MUB vs. MDY
MUB (iShares National AMT-Free Muni Bond ETF) and MDY (SPDR S&P MidCap 400 ETF) are both exchange-traded funds - MUB is a Municipal Bonds fund tracking the S&P National AMT-Free Municipal Bond Index, while MDY is a Mid Cap Blend Equities fund tracking the S&P MidCap 400 Index. Both are passively managed. Over the past 10 years, MUB returned 1.92%/yr vs 11.33%/yr for MDY. At a correlation of -0.04, they often move in opposite directions. MUB charges 0.07%/yr vs 0.23%/yr for MDY.
Performance
MUB vs. MDY - Performance Comparison
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Returns By Period
In the year-to-date period, MUB achieves a 1.28% return, which is significantly lower than MDY's 15.28% return. Over the past 10 years, MUB has underperformed MDY with an annualized return of 1.92%, while MDY has yielded a comparatively higher 11.33% annualized return.
MUB
- 1D
- -0.01%
- 1M
- 0.63%
- YTD
- 1.28%
- 6M
- 1.80%
- 1Y
- 6.40%
- 3Y*
- 3.35%
- 5Y*
- 0.80%
- 10Y*
- 1.92%
MDY
- 1D
- 0.71%
- 1M
- 3.51%
- YTD
- 15.28%
- 6M
- 13.84%
- 1Y
- 27.52%
- 3Y*
- 15.07%
- 5Y*
- 7.99%
- 10Y*
- 11.33%
MUB vs. MDY - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
MUB iShares National AMT-Free Muni Bond ETF | 1.28% | 3.78% | 1.26% | 5.56% | -7.34% | 1.02% | 5.12% | 7.06% | 0.93% | 4.72% |
MDY SPDR S&P MidCap 400 ETF | 15.28% | 7.19% | 13.64% | 16.07% | -13.28% | 24.53% | 13.50% | 25.78% | -11.29% | 15.93% |
Correlation
The correlation between MUB and MDY is 0.33, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.33 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.26 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.18 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.05 |
Correlation (All Time) Calculated using the full available price history since Sep 10, 2007 | -0.04 |
The correlation between MUB and MDY shifts across timeframes, from -0.04 (all time) to 0.33 (1 year), reflecting how their relationship changes across market environments.
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Return for Risk
MUB vs. MDY — Risk / Return Rank
MUB
MDY
MUB vs. MDY - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares National AMT-Free Muni Bond ETF (MUB) and SPDR S&P MidCap 400 ETF (MDY). 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.
| MUB | MDY | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.54 | ||
| Sortino ratioReturn per unit of downside risk | +0.75 | ||
| Omega ratioGain probability vs. loss probability | 1.44 | 1.29 | +0.16 |
| Calmar ratioReturn relative to maximum drawdown | 2.22 | 2.91 | -0.69 |
| Martin ratioReturn relative to average drawdown | 7.77 | 10.60 | -2.83 |
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Drawdowns
MUB vs. MDY - Drawdown Comparison
The maximum MUB drawdown since its inception was -13.68%, smaller than the maximum MDY drawdown of -55.33%. Use the drawdown chart below to compare losses from any high point for MUB and MDY.
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Drawdown Indicators
| MUB | MDY | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -13.68% | -55.33% | +41.65% |
Max Drawdown (1Y)Largest decline over 1 year | -2.79% | -8.82% | +6.03% |
Max Drawdown (3Y)Largest decline over 3 years | -5.34% | -24.03% | +18.69% |
Max Drawdown (5Y)Largest decline over 5 years | -11.88% | -24.03% | +12.15% |
Max Drawdown (10Y)Largest decline over 10 years | -13.68% | -42.22% | +28.54% |
Current DrawdownCurrent decline from peak | -0.66% | 0.00% | -0.66% |
Average DrawdownAverage peak-to-trough decline | -2.23% | -7.02% | +4.79% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.80% | 2.42% | -1.62% |
Volatility
MUB vs. MDY - Volatility Comparison
The current volatility for iShares National AMT-Free Muni Bond ETF (MUB) is 1.01%, while SPDR S&P MidCap 400 ETF (MDY) has a volatility of 5.04%. This indicates that MUB experiences smaller price fluctuations and is considered to be less risky than MDY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| MUB | MDY | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.01% | 5.04% | -4.03% |
Volatility (6M)Calculated over the trailing 6-month period | 2.25% | 11.68% | -9.43% |
Volatility (1Y)Calculated over the trailing 1-year period | 2.90% | 15.83% | -12.93% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 4.06% | 19.82% | -15.76% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 4.92% | 21.21% | -16.29% |
MUB vs. MDY - Expense Ratio Comparison
MUB has a 0.07% expense ratio, which is lower than MDY's 0.23% 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
MUB vs. MDY - Dividend Comparison
MUB's dividend yield for the trailing twelve months is around 3.17%, more than MDY's 1.03% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
MDY SPDR S&P MidCap 400 ETF | 1.03% | 1.15% | 1.18% | 1.21% | 1.37% | 0.96% | 1.12% | 1.34% | 1.39% | 1.18% | 1.31% | 1.35% |
MUB iShares National AMT-Free Muni Bond ETF | 3.17% | 3.14% | 3.01% | 2.65% | 2.11% | 1.81% | 2.11% | 2.42% | 2.46% | 2.26% | 2.21% | 2.51% |
Frequently Asked Questions
MUB and MDY have a correlation of 0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
MDY has higher volatility (5.04%) compared to MUB (1.01%). In terms of maximum drawdown, MUB dropped -13.68% vs MDY's -55.33%.
On 10-year performance, MDY leads with 11.33% vs 1.92% for MUB. On fees, MUB is cheaper at 0.07% per year. On volatility, MUB has been the lower-risk option at 1.01%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, MDY has performed better with a 11.33% return vs 1.92%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
MUB is cheaper with a 0.07% expense ratio, compared with 0.23% for MDY.
MUB has the higher dividend yield at 3.17%, compared with 1.03% for MDY.
MUB is categorized as Municipal Bonds, while MDY is Mid Cap Blend Equities. MUB tracks S&P National AMT-Free Municipal Bond Index, while MDY tracks S&P MidCap 400 Index. They also come from different issuers: iShares and State Street. Their fees differ too: 0.07% for MUB and 0.23% for MDY.
MUB currently has the higher Sharpe Ratio (2.16 vs 1.62), 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.
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