GABFX vs. BOND

Last updated Jun 3, 2026

GABFX (GMO Asset Allocation Bond Fund) and BOND (PIMCO Active Bond ETF) are both funds - GABFX is a Inflation-Protected Bonds fund managed by GMO, while BOND is a Intermediate Core-Plus Bond fund actively managed by PIMCO. Over the past 10 years, GABFX returned 0.45%/yr vs 2.18%/yr for BOND. A 0.64 correlation means they provide meaningful diversification when combined. GABFX charges 0.32%/yr vs 0.54%/yr for BOND.

Performance

GABFX vs. BOND - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in GMO Asset Allocation Bond Fund (GABFX) and PIMCO Active Bond ETF (BOND). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, GABFX achieves a -4.34% return, which is significantly lower than BOND's 0.72% return. Over the past 10 years, GABFX has underperformed BOND with an annualized return of 0.45%, while BOND has yielded a comparatively higher 2.18% annualized return.

GABFX

• 1D: -0.17%
• 1M: -1.54%
• YTD: -4.34%
• 6M: -5.03%
• 1Y: 2.13%
• 3Y*: -1.69%
• 5Y*: -3.31%
• 10Y*: 0.45%

BOND

• 1D: 0.11%
• 1M: 0.20%
• YTD: 0.72%
• 6M: 0.87%
• 1Y: 6.93%
• 3Y*: 5.08%
• 5Y*: 0.59%
• 10Y*: 2.18%

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

GABFX vs. BOND - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
GABFX GMO Asset Allocation Bond Fund	-4.34%	8.82%	-12.60%	8.33%	-14.86%	1.34%	11.28%	8.00%	0.78%	2.41%
BOND PIMCO Active Bond ETF	0.72%	8.39%	2.77%	6.48%	-14.57%	-0.77%	7.80%	8.54%	0.08%	4.76%

Correlation

The correlation between GABFX and BOND is 0.92, 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	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (5Y) Calculated over the trailing 5-year period	0.88
Correlation (10Y) Calculated over the trailing 10-year period	0.81
Correlation (All Time) Calculated using the full available price history since Mar 2, 2012	0.64

Over the past year, GABFX and BOND have become more correlated (0.92) than their long-term average of 0.64, meaning their price movements have been converging.

Return for Risk

GABFX vs. BOND — Risk / Return Rank

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

GABFX

GABFX Risk / Return Rank: 3
GABFX Sharpe Ratio Rank: 3
GABFX Sortino Ratio Rank: 3
GABFX Omega Ratio Rank: 3
GABFX Calmar Ratio Rank: 3
GABFX Martin Ratio Rank: 3

BOND

BOND Risk / Return Rank: 48
BOND Sharpe Ratio Rank: 50
BOND Sortino Ratio Rank: 53
BOND Omega Ratio Rank: 50
BOND Calmar Ratio Rank: 44
BOND Martin Ratio Rank: 44

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.

GABFX vs. BOND - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for GMO Asset Allocation Bond Fund (GABFX) and PIMCO Active Bond ETF (BOND). 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.

	GABFX	BOND	Difference
Sharpe ratio Return per unit of total volatility	0.11	1.76	-1.65
Sortino ratio Return per unit of downside risk	0.24	2.59	-2.35
Omega ratio Gain probability vs. loss probability	1.03	1.32	-0.29
Calmar ratio Return relative to maximum drawdown	0.14	2.21	-2.07
Martin ratio Return relative to average drawdown	0.38	7.09	-6.70
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

GABFX vs. BOND - Sharpe Ratio Comparison

The current GABFX Sharpe Ratio is 0.11, which is lower than the BOND Sharpe Ratio of 1.76. The chart below compares the historical Sharpe Ratios of GABFX and BOND, 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

	GABFX	BOND	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.11	1.76	-1.65
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.24	0.10	-0.34
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.04	0.43	-0.39
Sharpe Ratio (All Time) Calculated using the full available price history	0.13	0.64	-0.51

Drawdowns

GABFX vs. BOND - Drawdown Comparison

The maximum GABFX drawdown since its inception was -27.84%, which is greater than BOND's maximum drawdown of -19.71%. Use the drawdown chart below to compare losses from any high point for GABFX and BOND.

Drawdown Indicators

	GABFX	BOND	Difference
Max Drawdown Largest peak-to-trough decline	-27.84%	-19.71%	-8.13%
Max Drawdown (1Y) Largest decline over 1 year	-9.58%	-3.01%	-6.57%
Max Drawdown (3Y) Largest decline over 3 years	-19.48%	-6.12%	-13.36%
Max Drawdown (5Y) Largest decline over 5 years	-27.84%	-19.71%	-8.13%
Max Drawdown (10Y) Largest decline over 10 years	-27.84%	-19.71%	-8.13%
Current Drawdown Current decline from peak	-18.12%	-1.33%	-16.79%
Average Drawdown Average peak-to-trough decline	-7.30%	-3.50%	-3.80%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.49%	0.94%	+2.55%

Volatility

GABFX vs. BOND - Volatility Comparison

GMO Asset Allocation Bond Fund (GABFX) has a higher volatility of 3.28% compared to PIMCO Active Bond ETF (BOND) at 1.43%. This indicates that GABFX's price experiences larger fluctuations and is considered to be riskier than BOND based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	GABFX	BOND	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.28%	1.43%	+1.85%
Volatility (6M) Calculated over the trailing 6-month period	6.63%	2.90%	+3.73%
Volatility (1Y) Calculated over the trailing 1-year period	10.74%	3.97%	+6.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.01%	5.76%	+8.25%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.35%	5.09%	+5.26%

GABFX vs. BOND - Expense Ratio Comparison

GABFX has a 0.32% expense ratio, which is lower than BOND's 0.54% expense ratio.

Dividends

GABFX vs. BOND - Dividend Comparison

GABFX's dividend yield for the trailing twelve months is around 2.81%, less than BOND's 5.17% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BOND PIMCO Active Bond ETF	5.17%	5.11%	5.02%	4.06%	3.44%	2.58%	2.66%	3.38%	3.18%	2.87%	2.85%	4.14%
GABFX GMO Asset Allocation Bond Fund	2.81%	2.69%	4.19%	5.03%	0.71%	1.81%	1.20%	4.72%	5.13%	1.07%	0.00%	7.43%

Frequently Asked Questions

Can I hold both GABFX and BOND in my portfolio?

With a correlation of 0.92, GABFX and BOND move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, GABFX or BOND?

GABFX has higher volatility (3.28%) compared to BOND (1.43%). In terms of maximum drawdown, GABFX dropped -27.84% vs BOND's -19.71%.

Which has better risk-adjusted returns?

BOND currently has the higher Sharpe Ratio (1.76 vs 0.11), 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.