FKTIX vs. FRHIX

Last updated Jun 23, 2026

FKTIX (Franklin Federal Tax Free Income Fund) and FRHIX (Franklin High Yield Tax Free Income Fund) are both mutual funds - FKTIX is a Municipal Bonds fund managed by Franklin Templeton, while FRHIX is a High Yield Muni fund managed by Franklin Templeton. Over the past 10 years, FKTIX returned 2.12%/yr vs 2.67%/yr for FRHIX. A 0.76 correlation means they provide meaningful diversification when combined. FKTIX charges 0.64%/yr vs 0.65%/yr for FRHIX.

Performance

FKTIX vs. FRHIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin Federal Tax Free Income Fund (FKTIX) and Franklin High Yield Tax Free Income Fund (FRHIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FKTIX achieves a 2.19% return, which is significantly lower than FRHIX's 3.04% return. Over the past 10 years, FKTIX has underperformed FRHIX with an annualized return of 2.12%, while FRHIX has yielded a comparatively higher 2.67% annualized return.

FKTIX

• 1D: 0.00%
• 1M: 1.93%
• YTD: 2.19%
• 6M: 2.73%
• 1Y: 8.01%
• 3Y*: 4.73%
• 5Y*: 1.01%
• 10Y*: 2.12%

FRHIX

• 1D: 0.11%
• 1M: 2.09%
• YTD: 3.04%
• 6M: 3.70%
• 1Y: 8.90%
• 3Y*: 6.25%
• 5Y*: 1.45%
• 10Y*: 2.67%

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

FKTIX vs. FRHIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FKTIX Franklin Federal Tax Free Income Fund	2.19%	4.84%	3.44%	6.72%	-11.67%	2.51%	5.64%	7.41%	0.61%	3.61%
FRHIX Franklin High Yield Tax Free Income Fund	3.04%	5.33%	7.28%	6.01%	-13.96%	4.89%	5.87%	8.35%	1.96%	3.40%

Correlation

The correlation between FKTIX and FRHIX is 0.87, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.87
Correlation (3Y) Calculated over the trailing 3-year period	0.92
Correlation (5Y) Calculated over the trailing 5-year period	0.92
Correlation (10Y) Calculated over the trailing 10-year period	0.87
Correlation (All Time) Calculated using the full available price history since Mar 18, 1986	0.76

The correlation between FKTIX and FRHIX shifts across timeframes, from 0.76 (all time) to 0.92 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

FKTIX vs. FRHIX — Risk / Return Rank

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

FKTIX

FKTIX Risk / Return Rank: 72
FKTIX Sharpe Ratio Rank: 84
FKTIX Sortino Ratio Rank: 89
FKTIX Omega Ratio Rank: 90
FKTIX Calmar Ratio Rank: 50
FKTIX Martin Ratio Rank: 46

FRHIX

FRHIX Risk / Return Rank: 76
FRHIX Sharpe Ratio Rank: 86
FRHIX Sortino Ratio Rank: 91
FRHIX Omega Ratio Rank: 90
FRHIX Calmar Ratio Rank: 57
FRHIX 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.

FKTIX vs. FRHIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin Federal Tax Free Income Fund (FKTIX) and Franklin High Yield Tax Free Income Fund (FRHIX). 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.

	FKTIX	FRHIX	Difference
Sharpe ratio: Return per unit of total volatility	2.52	2.60	-0.08
Sortino ratio: Return per unit of downside risk	4.00	4.22	-0.22
Omega ratio: Gain probability vs. loss probability	1.62	1.63	0.00
Calmar ratio: Return relative to maximum drawdown	2.59	2.79	-0.20
Martin ratio: Return relative to average drawdown	9.10	10.16	-1.06

FKTIX vs. FRHIX - Sharpe Ratio Comparison

The current FKTIX Sharpe Ratio is 2.52, which is comparable to the FRHIX Sharpe Ratio of 2.60. The chart below compares the historical Sharpe Ratios of FKTIX and FRHIX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

FKTIX vs. FRHIX - Drawdown Comparison

The maximum FKTIX drawdown since its inception was -18.53%, smaller than the maximum FRHIX drawdown of -21.54%. Use the drawdown chart below to compare losses from any high point for FKTIX and FRHIX.

Drawdown Indicators

	FKTIX	FRHIX	Difference
Max Drawdown Largest peak-to-trough decline	-18.53%	-21.54%	+3.01%
Max Drawdown (1Y) Largest decline over 1 year	-3.11%	-3.21%	+0.10%
Max Drawdown (3Y) Largest decline over 3 years	-6.99%	-7.36%	+0.37%
Max Drawdown (5Y) Largest decline over 5 years	-17.09%	-19.01%	+1.92%
Max Drawdown (10Y) Largest decline over 10 years	-17.09%	-19.01%	+1.92%
Current Drawdown Current decline from peak	-0.01%	0.00%	-0.01%
Average Drawdown Average peak-to-trough decline	-2.34%	-2.26%	-0.08%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.88%	0.88%	0.00%

Volatility

FKTIX vs. FRHIX - Volatility Comparison

The current volatility for Franklin Federal Tax Free Income Fund (FKTIX) is 0.84%, while Franklin High Yield Tax Free Income Fund (FRHIX) has a volatility of 0.91%. This indicates that FKTIX experiences smaller price fluctuations and is considered to be less risky than FRHIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FKTIX	FRHIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.84%	0.91%	-0.07%
Volatility (6M) Calculated over the trailing 6-month period	2.38%	2.52%	-0.14%
Volatility (1Y) Calculated over the trailing 1-year period	3.20%	3.44%	-0.24%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.67%	5.15%	-0.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.28%	4.66%	-0.38%

FKTIX vs. FRHIX - Expense Ratio Comparison

FKTIX has a 0.64% expense ratio, which is lower than FRHIX's 0.65% expense ratio.

Dividends

FKTIX vs. FRHIX - Dividend Comparison

FKTIX's dividend yield for the trailing twelve months is around 3.79%, less than FRHIX's 4.57% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FKTIX Franklin Federal Tax Free Income Fund	3.79%	4.92%	3.94%	3.15%	3.23%	2.64%	2.88%	3.81%	3.77%	3.80%	3.86%	3.78%
FRHIX Franklin High Yield Tax Free Income Fund	4.57%	5.79%	5.32%	4.16%	4.27%	3.61%	3.83%	4.99%	4.46%	4.06%	4.42%	4.27%

Frequently Asked Questions

Can I hold both FKTIX and FRHIX in my portfolio?

FKTIX and FRHIX have a correlation of 0.87, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FKTIX or FRHIX?

FRHIX has higher volatility (0.91%) compared to FKTIX (0.84%). In terms of maximum drawdown, FKTIX dropped -18.53% vs FRHIX's -21.54%.

Which has better risk-adjusted returns?

FRHIX currently has the higher Sharpe Ratio (2.60 vs 2.52), 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.