FIWEX vs. VTEB

Last updated Jun 3, 2026

FIWEX (Fidelity Advisor Municipal Income Fund Class Z) and VTEB (Vanguard Tax-Exempt Bond ETF) are both Municipal Bonds funds. Over the past 5 years, FIWEX returned 0.87%/yr vs 0.88%/yr for VTEB. A 0.70 correlation means they provide meaningful diversification when combined. FIWEX charges 0.42%/yr vs 0.05%/yr for VTEB.

Performance

FIWEX vs. VTEB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Advisor Municipal Income Fund Class Z (FIWEX) and Vanguard Tax-Exempt Bond ETF (VTEB). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FIWEX achieves a 1.30% return, which is significantly lower than VTEB's 1.46% return.

FIWEX

• 1D: -0.08%
• 1M: 0.43%
• YTD: 1.30%
• 6M: 1.75%
• 1Y: 7.38%
• 3Y*: 4.19%
• 5Y*: 0.87%
• 10Y*: —

VTEB

• 1D: -0.06%
• 1M: 0.66%
• YTD: 1.46%
• 6M: 1.89%
• 1Y: 7.14%
• 3Y*: 3.57%
• 5Y*: 0.88%
• 10Y*: 2.09%

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

FIWEX vs. VTEB - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
FIWEX Fidelity Advisor Municipal Income Fund Class Z	1.30%	5.33%	1.79%	6.89%	-10.82%	2.48%	4.74%	8.46%	2.59%
VTEB Vanguard Tax-Exempt Bond ETF	1.46%	3.72%	1.31%	6.15%	-7.99%	1.14%	5.19%	7.35%	2.67%

Correlation

The correlation between FIWEX and VTEB is 0.70, 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	0.70
Correlation (3Y) Calculated over the trailing 3-year period	0.73
Correlation (5Y) Calculated over the trailing 5-year period	0.73
Correlation (All Time) Calculated using the full available price history since Oct 18, 2018	0.70

The correlation between FIWEX and VTEB has been stable across timeframes, ranging from 0.70 to 0.73 - a consistent structural relationship.

Return for Risk

FIWEX vs. VTEB — Risk / Return Rank

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

FIWEX

FIWEX Risk / Return Rank: 65
FIWEX Sharpe Ratio Rank: 78
FIWEX Sortino Ratio Rank: 84
FIWEX Omega Ratio Rank: 89
FIWEX Calmar Ratio Rank: 37
FIWEX Martin Ratio Rank: 35

VTEB

VTEB Risk / Return Rank: 72
VTEB Sharpe Ratio Rank: 80
VTEB Sortino Ratio Rank: 85
VTEB Omega Ratio Rank: 89
VTEB Calmar Ratio Rank: 52
VTEB Martin Ratio Rank: 54

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.

FIWEX vs. VTEB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Advisor Municipal Income Fund Class Z (FIWEX) and Vanguard Tax-Exempt Bond ETF (VTEB). 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.

	FIWEX	VTEB	Difference
Sharpe ratio Return per unit of total volatility	2.56	2.64	-0.09
Sortino ratio Return per unit of downside risk	3.98	3.92	+0.06
Omega ratio Gain probability vs. loss probability	1.63	1.58	+0.05
Calmar ratio Return relative to maximum drawdown	2.32	2.65	-0.33
Martin ratio Return relative to average drawdown	7.98	9.41	-1.43
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FIWEX vs. VTEB - Sharpe Ratio Comparison

The current FIWEX Sharpe Ratio is 2.56, which is comparable to the VTEB Sharpe Ratio of 2.64. The chart below compares the historical Sharpe Ratios of FIWEX and VTEB, 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

	FIWEX	VTEB	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.56	2.64	-0.09
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.21	0.23	-0.02
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.40	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.61	0.47	+0.13

Drawdowns

FIWEX vs. VTEB - Drawdown Comparison

The maximum FIWEX drawdown since its inception was -16.14%, smaller than the maximum VTEB drawdown of -17.00%. Use the drawdown chart below to compare losses from any high point for FIWEX and VTEB.

Drawdown Indicators

	FIWEX	VTEB	Difference
Max Drawdown Largest peak-to-trough decline	-16.14%	-17.00%	+0.86%
Max Drawdown (1Y) Largest decline over 1 year	-3.19%	-2.71%	-0.48%
Max Drawdown (3Y) Largest decline over 3 years	-5.97%	-5.53%	-0.44%
Max Drawdown (5Y) Largest decline over 5 years	-16.14%	-12.64%	-3.50%
Max Drawdown (10Y) Largest decline over 10 years	—	-17.00%	—
Current Drawdown Current decline from peak	-0.96%	-0.52%	-0.44%
Average Drawdown Average peak-to-trough decline	-3.85%	-2.33%	-1.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.93%	0.76%	+0.17%

Volatility

FIWEX vs. VTEB - Volatility Comparison

Fidelity Advisor Municipal Income Fund Class Z (FIWEX) has a higher volatility of 1.16% compared to Vanguard Tax-Exempt Bond ETF (VTEB) at 0.89%. This indicates that FIWEX's price experiences larger fluctuations and is considered to be riskier than VTEB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FIWEX	VTEB	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.16%	0.89%	+0.27%
Volatility (6M) Calculated over the trailing 6-month period	2.20%	2.01%	+0.19%
Volatility (1Y) Calculated over the trailing 1-year period	2.84%	2.72%	+0.12%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.19%	3.90%	+0.29%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.68%	5.26%	-0.58%

FIWEX vs. VTEB - Expense Ratio Comparison

FIWEX has a 0.42% expense ratio, which is higher than VTEB's 0.05% expense ratio.

Dividends

FIWEX vs. VTEB - Dividend Comparison

FIWEX's dividend yield for the trailing twelve months is around 3.12%, less than VTEB's 3.35% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FIWEX Fidelity Advisor Municipal Income Fund Class Z	3.12%	4.05%	3.00%	2.63%	2.07%	2.69%	3.03%	3.19%	0.81%	0.00%	0.00%	0.00%
VTEB Vanguard Tax-Exempt Bond ETF	3.35%	3.29%	3.14%	2.79%	2.09%	1.64%	1.99%	2.30%	2.25%	1.96%	1.66%	0.58%

Frequently Asked Questions

Can I hold both FIWEX and VTEB in my portfolio?

FIWEX and VTEB have a correlation of 0.70, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FIWEX or VTEB?

FIWEX has higher volatility (1.16%) compared to VTEB (0.89%). In terms of maximum drawdown, FIWEX dropped -16.14% vs VTEB's -17.00%.

Which has better risk-adjusted returns?

VTEB currently has the higher Sharpe Ratio (2.64 vs 2.56), 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.