FAAA vs. MBND

Last updated Jun 24, 2026

FAAA (Fidelity AAA CLO ETF) and MBND (SPDR Nuveen Municipal Bond ETF) are both exchange-traded funds - FAAA is a CLO fund actively managed by Fidelity, while MBND is a Municipal Bonds fund actively managed by State Street. Both are actively managed. At a correlation of -0.15, they often move in opposite directions. FAAA charges 0.20%/yr vs 0.40%/yr for MBND.

Performance

FAAA vs. MBND - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity AAA CLO ETF (FAAA) and SPDR Nuveen Municipal Bond ETF (MBND). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

FAAA

• 1D: 0.02%
• 1M: 0.37%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

MBND

• 1D: 0.01%
• 1M: 1.12%
• YTD: 1.16%
• 6M: 1.45%
• 1Y: 4.61%
• 3Y*: 3.52%
• 5Y*: 0.64%
• 10Y*: —

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

FAAA vs. MBND - Yearly Performance Comparison

	2026 (YTD)
FAAA Fidelity AAA CLO ETF	1.75%
MBND SPDR Nuveen Municipal Bond ETF	0.03%

Correlation

The correlation between FAAA and MBND is -0.15, 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 (All Time) Calculated using the full available price history since Feb 12, 2026	-0.15

Return for Risk

FAAA vs. MBND — Risk / Return Rank

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

FAAA

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

MBND

MBND Risk / Return Rank: 53
MBND Sharpe Ratio Rank: 55
MBND Sortino Ratio Rank: 57
MBND Omega Ratio Rank: 69
MBND Calmar Ratio Rank: 41
MBND Martin Ratio Rank: 42

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.

FAAA vs. MBND - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity AAA CLO ETF (FAAA) and SPDR Nuveen Municipal Bond ETF (MBND). 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.

	FAAA	MBND	Difference
Sharpe ratio: Return per unit of total volatility	—	1.72	—
Sortino ratio: Return per unit of downside risk	—	2.49	—
Omega ratio: Gain probability vs. loss probability	—	1.37	—
Calmar ratio: Return relative to maximum drawdown	—	1.90	—
Martin ratio: Return relative to average drawdown	—	6.17	—

Drawdowns

FAAA vs. MBND - Drawdown Comparison

The maximum FAAA drawdown since its inception was -0.55%, smaller than the maximum MBND drawdown of -13.18%. Use the drawdown chart below to compare losses from any high point for FAAA and MBND.

Drawdown Indicators

	FAAA	MBND	Difference
Max Drawdown Largest peak-to-trough decline	-0.55%	-13.18%	+12.63%
Max Drawdown (1Y) Largest decline over 1 year	—	-2.44%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-4.57%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-13.18%	—
Current Drawdown Current decline from peak	0.00%	-0.58%	+0.58%
Average Drawdown Average peak-to-trough decline	-0.06%	-4.16%	+4.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.75%	—

Volatility

Volatility by Period

	FAAA	MBND	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	1.24%	—
Volatility (6M) Calculated over the trailing 6-month period	—	2.11%	—
Volatility (1Y) Calculated over the trailing 1-year period	0.89%	2.69%	-1.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	0.89%	3.51%	-2.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	0.89%	3.43%	-2.54%

FAAA vs. MBND - Expense Ratio Comparison

FAAA has a 0.20% expense ratio, which is lower than MBND's 0.40% expense ratio.

Dividends

FAAA vs. MBND - Dividend Comparison

FAAA's dividend yield for the trailing twelve months is around 1.31%, less than MBND's 3.49% yield.

Position	TTM	2025	2024	2023	2022	2021
FAAA Fidelity AAA CLO ETF	1.31%	0.00%	0.00%	0.00%	0.00%	0.00%
MBND SPDR Nuveen Municipal Bond ETF	3.49%	3.43%	2.72%	2.53%	1.61%	1.62%

Frequently Asked Questions

Can I hold both FAAA and MBND in my portfolio?

FAAA and MBND have a correlation of -0.15, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, FAAA or MBND?

On fees, FAAA is cheaper at 0.20% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, FAAA or MBND?

FAAA is cheaper with a 0.20% expense ratio, compared with 0.40% for MBND.

Which ETF pays a higher dividend yield, FAAA or MBND?

MBND has the higher dividend yield at 3.49%, compared with 1.31% for FAAA.

What is the main difference between FAAA and MBND?

FAAA is categorized as CLO, while MBND is Municipal Bonds. They also come from different issuers: Fidelity and State Street. Their fees differ too: 0.20% for FAAA and 0.40% for MBND.