MMU vs. EIM

Last updated Jun 23, 2026

MMU (Western Asset Managed Municipals Fund Inc) and EIM (Eaton Vance Municipal Bond Fund) are both Municipal Bonds funds. Over the past 10 years, MMU returned 1.39%/yr vs 1.38%/yr for EIM. At a 0.40 correlation, their price movements are largely independent. MMU charges 0.01%/yr vs 0.01%/yr for EIM.

Performance

MMU vs. EIM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Western Asset Managed Municipals Fund Inc (MMU) and Eaton Vance Municipal Bond Fund (EIM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MMU achieves a 2.57% return, which is significantly lower than EIM's 3.13% return. Both investments have delivered pretty close results over the past 10 years, with MMU having a 1.39% annualized return and EIM not far behind at 1.38%.

MMU

• 1D: 0.48%
• 1M: 3.78%
• YTD: 2.57%
• 6M: 3.01%
• 1Y: 12.54%
• 3Y*: 7.76%
• 5Y*: -0.25%
• 10Y*: 1.39%

EIM

• 1D: -0.31%
• 1M: 0.73%
• YTD: 3.13%
• 6M: 3.34%
• 1Y: 8.97%
• 3Y*: 5.05%
• 5Y*: -1.59%
• 10Y*: 1.38%

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

MMU vs. EIM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MMU Western Asset Managed Municipals Fund Inc	2.57%	9.19%	6.58%	5.63%	-19.58%	5.83%	0.71%	10.08%	-4.55%	8.30%
EIM Eaton Vance Municipal Bond Fund	3.13%	-0.08%	8.21%	1.66%	-19.82%	4.35%	10.53%	18.91%	-5.30%	6.44%

Correlation

The correlation between MMU and EIM is 0.48, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.48
Correlation (3Y) Calculated over the trailing 3-year period	0.56
Correlation (5Y) Calculated over the trailing 5-year period	0.58
Correlation (10Y) Calculated over the trailing 10-year period	0.51
Correlation (All Time) Calculated using the full available price history since Aug 28, 2002	0.40

The correlation between MMU and EIM shifts across timeframes, from 0.40 (all time) to 0.58 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

MMU vs. EIM — Risk / Return Rank

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

MMU

MMU Risk / Return Rank: 35
MMU Sharpe Ratio Rank: 32
MMU Sortino Ratio Rank: 39
MMU Omega Ratio Rank: 36
MMU Calmar Ratio Rank: 35
MMU Martin Ratio Rank: 34

EIM

EIM Risk / Return Rank: 17
EIM Sharpe Ratio Rank: 14
EIM Sortino Ratio Rank: 18
EIM Omega Ratio Rank: 17
EIM Calmar Ratio Rank: 24
EIM Martin Ratio Rank: 13

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.

MMU vs. EIM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Western Asset Managed Municipals Fund Inc (MMU) and Eaton Vance Municipal Bond Fund (EIM). 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.

	MMU	EIM	Difference
Sharpe ratio: Return per unit of total volatility	1.51	0.97	+0.54
Sortino ratio: Return per unit of downside risk	2.42	1.68	+0.74
Omega ratio: Gain probability vs. loss probability	1.30	1.20	+0.09
Calmar ratio: Return relative to maximum drawdown	2.14	1.70	+0.44
Martin ratio: Return relative to average drawdown	7.21	3.49	+3.72

MMU vs. EIM - Sharpe Ratio Comparison

The current MMU Sharpe Ratio is 1.51, which is higher than the EIM Sharpe Ratio of 0.97. The chart below compares the historical Sharpe Ratios of MMU and EIM, 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

MMU vs. EIM - Drawdown Comparison

The maximum MMU drawdown since its inception was -34.51%, smaller than the maximum EIM drawdown of -52.50%. Use the drawdown chart below to compare losses from any high point for MMU and EIM.

Drawdown Indicators

	MMU	EIM	Difference
Max Drawdown Largest peak-to-trough decline	-34.51%	-52.50%	+17.99%
Max Drawdown (1Y) Largest decline over 1 year	-5.88%	-5.30%	-0.58%
Max Drawdown (3Y) Largest decline over 3 years	-12.86%	-13.41%	+0.55%
Max Drawdown (5Y) Largest decline over 5 years	-31.89%	-31.69%	-0.20%
Max Drawdown (10Y) Largest decline over 10 years	-34.51%	-31.69%	-2.82%
Current Drawdown Current decline from peak	-4.61%	-10.09%	+5.48%
Average Drawdown Average peak-to-trough decline	-6.83%	-8.37%	+1.54%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.74%	2.57%	-0.83%

Volatility

MMU vs. EIM - Volatility Comparison

Western Asset Managed Municipals Fund Inc (MMU) and Eaton Vance Municipal Bond Fund (EIM) have volatilities of 2.41% and 2.32%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MMU	EIM	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.41%	2.32%	+0.09%
Volatility (6M) Calculated over the trailing 6-month period	7.09%	6.33%	+0.76%
Volatility (1Y) Calculated over the trailing 1-year period	8.35%	9.25%	-0.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.69%	10.74%	-0.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.01%	11.56%	+1.45%

MMU vs. EIM - Expense Ratio Comparison

MMU has a 0.01% expense ratio, which is lower than EIM's 0.01% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

MMU vs. EIM - Dividend Comparison

MMU's dividend yield for the trailing twelve months is around 6.27%, which matches EIM's 6.27% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EIM Eaton Vance Municipal Bond Fund	6.27%	6.27%	5.65%	4.07%	4.87%	4.38%	4.29%	4.00%	4.98%	5.48%	5.64%	5.90%
MMU Western Asset Managed Municipals Fund Inc	5.75%	6.26%	6.16%	4.36%	4.65%	3.88%	4.21%	4.96%	5.68%	5.37%	5.67%	5.50%

Frequently Asked Questions

Can I hold both MMU and EIM in my portfolio?

MMU and EIM have a correlation of 0.48, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MMU or EIM?

MMU has higher volatility (2.41%) compared to EIM (2.32%). In terms of maximum drawdown, MMU dropped -34.51% vs EIM's -52.50%.

Which has better risk-adjusted returns?

MMU currently has the higher Sharpe Ratio (1.51 vs 0.97), 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.