CGHM vs. CGMS

Last updated Jun 4, 2026

CGHM (Capital Group Municipal High-Income ETF) and CGMS (Capital Group U.S. Multi-Sector Income ETF) are both exchange-traded funds - CGHM is a High Yield Muni fund actively managed by Capital Group, while CGMS is a Multisector Bonds fund actively managed by Capital Group. Both are actively managed. Over the past year, CGHM returned 9.42% vs 7.10% for CGMS. A 0.50 correlation means they provide meaningful diversification when combined. CGHM charges 0.34%/yr vs 0.39%/yr for CGMS.

Performance

CGHM vs. CGMS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Capital Group Municipal High-Income ETF (CGHM) and Capital Group U.S. Multi-Sector Income ETF (CGMS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CGHM achieves a 2.65% return, which is significantly higher than CGMS's 1.54% return.

CGHM

• 1D: 0.00%
• 1M: 1.11%
• YTD: 2.65%
• 6M: 3.10%
• 1Y: 9.42%
• 3Y*: —
• 5Y*: —
• 10Y*: —

CGMS

• 1D: -0.25%
• 1M: 0.56%
• YTD: 1.54%
• 6M: 1.68%
• 1Y: 7.10%
• 3Y*: 7.92%
• 5Y*: —
• 10Y*: —

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

CGHM vs. CGMS - Yearly Performance Comparison

	2026 (YTD)	2025	2024
CGHM Capital Group Municipal High-Income ETF	2.65%	4.56%	2.71%
CGMS Capital Group U.S. Multi-Sector Income ETF	1.54%	7.52%	4.21%

Correlation

The correlation between CGHM and CGMS is 0.51, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.51
Correlation (All Time) Calculated using the full available price history since Jun 28, 2024	0.50

The correlation between CGHM and CGMS has been stable across timeframes, ranging from 0.50 to 0.51 - a consistent structural relationship.

Return for Risk

CGHM vs. CGMS — Risk / Return Rank

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

CGHM

CGHM Risk / Return Rank: 85
CGHM Sharpe Ratio Rank: 89
CGHM Sortino Ratio Rank: 92
CGHM Omega Ratio Rank: 94
CGHM Calmar Ratio Rank: 75
CGHM Martin Ratio Rank: 76

CGMS

CGMS Risk / Return Rank: 63
CGMS Sharpe Ratio Rank: 60
CGMS Sortino Ratio Rank: 67
CGMS Omega Ratio Rank: 64
CGMS Calmar Ratio Rank: 57
CGMS Martin Ratio Rank: 69

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.

CGHM vs. CGMS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Capital Group Municipal High-Income ETF (CGHM) and Capital Group U.S. Multi-Sector Income ETF (CGMS). 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.

	CGHM	CGMS	Difference
Sharpe ratio: Return per unit of total volatility	3.03	2.08	+0.95
Sortino ratio: Return per unit of downside risk	4.44	3.14	+1.31
Omega ratio: Gain probability vs. loss probability	1.68	1.39	+0.29
Calmar ratio: Return relative to maximum drawdown	3.71	2.88	+0.83
Martin ratio: Return relative to average drawdown	14.39	12.89	+1.50
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CGHM vs. CGMS - Sharpe Ratio Comparison

The current CGHM Sharpe Ratio is 3.03, which is higher than the CGMS Sharpe Ratio of 2.08. The chart below compares the historical Sharpe Ratios of CGHM and CGMS, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	CGHM	CGMS	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.03	2.08	+0.95
Sharpe Ratio (All Time) Calculated using the full available price history	1.15	1.66	-0.51

Drawdowns

CGHM vs. CGMS - Drawdown Comparison

The maximum CGHM drawdown since its inception was -5.90%, which is greater than CGMS's maximum drawdown of -4.08%. Use the drawdown chart below to compare losses from any high point for CGHM and CGMS.

Drawdown Indicators

	CGHM	CGMS	Difference
Max Drawdown Largest peak-to-trough decline	-5.90%	-4.08%	-1.82%
Max Drawdown (1Y) Largest decline over 1 year	-2.55%	-2.47%	-0.08%
Max Drawdown (3Y) Largest decline over 3 years	—	-4.08%	—
Current Drawdown Current decline from peak	0.00%	-0.25%	+0.25%
Average Drawdown Average peak-to-trough decline	-1.25%	-0.67%	-0.58%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.66%	0.55%	+0.11%

Volatility

CGHM vs. CGMS - Volatility Comparison

The current volatility for Capital Group Municipal High-Income ETF (CGHM) is 1.03%, while Capital Group U.S. Multi-Sector Income ETF (CGMS) has a volatility of 1.15%. This indicates that CGHM experiences smaller price fluctuations and is considered to be less risky than CGMS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CGHM	CGMS	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.03%	1.15%	-0.12%
Volatility (6M) Calculated over the trailing 6-month period	2.21%	2.66%	-0.45%
Volatility (1Y) Calculated over the trailing 1-year period	3.12%	3.43%	-0.31%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.53%	5.13%	-0.60%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.53%	5.13%	-0.60%

CGHM vs. CGMS - Expense Ratio Comparison

CGHM has a 0.34% expense ratio, which is lower than CGMS's 0.39% expense ratio.

Dividends

CGHM vs. CGMS - Dividend Comparison

CGHM's dividend yield for the trailing twelve months is around 3.80%, less than CGMS's 6.09% yield.

Position	TTM	2025	2024	2023	2022
CGHM Capital Group Municipal High-Income ETF	3.80%	3.61%	1.78%	0.00%	0.00%
CGMS Capital Group U.S. Multi-Sector Income ETF	6.09%	6.00%	5.91%	5.84%	0.97%

Frequently Asked Questions

Can I hold both CGHM and CGMS in my portfolio?

CGHM and CGMS have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CGHM or CGMS?

CGMS has higher volatility (1.15%) compared to CGHM (1.03%). In terms of maximum drawdown, CGHM dropped -5.90% vs CGMS's -4.08%.

Which ETF is better, CGHM or CGMS?

On 1-year performance, CGHM leads with 9.42% vs 7.10% for CGMS. On fees, CGHM is cheaper at 0.34% per year. On volatility, CGHM has been the lower-risk option at 1.03%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, CGHM or CGMS?

Over the 1-year period, CGHM has performed better with a 9.42% return vs 7.10%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CGHM or CGMS?

CGHM is cheaper with a 0.34% expense ratio, compared with 0.39% for CGMS.

Which ETF pays a higher dividend yield, CGHM or CGMS?

CGMS has the higher dividend yield at 6.09%, compared with 3.80% for CGHM.

What is the main difference between CGHM and CGMS?

CGHM is categorized as High Yield Muni, while CGMS is Multisector Bonds. Their fees differ too: 0.34% for CGHM and 0.39% for CGMS.

Which has better risk-adjusted returns?

CGHM currently has the higher Sharpe Ratio (3.03 vs 2.08), 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.