ESGB vs. MBS

Last updated Jul 12, 2026

ESGB (IQ MacKay ESG Core Plus Bond ETF) and MBS (Angel Oak Mortgage-Backed Securities ETF) are both Intermediate Core-Plus Bond funds. Both are actively managed. At a 0.22 correlation, their price movements are largely independent. ESGB charges 0.39%/yr vs 0.49%/yr for MBS.

Performance

ESGB vs. MBS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in IQ MacKay ESG Core Plus Bond ETF (ESGB) and Angel Oak Mortgage-Backed Securities ETF (MBS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

ESGB

• 1D: —
• 1M: —
• 6M: —
• YTD: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

MBS

• 1D: -0.12%
• 1M: 0.11%
• 6M: 0.48%
• YTD: 0.97%
• 1Y: 5.69%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

ESGB vs. MBS - Yearly Performance Comparison

	2026 (YTD)
ESGB IQ MacKay ESG Core Plus Bond ETF	-0.18%
MBS Angel Oak Mortgage-Backed Securities ETF	0.34%

Correlation

The correlation between ESGB and MBS is 0.22, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jun 4, 2026	0.22

Return for Risk

ESGB vs. MBS — Risk / Return Rank

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

ESGB

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

MBS

MBS Risk / Return Rank: 73
MBS Sharpe Ratio Rank: 80
MBS Sortino Ratio Rank: 86
MBS Omega Ratio Rank: 81
MBS Calmar Ratio Rank: 64
MBS Martin Ratio Rank: 53

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.

ESGB vs. MBS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for IQ MacKay ESG Core Plus Bond ETF (ESGB) and Angel Oak Mortgage-Backed Securities ETF (MBS). 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.

	ESGB	MBS	Difference
Sharpe ratio: Return per unit of total volatility	—	2.03	—
Sortino ratio: Return per unit of downside risk	—	3.07	—
Omega ratio: Gain probability vs. loss probability	—	1.38	—
Calmar ratio: Return relative to maximum drawdown	—	2.54	—
Martin ratio: Return relative to average drawdown	—	7.25	—

Drawdowns

Drawdown Indicators

	ESGB	MBS	Difference
Max Drawdown Largest peak-to-trough decline	—	-4.09%	—
Max Drawdown (1Y) Largest decline over 1 year	—	-2.20%	—
Current Drawdown Current decline from peak	—	-1.12%	—
Average Drawdown Average peak-to-trough decline	—	-1.02%	—
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.77%	—

Volatility

Volatility by Period

	ESGB	MBS	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	0.79%	—
Volatility (6M) Calculated over the trailing 6-month period	—	2.10%	—
Volatility (1Y) Calculated over the trailing 1-year period	—	2.77%	—
Volatility (5Y) Calculated over the trailing 5-year period, annualized	—	3.95%	—
Volatility (10Y) Calculated over the trailing 10-year period, annualized	—	3.95%	—

ESGB vs. MBS - Expense Ratio Comparison

ESGB has a 0.39% expense ratio, which is lower than MBS's 0.49% expense ratio.

Dividends

ESGB vs. MBS - Dividend Comparison

ESGB has not paid dividends to shareholders, while MBS's dividend yield for the trailing twelve months is around 5.67%.

Position	TTM	2025	2024
ESGB IQ MacKay ESG Core Plus Bond ETF	0.00%	0.00%	0.00%
MBS Angel Oak Mortgage-Backed Securities ETF	5.67%	5.28%	4.52%

Frequently Asked Questions

Can I hold both ESGB and MBS in my portfolio?

ESGB and MBS have a correlation of 0.22, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ESGB or MBS?

On fees, ESGB is cheaper at 0.39% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ESGB or MBS?

ESGB is cheaper with a 0.39% expense ratio, compared with 0.49% for MBS.

Which ETF pays a higher dividend yield, ESGB or MBS?

MBS has the higher dividend yield at 5.67%, compared with 0.00% for ESGB.

What is the main difference between ESGB and MBS?

They also come from different issuers: IndexIQ and Angel Oak. Their fees differ too: 0.39% for ESGB and 0.49% for MBS.