LTMFX vs. MWTIX

Last updated Jun 3, 2026

LTMFX (Thornburg Limited Term Municipal Fund) and MWTIX (Metropolitan West Total Return Bond Fund Class I) are both mutual funds - LTMFX is a Municipal Bonds fund managed by Thornburg, while MWTIX is a Total Bond Market fund managed by Metropolitan West Funds. Over the past 10 years, LTMFX returned 1.44%/yr vs 1.63%/yr for MWTIX. At a 0.49 correlation, their price movements are largely independent. LTMFX charges 0.71%/yr vs 0.45%/yr for MWTIX.

Performance

LTMFX vs. MWTIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Thornburg Limited Term Municipal Fund (LTMFX) and Metropolitan West Total Return Bond Fund Class I (MWTIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, LTMFX achieves a 0.74% return, which is significantly higher than MWTIX's 0.24% return. Over the past 10 years, LTMFX has underperformed MWTIX with an annualized return of 1.44%, while MWTIX has yielded a comparatively higher 1.63% annualized return.

LTMFX

• 1D: 0.00%
• 1M: 0.26%
• YTD: 0.74%
• 6M: 1.01%
• 1Y: 4.27%
• 3Y*: 3.78%
• 5Y*: 1.25%
• 10Y*: 1.44%

MWTIX

• 1D: -0.11%
• 1M: 0.05%
• YTD: 0.24%
• 6M: 0.27%
• 1Y: 5.62%
• 3Y*: 3.94%
• 5Y*: -0.41%
• 10Y*: 1.63%

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

LTMFX vs. MWTIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
LTMFX Thornburg Limited Term Municipal Fund	0.74%	5.74%	1.84%	3.83%	-5.27%	-0.18%	2.97%	3.81%	1.00%	2.29%
MWTIX Metropolitan West Total Return Bond Fund Class I	0.24%	7.51%	0.77%	6.02%	-15.49%	-1.32%	9.00%	9.10%	0.36%	3.43%

Correlation

The correlation between LTMFX and MWTIX is 0.43, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.43
Correlation (3Y) Calculated over the trailing 3-year period	0.55
Correlation (5Y) Calculated over the trailing 5-year period	0.51
Correlation (10Y) Calculated over the trailing 10-year period	0.49
Correlation (All Time) Calculated using the full available price history since Apr 3, 2000	0.49

The correlation between LTMFX and MWTIX shifts across timeframes, from 0.43 (1 year) to 0.55 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

LTMFX vs. MWTIX — Risk / Return Rank

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

LTMFX

LTMFX Risk / Return Rank: 68
LTMFX Sharpe Ratio Rank: 84
LTMFX Sortino Ratio Rank: 92
LTMFX Omega Ratio Rank: 96
LTMFX Calmar Ratio Rank: 37
LTMFX Martin Ratio Rank: 31

MWTIX

MWTIX Risk / Return Rank: 17
MWTIX Sharpe Ratio Rank: 17
MWTIX Sortino Ratio Rank: 18
MWTIX Omega Ratio Rank: 16
MWTIX Calmar Ratio Rank: 19
MWTIX Martin Ratio Rank: 18

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.

LTMFX vs. MWTIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Thornburg Limited Term Municipal Fund (LTMFX) and Metropolitan West Total Return Bond Fund Class I (MWTIX). 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.

	LTMFX	MWTIX	Difference
Sharpe ratio Return per unit of total volatility	2.70	1.20	+1.50
Sortino ratio Return per unit of downside risk	4.56	1.81	+2.75
Omega ratio Gain probability vs. loss probability	1.87	1.21	+0.65
Calmar ratio Return relative to maximum drawdown	2.33	1.67	+0.66
Martin ratio Return relative to average drawdown	7.35	5.08	+2.27
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LTMFX vs. MWTIX - Sharpe Ratio Comparison

The current LTMFX Sharpe Ratio is 2.70, which is higher than the MWTIX Sharpe Ratio of 1.20. The chart below compares the historical Sharpe Ratios of LTMFX and MWTIX, 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

	LTMFX	MWTIX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.70	1.20	+1.50
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.54	-0.06	+0.60
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.64	0.31	+0.33
Sharpe Ratio (All Time) Calculated using the full available price history	0.84	0.92	-0.08

Drawdowns

LTMFX vs. MWTIX - Drawdown Comparison

The maximum LTMFX drawdown since its inception was -8.40%, smaller than the maximum MWTIX drawdown of -20.58%. Use the drawdown chart below to compare losses from any high point for LTMFX and MWTIX.

Drawdown Indicators

	LTMFX	MWTIX	Difference
Max Drawdown Largest peak-to-trough decline	-8.40%	-20.58%	+12.18%
Max Drawdown (1Y) Largest decline over 1 year	-1.96%	-3.34%	+1.38%
Max Drawdown (3Y) Largest decline over 3 years	-2.95%	-7.09%	+4.14%
Max Drawdown (5Y) Largest decline over 5 years	-8.40%	-20.51%	+12.11%
Max Drawdown (10Y) Largest decline over 10 years	-8.40%	-20.58%	+12.18%
Current Drawdown Current decline from peak	-0.88%	-3.98%	+3.10%
Average Drawdown Average peak-to-trough decline	-1.64%	-2.77%	+1.13%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.62%	1.10%	-0.48%

Volatility

LTMFX vs. MWTIX - Volatility Comparison

The current volatility for Thornburg Limited Term Municipal Fund (LTMFX) is 0.63%, while Metropolitan West Total Return Bond Fund Class I (MWTIX) has a volatility of 1.54%. This indicates that LTMFX experiences smaller price fluctuations and is considered to be less risky than MWTIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LTMFX	MWTIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.63%	1.54%	-0.91%
Volatility (6M) Calculated over the trailing 6-month period	1.31%	3.20%	-1.89%
Volatility (1Y) Calculated over the trailing 1-year period	1.59%	4.41%	-2.82%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.35%	6.64%	-4.29%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.27%	5.33%	-3.06%

LTMFX vs. MWTIX - Expense Ratio Comparison

LTMFX has a 0.71% expense ratio, which is higher than MWTIX's 0.45% expense ratio.

Dividends

LTMFX vs. MWTIX - Dividend Comparison

LTMFX's dividend yield for the trailing twelve months is around 3.23%, less than MWTIX's 4.06% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LTMFX Thornburg Limited Term Municipal Fund	3.23%	4.28%	3.60%	2.11%	1.62%	1.27%	1.54%	1.78%	1.83%	1.64%	1.57%	1.56%
MWTIX Metropolitan West Total Return Bond Fund Class I	4.06%	3.89%	4.38%	4.11%	2.08%	1.12%	6.48%	3.61%	2.91%	2.14%	3.35%	2.94%

Frequently Asked Questions

Can I hold both LTMFX and MWTIX in my portfolio?

LTMFX and MWTIX have a correlation of 0.43, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, LTMFX or MWTIX?

MWTIX has higher volatility (1.54%) compared to LTMFX (0.63%). In terms of maximum drawdown, LTMFX dropped -8.40% vs MWTIX's -20.58%.

Which has better risk-adjusted returns?

LTMFX currently has the higher Sharpe Ratio (2.70 vs 1.20), 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.