CA vs. ZTAX

Last updated Jul 17, 2026

CA (Xtrackers California Municipal Bond ETF) and ZTAX (X-Square Municipal Income Tax Free ETF) are both exchange-traded funds - CA is a Single State Muni fund tracking the ICE AMT-Free Broad Liquid California Municipal Index, while ZTAX is a Municipal Bonds fund actively managed by X-Square. CA is passively managed, while ZTAX is actively managed. Over the past year, CA returned 6.45% vs 7.65% for ZTAX. At a 0.01 correlation, their price movements are largely independent. CA charges 0.20%/yr vs 1.14%/yr for ZTAX.

Performance

CA vs. ZTAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Xtrackers California Municipal Bond ETF (CA) and X-Square Municipal Income Tax Free ETF (ZTAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CA achieves a 1.20% return, which is significantly lower than ZTAX's 2.45% return.

CA

• 1D: 0.00%
• 1M: 0.00%
• 6M: 0.45%
• YTD: 1.20%
• 1Y: 6.45%
• 3Y*: —
• 5Y*: —
• 10Y*: —

ZTAX

• 1D: 0.08%
• 1M: -10.04%
• 6M: 1.37%
• YTD: 2.45%
• 1Y: 7.65%
• 3Y*: 5.64%
• 5Y*: —
• 10Y*: —

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

CA vs. ZTAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
CA Xtrackers California Municipal Bond ETF	1.20%	3.05%	1.51%	0.79%
ZTAX X-Square Municipal Income Tax Free ETF	2.45%	-1.02%	7.98%	2.17%

Correlation

The correlation between CA and ZTAX is -0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.04
Correlation (All Time) Calculated using the full available price history since Dec 14, 2023	0.01

Return for Risk

CA vs. ZTAX — Risk / Return Rank

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

CA

CA Risk / Return Rank: 83
CA Sharpe Ratio Rank: 93
CA Sortino Ratio Rank: 94
CA Omega Ratio Rank: 96
CA Calmar Ratio Rank: 63
CA Martin Ratio Rank: 66

ZTAX

ZTAX Risk / Return Rank: 17
ZTAX Sharpe Ratio Rank: 13
ZTAX Sortino Ratio Rank: 14
ZTAX Omega Ratio Rank: 18
ZTAX Calmar Ratio Rank: 19
ZTAX Martin Ratio Rank: 18

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.

CA vs. ZTAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Xtrackers California Municipal Bond ETF (CA) and X-Square Municipal Income Tax Free ETF (ZTAX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	CA	ZTAX	Difference
Sharpe ratio: Return per unit of total volatility	2.69	0.23	+2.46
Sortino ratio: Return per unit of downside risk	4.03	0.58	+3.46
Omega ratio: Gain probability vs. loss probability	1.68	1.10	+0.59
Calmar ratio: Return relative to maximum drawdown	2.52	0.68	+1.84
Martin ratio: Return relative to average drawdown	9.32	1.52	+7.81

CA vs. ZTAX - Sharpe Ratio Comparison

The current CA Sharpe Ratio is 2.69, which is higher than the ZTAX Sharpe Ratio of 0.23. The chart below compares the historical Sharpe Ratios of CA and ZTAX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

CA vs. ZTAX - Drawdown Comparison

The maximum CA drawdown since its inception was -5.24%, smaller than the maximum ZTAX drawdown of -15.33%. Use the drawdown chart below to compare losses from any high point for CA and ZTAX.

Drawdown Indicators

	CA	ZTAX	Difference
Max Drawdown Largest peak-to-trough decline	-5.24%	-15.33%	+10.09%
Max Drawdown (1Y) Largest decline over 1 year	-2.57%	-11.26%	+8.69%
Max Drawdown (3Y) Largest decline over 3 years	—	-15.33%	—
Current Drawdown Current decline from peak	-0.75%	-10.04%	+9.29%
Average Drawdown Average peak-to-trough decline	-1.24%	-6.86%	+5.62%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.70%	5.06%	-4.36%

Volatility

CA vs. ZTAX - Volatility Comparison

The current volatility for Xtrackers California Municipal Bond ETF (CA) is 0.00%, while X-Square Municipal Income Tax Free ETF (ZTAX) has a volatility of 13.49%. This indicates that CA experiences smaller price fluctuations and is considered to be less risky than ZTAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CA	ZTAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.00%	13.49%	-13.49%
Volatility (6M) Calculated over the trailing 6-month period	1.78%	26.54%	-24.76%
Volatility (1Y) Calculated over the trailing 1-year period	2.41%	32.73%	-30.32%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.89%	28.80%	-24.91%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.89%	28.80%	-24.91%

CA vs. ZTAX - Expense Ratio Comparison

CA has a 0.20% expense ratio, which is lower than ZTAX's 1.14% expense ratio.

Dividends

CA vs. ZTAX - Dividend Comparison

CA's dividend yield for the trailing twelve months is around 2.69%, less than ZTAX's 4.67% yield.

Position	TTM	2025	2024	2023
CA Xtrackers California Municipal Bond ETF	2.69%	3.14%	3.03%	0.00%
ZTAX X-Square Municipal Income Tax Free ETF	4.67%	4.58%	4.55%	2.14%

Frequently Asked Questions

Can I hold both CA and ZTAX in my portfolio?

CA and ZTAX have a correlation of -0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CA or ZTAX?

ZTAX has higher volatility (13.49%) compared to CA (0.00%). In terms of maximum drawdown, CA dropped -5.24% vs ZTAX's -15.33%.

Which ETF is better, CA or ZTAX?

On 1-year performance, ZTAX leads with 7.65% vs 6.45% for CA. On fees, CA is cheaper at 0.20% per year. On volatility, CA has been the lower-risk option at 0.00%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, CA or ZTAX?

Over the 1-year period, ZTAX has performed better with a 7.65% return vs 6.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CA or ZTAX?

CA is cheaper with a 0.20% expense ratio, compared with 1.14% for ZTAX.

Which ETF pays a higher dividend yield, CA or ZTAX?

ZTAX has the higher dividend yield at 4.67%, compared with 2.69% for CA.

What is the main difference between CA and ZTAX?

CA is categorized as Single State Muni, while ZTAX is Municipal Bonds. They also come from different issuers: Xtrackers and X-Square. Their fees differ too: 0.20% for CA and 1.14% for ZTAX.

Which has better risk-adjusted returns?

CA currently has the higher Sharpe Ratio (2.69 vs 0.23), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.