IMTG vs. SMBS

Last updated Jun 26, 2026

IMTG (Invesco Agency MBS ETF) and SMBS (Schwab Mortgage-Backed Securities ETF) are both Mortgage Backed Securities funds. IMTG is actively managed, while SMBS is passively managed. With a 0.96 correlation, they move nearly in lockstep. IMTG charges 0.22%/yr vs 0.03%/yr for SMBS.

Performance

IMTG vs. SMBS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Agency MBS ETF (IMTG) and Schwab Mortgage-Backed Securities ETF (SMBS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

IMTG

• 1D: 0.10%
• 1M: 0.91%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

SMBS

• 1D: 0.31%
• 1M: 1.11%
• YTD: 1.60%
• 6M: 1.34%
• 1Y: 5.91%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

IMTG vs. SMBS - Yearly Performance Comparison

	2026 (YTD)
IMTG Invesco Agency MBS ETF	-0.35%
SMBS Schwab Mortgage-Backed Securities ETF	-0.11%

Correlation

The correlation between IMTG and SMBS is 0.96 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (All Time) Calculated using the full available price history since Feb 25, 2026	0.96

Return for Risk

IMTG vs. SMBS — Risk / Return Rank

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

IMTG

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

SMBS

SMBS Risk / Return Rank: 47
SMBS Sharpe Ratio Rank: 46
SMBS Sortino Ratio Rank: 48
SMBS Omega Ratio Rank: 45
SMBS Calmar Ratio Rank: 48
SMBS Martin Ratio Rank: 46

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.

IMTG vs. SMBS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Agency MBS ETF (IMTG) and Schwab Mortgage-Backed Securities ETF (SMBS). 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.

	IMTG	SMBS	Difference
Sharpe ratio: Return per unit of total volatility	—	1.44	—
Sortino ratio: Return per unit of downside risk	—	2.11	—
Omega ratio: Gain probability vs. loss probability	—	1.26	—
Calmar ratio: Return relative to maximum drawdown	—	2.10	—
Martin ratio: Return relative to average drawdown	—	6.73	—

Drawdowns

IMTG vs. SMBS - Drawdown Comparison

The maximum IMTG drawdown since its inception was -2.85%, smaller than the maximum SMBS drawdown of -3.20%. Use the drawdown chart below to compare losses from any high point for IMTG and SMBS.

Drawdown Indicators

	IMTG	SMBS	Difference
Max Drawdown Largest peak-to-trough decline	-2.85%	-3.20%	+0.35%
Max Drawdown (1Y) Largest decline over 1 year	—	-2.83%	—
Current Drawdown Current decline from peak	-0.74%	-0.46%	-0.28%
Average Drawdown Average peak-to-trough decline	-1.38%	-0.85%	-0.53%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.88%	—

Volatility

Volatility by Period

	IMTG	SMBS	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	1.32%	—
Volatility (6M) Calculated over the trailing 6-month period	—	3.18%	—
Volatility (1Y) Calculated over the trailing 1-year period	4.72%	4.12%	+0.60%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.72%	4.86%	-0.14%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.72%	4.86%	-0.14%

IMTG vs. SMBS - Expense Ratio Comparison

IMTG has a 0.22% expense ratio, which is higher than SMBS's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

IMTG vs. SMBS - Dividend Comparison

IMTG's dividend yield for the trailing twelve months is around 1.28%, less than SMBS's 5.12% yield.

Position	TTM	2025	2024
IMTG Invesco Agency MBS ETF	1.28%	0.00%	0.00%
SMBS Schwab Mortgage-Backed Securities ETF	5.12%	4.83%	0.50%

Frequently Asked Questions

Can I hold both IMTG and SMBS in my portfolio?

With a correlation of 0.96, IMTG and SMBS 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 ETF is better, IMTG or SMBS?

On fees, SMBS is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, IMTG or SMBS?

SMBS is cheaper with a 0.03% expense ratio, compared with 0.22% for IMTG.

Which ETF pays a higher dividend yield, IMTG or SMBS?

SMBS has the higher dividend yield at 5.12%, compared with 1.28% for IMTG.

What is the main difference between IMTG and SMBS?

They also come from different issuers: Invesco and Charles Schwab. Their fees differ too: 0.22% for IMTG and 0.03% for SMBS.