DEFFX vs. DEGGX

Last updated Jun 4, 2026

DEFFX (Delaware Tax-Free Minnesota Fund) and DEGGX (Delaware Strategic Income Fund) are both mutual funds - DEFFX is a Municipal Bonds fund managed by Delaware Funds by Macquarie, while DEGGX is a Multisector Bonds fund managed by Delaware Funds by Macquarie. Over the past 10 years, DEFFX returned 2.09%/yr vs 3.78%/yr for DEGGX. A 0.59 correlation means they provide meaningful diversification when combined. DEFFX charges 0.85%/yr vs 0.90%/yr for DEGGX.

Performance

DEFFX vs. DEGGX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Delaware Tax-Free Minnesota Fund (DEFFX) and Delaware Strategic Income Fund (DEGGX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DEFFX achieves a 2.09% return, which is significantly higher than DEGGX's 1.05% return. Over the past 10 years, DEFFX has underperformed DEGGX with an annualized return of 2.09%, while DEGGX has yielded a comparatively higher 3.78% annualized return.

DEFFX

• 1D: 0.18%
• 1M: 1.04%
• YTD: 2.09%
• 6M: 2.59%
• 1Y: 9.00%
• 3Y*: 4.15%
• 5Y*: 0.91%
• 10Y*: 2.09%

DEGGX

• 1D: 0.13%
• 1M: 0.63%
• YTD: 1.05%
• 6M: 1.84%
• 1Y: 6.98%
• 3Y*: 7.14%
• 5Y*: 2.53%
• 10Y*: 3.78%

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

DEFFX vs. DEGGX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
DEFFX Delaware Tax-Free Minnesota Fund	2.09%	4.51%	3.36%	4.20%	-9.79%	2.13%	4.02%	7.35%	0.89%	5.36%
DEGGX Delaware Strategic Income Fund	1.05%	7.92%	6.56%	8.76%	-10.49%	1.16%	10.12%	13.63%	-4.11%	6.72%

Correlation

The correlation between DEFFX and DEGGX is 0.45, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.45
Correlation (3Y) Calculated over the trailing 3-year period	0.55
Correlation (5Y) Calculated over the trailing 5-year period	0.55
Correlation (10Y) Calculated over the trailing 10-year period	0.48
Correlation (All Time) Calculated using the full available price history since Jun 21, 1996	0.59

The correlation between DEFFX and DEGGX shifts across timeframes, from 0.45 (1 year) to 0.59 (all time), reflecting how their relationship changes across market environments.

Return for Risk

DEFFX vs. DEGGX — Risk / Return Rank

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

DEFFX

DEFFX Risk / Return Rank: 66
DEFFX Sharpe Ratio Rank: 76
DEFFX Sortino Ratio Rank: 82
DEFFX Omega Ratio Rank: 87
DEFFX Calmar Ratio Rank: 42
DEFFX Martin Ratio Rank: 41

DEGGX

DEGGX Risk / Return Rank: 77
DEGGX Sharpe Ratio Rank: 78
DEGGX Sortino Ratio Rank: 91
DEGGX Omega Ratio Rank: 91
DEGGX Calmar Ratio Rank: 57
DEGGX Martin Ratio Rank: 68

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.

DEFFX vs. DEGGX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Delaware Tax-Free Minnesota Fund (DEFFX) and Delaware Strategic Income Fund (DEGGX). 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.

	DEFFX	DEGGX	Difference
Sharpe ratio Return per unit of total volatility	2.55	2.57	-0.02
Sortino ratio Return per unit of downside risk	3.89	4.54	-0.65
Omega ratio Gain probability vs. loss probability	1.61	1.66	-0.05
Calmar ratio Return relative to maximum drawdown	2.48	2.89	-0.42
Martin ratio Return relative to average drawdown	8.79	13.22	-4.43
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DEFFX vs. DEGGX - Sharpe Ratio Comparison

The current DEFFX Sharpe Ratio is 2.55, which is comparable to the DEGGX Sharpe Ratio of 2.57. The chart below compares the historical Sharpe Ratios of DEFFX and DEGGX, 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

	DEFFX	DEGGX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.55	2.57	-0.02
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.19	0.62	-0.43
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.48	0.92	-0.43
Sharpe Ratio (All Time) Calculated using the full available price history	1.16	0.60	+0.56

Drawdowns

DEFFX vs. DEGGX - Drawdown Comparison

The maximum DEFFX drawdown since its inception was -14.70%, smaller than the maximum DEGGX drawdown of -16.81%. Use the drawdown chart below to compare losses from any high point for DEFFX and DEGGX.

Drawdown Indicators

	DEFFX	DEGGX	Difference
Max Drawdown Largest peak-to-trough decline	-14.70%	-16.81%	+2.11%
Max Drawdown (1Y) Largest decline over 1 year	-3.62%	-2.43%	-1.19%
Max Drawdown (3Y) Largest decline over 3 years	-7.31%	-3.86%	-3.45%
Max Drawdown (5Y) Largest decline over 5 years	-14.70%	-16.07%	+1.37%
Max Drawdown (10Y) Largest decline over 10 years	-14.70%	-16.81%	+2.11%
Current Drawdown Current decline from peak	-0.21%	0.00%	-0.21%
Average Drawdown Average peak-to-trough decline	-1.81%	-1.73%	-0.08%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.02%	0.53%	+0.49%

Volatility

DEFFX vs. DEGGX - Volatility Comparison

Delaware Tax-Free Minnesota Fund (DEFFX) has a higher volatility of 1.41% compared to Delaware Strategic Income Fund (DEGGX) at 0.94%. This indicates that DEFFX's price experiences larger fluctuations and is considered to be riskier than DEGGX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DEFFX	DEGGX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.41%	0.94%	+0.47%
Volatility (6M) Calculated over the trailing 6-month period	2.65%	2.25%	+0.40%
Volatility (1Y) Calculated over the trailing 1-year period	3.54%	2.74%	+0.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.71%	4.11%	+0.60%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.34%	4.15%	+0.19%

DEFFX vs. DEGGX - Expense Ratio Comparison

DEFFX has a 0.85% expense ratio, which is lower than DEGGX's 0.90% expense ratio.

Dividends

DEFFX vs. DEGGX - Dividend Comparison

DEFFX's dividend yield for the trailing twelve months is around 3.61%, less than DEGGX's 6.10% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DEFFX Delaware Tax-Free Minnesota Fund	3.61%	4.69%	3.94%	2.81%	2.59%	2.18%	2.77%	3.63%	3.51%	4.33%	3.26%	3.52%
DEGGX Delaware Strategic Income Fund	6.10%	6.09%	5.91%	4.46%	4.60%	3.78%	4.14%	5.41%	5.32%	4.91%	2.54%	2.77%

Frequently Asked Questions

Can I hold both DEFFX and DEGGX in my portfolio?

DEFFX and DEGGX have a correlation of 0.45, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, DEFFX or DEGGX?

DEFFX has higher volatility (1.41%) compared to DEGGX (0.94%). In terms of maximum drawdown, DEFFX dropped -14.70% vs DEGGX's -16.81%.

Which has better risk-adjusted returns?

DEGGX currently has the higher Sharpe Ratio (2.57 vs 2.55), 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.