Rank: 50
BAB Martin Ratio Rank: 41

SUB

SUB Risk / Return Rank: 92
SUB Sharpe Ratio Rank: 94
SUB Sortino Ratio Rank: 92
SUB Omega Ratio Rank: 97
SUB Calmar Ratio Rank: 89
SUB Martin Ratio Rank: 88

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

BAB vs. SUB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Taxable Municipal Bond ETF (BAB) and iShares Short-Term National Muni Bond ETF (SUB). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	BAB	SUB	Difference
Sharpe ratio Return per unit of total volatility	0.79	2.25	-1.45
Sortino ratio Return per unit of downside risk	1.17	2.71	-1.54
Omega ratio Gain probability vs. loss probability	1.14	1.61	-0.47
Calmar ratio Return relative to maximum drawdown	1.27	2.82	-1.55
Martin ratio Return relative to average drawdown	3.79	10.30	-6.51
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BAB vs. SUB - Sharpe Ratio Comparison

The current BAB Sharpe Ratio is 0.79, which is lower than the SUB Sharpe Ratio of 2.25. The chart below compares the historical Sharpe Ratios of BAB and SUB, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	BAB	SUB	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.79	2.25	-1.45
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.00	0.85	-0.85
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.27	0.56	-0.29
Sharpe Ratio (All Time) Calculated using the full available price history	0.52	0.42	+0.10

Correlation

The correlation between BAB and SUB is 0.32, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

Dividends

BAB vs. SUB - Dividend Comparison

BAB's dividend yield for the trailing twelve months is around 4.03%, more than SUB's 2.47% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BAB Invesco Taxable Municipal Bond ETF	4.03%	3.96%	3.97%	3.65%	3.40%	2.63%	2.96%	3.77%	4.20%	3.96%	4.26%	4.71%
SUB iShares Short-Term National Muni Bond ETF	2.27%	2.42%	2.10%	1.73%	0.86%	0.72%	1.23%	1.58%	1.32%	0.95%	0.75%	0.77%

Drawdowns

BAB vs. SUB - Drawdown Comparison

The maximum BAB drawdown since its inception was -27.80%, which is greater than SUB's maximum drawdown of -9.46%. Use the drawdown chart below to compare losses from any high point for BAB and SUB.

Drawdown Indicators

	BAB	SUB	Difference
Max Drawdown Largest peak-to-trough decline	-27.80%	-9.46%	-18.34%
Max Drawdown (1Y) Largest decline over 1 year	-4.50%	-1.23%	-3.27%
Max Drawdown (5Y) Largest decline over 5 years	-24.95%	-4.35%	-20.60%
Max Drawdown (10Y) Largest decline over 10 years	-27.80%	-9.46%	-18.34%
Current Drawdown Current decline from peak	-5.64%	-0.66%	-4.98%
Average Drawdown Average peak-to-trough decline	-5.30%	-0.92%	-4.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.50%	0.34%	+1.16%

Volatility

BAB vs. SUB - Volatility Comparison

Invesco Taxable Municipal Bond ETF (BAB) has a higher volatility of 2.16% compared to iShares Short-Term National Muni Bond ETF (SUB) at 0.53%. This indicates that BAB's price experiences larger fluctuations and is considered to be riskier than SUB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BAB	SUB	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.16%	0.53%	+1.63%
Volatility (6M) Calculated over the trailing 6-month period	3.90%	0.80%	+3.10%
Volatility (1Y) Calculated over the trailing 1-year period	6.62%	1.51%	+5.11%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	8.31%	1.64%	+6.67%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.70%	2.59%	+7.11%