CGHM vs. TOAK

Last updated Jun 4, 2026

CGHM (Capital Group Municipal High-Income ETF) and TOAK (Twin Oak Short Horizon Absolute Return ETF) are both exchange-traded funds - CGHM is a High Yield Muni fund actively managed by Capital Group, while TOAK is a Multistrategy fund actively managed by Twin Oak. Both are actively managed. Over the past year, CGHM returned 9.42% vs 3.70% for TOAK. At a correlation of -0.04, they often move in opposite directions. CGHM charges 0.34%/yr vs 0.25%/yr for TOAK.

Performance

CGHM vs. TOAK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Capital Group Municipal High-Income ETF (CGHM) and Twin Oak Short Horizon Absolute Return ETF (TOAK). 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 TOAK's 1.32% return.

CGHM

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

TOAK

• 1D: 0.03%
• 1M: 0.24%
• YTD: 1.32%
• 6M: 1.55%
• 1Y: 3.70%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

CGHM vs. TOAK - Yearly Performance Comparison

	2026 (YTD)	2025	2024
CGHM Capital Group Municipal High-Income ETF	2.65%	4.56%	0.41%
TOAK Twin Oak Short Horizon Absolute Return ETF	1.32%	4.28%	1.51%

Correlation

The correlation between CGHM and TOAK is -0.12, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.12
Correlation (All Time) Calculated using the full available price history since Aug 21, 2024	-0.04

Return for Risk

CGHM vs. TOAK — 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

TOAK

TOAK Risk / Return Rank: 52
TOAK Sharpe Ratio Rank: 36
TOAK Sortino Ratio Rank: 37
TOAK Omega Ratio Rank: 96
TOAK Calmar Ratio Rank: 42
TOAK Martin Ratio Rank: 49

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. TOAK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Capital Group Municipal High-Income ETF (CGHM) and Twin Oak Short Horizon Absolute Return ETF (TOAK). 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	TOAK	Difference
Sharpe ratio: Return per unit of total volatility	3.03	1.27	+1.76
Sortino ratio: Return per unit of downside risk	4.44	1.89	+2.56
Omega ratio: Gain probability vs. loss probability	1.68	1.77	-0.09
Calmar ratio: Return relative to maximum drawdown	3.71	2.05	+1.66
Martin ratio: Return relative to average drawdown	14.39	8.11	+6.28
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. TOAK - Sharpe Ratio Comparison

The current CGHM Sharpe Ratio is 3.03, which is higher than the TOAK Sharpe Ratio of 1.27. The chart below compares the historical Sharpe Ratios of CGHM and TOAK, 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	TOAK	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.03	1.27	+1.76
Sharpe Ratio (All Time) Calculated using the full available price history	1.15	1.82	-0.67

Drawdowns

CGHM vs. TOAK - Drawdown Comparison

The maximum CGHM drawdown since its inception was -5.90%, which is greater than TOAK's maximum drawdown of -1.81%. Use the drawdown chart below to compare losses from any high point for CGHM and TOAK.

Drawdown Indicators

	CGHM	TOAK	Difference
Max Drawdown Largest peak-to-trough decline	-5.90%	-1.81%	-4.09%
Max Drawdown (1Y) Largest decline over 1 year	-2.55%	-1.81%	-0.74%
Current Drawdown Current decline from peak	0.00%	-1.72%	+1.72%
Average Drawdown Average peak-to-trough decline	-1.25%	-0.10%	-1.15%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.66%	0.46%	+0.20%

Volatility

CGHM vs. TOAK - Volatility Comparison

The current volatility for Capital Group Municipal High-Income ETF (CGHM) is 1.03%, while Twin Oak Short Horizon Absolute Return ETF (TOAK) has a volatility of 2.72%. This indicates that CGHM experiences smaller price fluctuations and is considered to be less risky than TOAK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CGHM	TOAK	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.03%	2.72%	-1.69%
Volatility (6M) Calculated over the trailing 6-month period	2.21%	2.89%	-0.68%
Volatility (1Y) Calculated over the trailing 1-year period	3.12%	2.92%	+0.20%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.53%	2.22%	+2.31%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.53%	2.22%	+2.31%

CGHM vs. TOAK - Expense Ratio Comparison

CGHM has a 0.34% expense ratio, which is higher than TOAK's 0.25% expense ratio.

Dividends

CGHM vs. TOAK - Dividend Comparison

CGHM's dividend yield for the trailing twelve months is around 3.80%, while TOAK has not paid dividends to shareholders.

Position	TTM	2025	2024
CGHM Capital Group Municipal High-Income ETF	3.80%	3.61%	1.78%
TOAK Twin Oak Short Horizon Absolute Return ETF	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both CGHM and TOAK in my portfolio?

CGHM and TOAK have a correlation of -0.12, 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 TOAK?

TOAK has higher volatility (2.72%) compared to CGHM (1.03%). In terms of maximum drawdown, CGHM dropped -5.90% vs TOAK's -1.81%.

Which ETF is better, CGHM or TOAK?

On 1-year performance, CGHM leads with 9.42% vs 3.70% for TOAK. On fees, TOAK is cheaper at 0.25% 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 TOAK?

Over the 1-year period, CGHM has performed better with a 9.42% return vs 3.70%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CGHM or TOAK?

TOAK is cheaper with a 0.25% expense ratio, compared with 0.34% for CGHM.

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

CGHM has the higher dividend yield at 3.80%, compared with 0.00% for TOAK.

What is the main difference between CGHM and TOAK?

CGHM is categorized as High Yield Muni, while TOAK is Multistrategy. They also come from different issuers: Capital Group and Twin Oak. Their fees differ too: 0.34% for CGHM and 0.25% for TOAK.

Which has better risk-adjusted returns?

CGHM currently has the higher Sharpe Ratio (3.03 vs 1.27), 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.