LMBS vs. RFBSX

Last updated Jun 4, 2026

LMBS (First Trust Low Duration Mortgage Opportunities ETF) and RFBSX (Russell Investments Short Duration Bond Fund) are both funds - LMBS is a Mortgage Backed Securities fund actively managed by First Trust, while RFBSX is a Short-Term Bond fund managed by Russell. Over the past 10 years, LMBS returned 2.67%/yr vs 2.31%/yr for RFBSX. At a 0.49 correlation, their price movements are largely independent. LMBS charges 0.68%/yr vs 0.55%/yr for RFBSX.

Performance

LMBS vs. RFBSX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Low Duration Mortgage Opportunities ETF (LMBS) and Russell Investments Short Duration Bond Fund (RFBSX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, LMBS achieves a 1.24% return, which is significantly higher than RFBSX's 0.72% return. Over the past 10 years, LMBS has outperformed RFBSX with an annualized return of 2.67%, while RFBSX has yielded a comparatively lower 2.31% annualized return.

LMBS

• 1D: -0.10%
• 1M: 0.11%
• YTD: 1.24%
• 6M: 1.47%
• 1Y: 6.09%
• 3Y*: 5.73%
• 5Y*: 3.03%
• 10Y*: 2.67%

RFBSX

• 1D: -0.00%
• 1M: 0.26%
• YTD: 0.72%
• 6M: 1.04%
• 1Y: 4.09%
• 3Y*: 4.95%
• 5Y*: 2.04%
• 10Y*: 2.31%

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

LMBS vs. RFBSX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
LMBS First Trust Low Duration Mortgage Opportunities ETF	1.24%	7.05%	5.15%	6.10%	-3.07%	-0.91%	1.64%	4.10%	1.62%	1.68%
RFBSX Russell Investments Short Duration Bond Fund	0.72%	5.92%	4.67%	5.06%	-4.95%	-0.75%	4.98%	4.69%	1.27%	1.33%

Correlation

The correlation between LMBS and RFBSX is 0.67, 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	0.67
Correlation (3Y) Calculated over the trailing 3-year period	0.70
Correlation (5Y) Calculated over the trailing 5-year period	0.65
Correlation (10Y) Calculated over the trailing 10-year period	0.54
Correlation (All Time) Calculated using the full available price history since Nov 6, 2014	0.49

The correlation between LMBS and RFBSX shifts across timeframes, from 0.49 (all time) to 0.70 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

LMBS vs. RFBSX — Risk / Return Rank

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

LMBS

LMBS Risk / Return Rank: 88
LMBS Sharpe Ratio Rank: 90
LMBS Sortino Ratio Rank: 93
LMBS Omega Ratio Rank: 92
LMBS Calmar Ratio Rank: 81
LMBS Martin Ratio Rank: 86

RFBSX

RFBSX Risk / Return Rank: 89
RFBSX Sharpe Ratio Rank: 90
RFBSX Sortino Ratio Rank: 94
RFBSX Omega Ratio Rank: 88
RFBSX Calmar Ratio Rank: 84
RFBSX Martin Ratio Rank: 87

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.

LMBS vs. RFBSX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Low Duration Mortgage Opportunities ETF (LMBS) and Russell Investments Short Duration Bond Fund (RFBSX). 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.

	LMBS	RFBSX	Difference
Sharpe ratio: Return per unit of total volatility	3.10	3.01	+0.09
Sortino ratio: Return per unit of downside risk	4.79	4.85	-0.06
Omega ratio: Gain probability vs. loss probability	1.62	1.63	-0.01
Calmar ratio: Return relative to maximum drawdown	4.28	3.97	+0.31
Martin ratio: Return relative to average drawdown	18.25	16.91	+1.33
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LMBS vs. RFBSX - Sharpe Ratio Comparison

The current LMBS Sharpe Ratio is 3.10, which is comparable to the RFBSX Sharpe Ratio of 3.01. The chart below compares the historical Sharpe Ratios of LMBS and RFBSX, 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

	LMBS	RFBSX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.10	3.01	+0.09
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.19	1.00	+0.19
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.14	1.32	-0.19
Sharpe Ratio (All Time) Calculated using the full available price history	1.13	1.02	+0.11

Drawdowns

LMBS vs. RFBSX - Drawdown Comparison

The maximum LMBS drawdown since its inception was -6.49%, smaller than the maximum RFBSX drawdown of -9.71%. Use the drawdown chart below to compare losses from any high point for LMBS and RFBSX.

Drawdown Indicators

	LMBS	RFBSX	Difference
Max Drawdown Largest peak-to-trough decline	-6.49%	-9.71%	+3.22%
Max Drawdown (1Y) Largest decline over 1 year	-1.43%	-1.04%	-0.39%
Max Drawdown (3Y) Largest decline over 3 years	-1.72%	-1.04%	-0.68%
Max Drawdown (5Y) Largest decline over 5 years	-6.12%	-7.80%	+1.68%
Max Drawdown (10Y) Largest decline over 10 years	-6.49%	-7.80%	+1.31%
Current Drawdown Current decline from peak	-0.34%	-0.12%	-0.22%
Average Drawdown Average peak-to-trough decline	-0.80%	-2.21%	+1.41%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.33%	0.24%	+0.09%

Volatility

LMBS vs. RFBSX - Volatility Comparison

First Trust Low Duration Mortgage Opportunities ETF (LMBS) has a higher volatility of 0.68% compared to Russell Investments Short Duration Bond Fund (RFBSX) at 0.50%. This indicates that LMBS's price experiences larger fluctuations and is considered to be riskier than RFBSX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LMBS	RFBSX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.68%	0.50%	+0.18%
Volatility (6M) Calculated over the trailing 6-month period	1.45%	1.00%	+0.45%
Volatility (1Y) Calculated over the trailing 1-year period	1.97%	1.38%	+0.59%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.56%	2.06%	+0.50%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.36%	1.75%	+0.61%

LMBS vs. RFBSX - Expense Ratio Comparison

LMBS has a 0.68% expense ratio, which is higher than RFBSX's 0.55% expense ratio.

Dividends

LMBS vs. RFBSX - Dividend Comparison

LMBS's dividend yield for the trailing twelve months is around 4.10%, less than RFBSX's 4.70% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LMBS First Trust Low Duration Mortgage Opportunities ETF	4.10%	4.08%	4.28%	3.96%	2.22%	2.04%	2.27%	2.55%	2.76%	2.73%	2.84%	3.03%
RFBSX Russell Investments Short Duration Bond Fund	4.70%	4.85%	3.91%	2.83%	0.68%	1.72%	2.23%	2.43%	2.32%	1.33%	1.73%	1.48%

Frequently Asked Questions

Can I hold both LMBS and RFBSX in my portfolio?

LMBS and RFBSX have a correlation of 0.67, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, LMBS or RFBSX?

LMBS has higher volatility (0.68%) compared to RFBSX (0.50%). In terms of maximum drawdown, LMBS dropped -6.49% vs RFBSX's -9.71%.

Which has better risk-adjusted returns?

LMBS currently has the higher Sharpe Ratio (3.10 vs 3.01), 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.