FLMI vs. PBDC

Last updated Jun 24, 2026

FLMI (Franklin Liberty Federal Intermediate Tax-Free Bond Opportunities ETF) and PBDC (Putnam BDC Income ETF) are both exchange-traded funds - FLMI is a Municipal Bonds fund actively managed by Franklin Templeton, while PBDC is a Financials Equities fund actively managed by Franklin Templeton. Both are actively managed. Over the past 3 years, FLMI returned 5.72%/yr vs 7.11%/yr for PBDC. At a 0.04 correlation, their price movements are largely independent. FLMI charges 0.30%/yr vs 13.49%/yr for PBDC.

Performance

FLMI vs. PBDC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin Liberty Federal Intermediate Tax-Free Bond Opportunities ETF (FLMI) and Putnam BDC Income ETF (PBDC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLMI achieves a 2.47% return, which is significantly higher than PBDC's -11.42% return.

FLMI

• 1D: -0.04%
• 1M: 1.42%
• YTD: 2.47%
• 6M: 2.68%
• 1Y: 7.87%
• 3Y*: 5.72%
• 5Y*: 2.17%
• 10Y*: —

PBDC

• 1D: 0.30%
• 1M: -1.31%
• YTD: -11.42%
• 6M: -9.25%
• 1Y: -11.33%
• 3Y*: 7.11%
• 5Y*: —
• 10Y*: —

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

FLMI vs. PBDC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
FLMI Franklin Liberty Federal Intermediate Tax-Free Bond Opportunities ETF	2.47%	5.89%	4.91%	7.89%	3.68%
PBDC Putnam BDC Income ETF	-11.42%	-1.77%	19.43%	30.52%	10.38%

Correlation

The correlation between FLMI and PBDC is 0.02, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.02
Correlation (3Y) Calculated over the trailing 3-year period	0.04
Correlation (All Time) Calculated using the full available price history since Sep 30, 2022	0.04

Return for Risk

FLMI vs. PBDC — Risk / Return Rank

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

FLMI

FLMI Risk / Return Rank: 78
FLMI Sharpe Ratio Rank: 87
FLMI Sortino Ratio Rank: 91
FLMI Omega Ratio Rank: 93
FLMI Calmar Ratio Rank: 59
FLMI Martin Ratio Rank: 58

PBDC

PBDC Risk / Return Rank: 4
PBDC Sharpe Ratio Rank: 4
PBDC Sortino Ratio Rank: 4
PBDC Omega Ratio Rank: 4
PBDC Calmar Ratio Rank: 4
PBDC Martin Ratio Rank: 4

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.

FLMI vs. PBDC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin Liberty Federal Intermediate Tax-Free Bond Opportunities ETF (FLMI) and Putnam BDC Income ETF (PBDC). 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.

	FLMI	PBDC	Difference
Sharpe ratio: Return per unit of total volatility	2.70	-0.61	+3.31
Sortino ratio: Return per unit of downside risk	4.10	-0.76	+4.85
Omega ratio: Gain probability vs. loss probability	1.61	0.91	+0.70
Calmar ratio: Return relative to maximum drawdown	2.73	-0.56	+3.29
Martin ratio: Return relative to average drawdown	9.81	-0.98	+10.79

FLMI vs. PBDC - Sharpe Ratio Comparison

The current FLMI Sharpe Ratio is 2.70, which is higher than the PBDC Sharpe Ratio of -0.61. The chart below compares the historical Sharpe Ratios of FLMI and PBDC, 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

FLMI vs. PBDC - Drawdown Comparison

The maximum FLMI drawdown since its inception was -14.66%, smaller than the maximum PBDC drawdown of -20.47%. Use the drawdown chart below to compare losses from any high point for FLMI and PBDC.

Drawdown Indicators

	FLMI	PBDC	Difference
Max Drawdown Largest peak-to-trough decline	-14.66%	-20.47%	+5.81%
Max Drawdown (1Y) Largest decline over 1 year	-2.90%	-20.15%	+17.25%
Max Drawdown (3Y) Largest decline over 3 years	-5.31%	-20.47%	+15.16%
Max Drawdown (5Y) Largest decline over 5 years	-14.66%	—	—
Current Drawdown Current decline from peak	-0.17%	-18.74%	+18.57%
Average Drawdown Average peak-to-trough decline	-2.81%	-4.83%	+2.02%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.80%	11.58%	-10.78%

Volatility

FLMI vs. PBDC - Volatility Comparison

The current volatility for Franklin Liberty Federal Intermediate Tax-Free Bond Opportunities ETF (FLMI) is 0.67%, while Putnam BDC Income ETF (PBDC) has a volatility of 5.50%. This indicates that FLMI experiences smaller price fluctuations and is considered to be less risky than PBDC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLMI	PBDC	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.67%	5.50%	-4.83%
Volatility (6M) Calculated over the trailing 6-month period	2.06%	15.43%	-13.37%
Volatility (1Y) Calculated over the trailing 1-year period	2.93%	18.66%	-15.73%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.43%	17.05%	-12.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.71%	17.05%	-12.34%

FLMI vs. PBDC - Expense Ratio Comparison

FLMI has a 0.30% expense ratio, which is lower than PBDC's 13.49% expense ratio.

Dividends

FLMI vs. PBDC - Dividend Comparison

FLMI's dividend yield for the trailing twelve months is around 3.87%, less than PBDC's 11.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLMI Franklin Liberty Federal Intermediate Tax-Free Bond Opportunities ETF	3.87%	3.89%	4.08%	3.71%	3.08%	2.22%	2.09%	2.71%	2.41%	0.34%
PBDC Putnam BDC Income ETF	11.91%	10.53%	9.29%	9.86%	3.40%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FLMI and PBDC in my portfolio?

FLMI and PBDC have a correlation of 0.02, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FLMI or PBDC?

PBDC has higher volatility (5.50%) compared to FLMI (0.67%). In terms of maximum drawdown, FLMI dropped -14.66% vs PBDC's -20.47%.

Which ETF is better, FLMI or PBDC?

On 3-year performance, PBDC leads with 7.11% vs 5.72% for FLMI. On fees, FLMI is cheaper at 0.30% per year. On volatility, FLMI has been the lower-risk option at 0.67%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLMI or PBDC?

Over the 3-year period, PBDC has performed better with a 7.11% return vs 5.72%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLMI or PBDC?

FLMI is cheaper with a 0.30% expense ratio, compared with 13.49% for PBDC.

Which ETF pays a higher dividend yield, FLMI or PBDC?

PBDC has the higher dividend yield at 11.91%, compared with 3.87% for FLMI.

What is the main difference between FLMI and PBDC?

FLMI is categorized as Municipal Bonds, while PBDC is Financials Equities. Their fees differ too: 0.30% for FLMI and 13.49% for PBDC.

Which has better risk-adjusted returns?

FLMI currently has the higher Sharpe Ratio (2.70 vs -0.61), 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.