MUNC vs. IQDY

Last updated Jun 7, 2026

MUNC (Northern Trust 2045 Tax-Exempt Distributing Ladder ETF) and IQDY (FlexShares International Quality Dividend Dynamic Index Fund) are both exchange-traded funds - MUNC is a Municipal Bonds fund actively managed by Northern Trust, while IQDY is a Foreign Large Cap Equities fund tracking the Northern Trust International Quality Dividend Dynamic Index. MUNC is actively managed, while IQDY is passively managed. At a 0.32 correlation, their price movements are largely independent. MUNC charges 0.18%/yr vs 0.47%/yr for IQDY.

Performance

MUNC vs. IQDY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Northern Trust 2045 Tax-Exempt Distributing Ladder ETF (MUNC) and FlexShares International Quality Dividend Dynamic Index Fund (IQDY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MUNC achieves a 0.96% return, which is significantly lower than IQDY's 13.88% return.

MUNC

• 1D: -0.12%
• 1M: 0.15%
• YTD: 0.96%
• 6M: 1.37%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

IQDY

• 1D: -4.01%
• 1M: -0.15%
• YTD: 13.88%
• 6M: 16.16%
• 1Y: 35.23%
• 3Y*: 22.73%
• 5Y*: 10.67%
• 10Y*: 11.22%

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

MUNC vs. IQDY - Yearly Performance Comparison

	2026 (YTD)	2025
MUNC Northern Trust 2045 Tax-Exempt Distributing Ladder ETF	0.96%	3.78%
IQDY FlexShares International Quality Dividend Dynamic Index Fund	13.88%	11.10%

Correlation

The correlation between MUNC and IQDY is 0.32, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Aug 20, 2025	0.32

Return for Risk

MUNC vs. IQDY — Risk / Return Rank

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

IQDY

IQDY Risk / Return Rank: 71
IQDY Sharpe Ratio Rank: 71
IQDY Sortino Ratio Rank: 67
IQDY Omega Ratio Rank: 70
IQDY Calmar Ratio Rank: 72
IQDY Martin Ratio Rank: 74

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.

MUNC vs. IQDY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Northern Trust 2045 Tax-Exempt Distributing Ladder ETF (MUNC) and FlexShares International Quality Dividend Dynamic Index Fund (IQDY). 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.

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

Sharpe Ratios by Period

	MUNC	IQDY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	2.19	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.60	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.61	—
Sharpe Ratio (All Time) Calculated using the full available price history	2.24	0.48	+1.76

Drawdowns

MUNC vs. IQDY - Drawdown Comparison

The maximum MUNC drawdown since its inception was -3.17%, smaller than the maximum IQDY drawdown of -39.60%. Use the drawdown chart below to compare losses from any high point for MUNC and IQDY.

Drawdown Indicators

	MUNC	IQDY	Difference
Max Drawdown Largest peak-to-trough decline	-3.17%	-39.60%	+36.43%
Max Drawdown (1Y) Largest decline over 1 year	—	-10.42%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-14.76%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-33.03%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-39.60%	—
Current Drawdown Current decline from peak	-1.32%	-4.30%	+2.98%
Average Drawdown Average peak-to-trough decline	-0.68%	-9.10%	+8.42%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	2.66%	—

Volatility

Volatility by Period

	MUNC	IQDY	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	6.59%	—
Volatility (6M) Calculated over the trailing 6-month period	—	14.04%	—
Volatility (1Y) Calculated over the trailing 1-year period	2.71%	16.44%	-13.73%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.71%	17.89%	-15.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.71%	18.47%	-15.76%

MUNC vs. IQDY - Expense Ratio Comparison

MUNC has a 0.18% expense ratio, which is lower than IQDY's 0.47% expense ratio.

Dividends

MUNC vs. IQDY - Dividend Comparison

MUNC's dividend yield for the trailing twelve months is around 2.51%, less than IQDY's 2.86% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IQDY FlexShares International Quality Dividend Dynamic Index Fund	2.86%	3.26%	6.95%	6.45%	5.52%	3.89%	2.62%	3.85%	5.97%	3.57%	3.77%	4.08%
MUNC Northern Trust 2045 Tax-Exempt Distributing Ladder ETF	2.51%	1.15%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both MUNC and IQDY in my portfolio?

MUNC and IQDY have a correlation of 0.32, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, MUNC or IQDY?

On fees, MUNC is cheaper at 0.18% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, MUNC or IQDY?

MUNC is cheaper with a 0.18% expense ratio, compared with 0.47% for IQDY.

Which ETF pays a higher dividend yield, MUNC or IQDY?

IQDY has the higher dividend yield at 2.86%, compared with 2.51% for MUNC.

What is the main difference between MUNC and IQDY?

MUNC is categorized as Municipal Bonds, while IQDY is Foreign Large Cap Equities. Their fees differ too: 0.18% for MUNC and 0.47% for IQDY.