PZT vs. TAXS

Last updated Jun 25, 2026

PZT (Invesco New York AMT-Free Municipal Bond ETF) and TAXS (Northern Trust Short-Term Tax-Exempt Bond ETF) are both Municipal Bonds funds - PZT tracks the ICE BofA New York Long-Term Core Plus Muni while TAXS tracks the ICE Short Term Focused Municipal Bond Index. Both are passively managed. A 0.50 correlation means they provide meaningful diversification when combined. PZT charges 0.28%/yr vs 0.05%/yr for TAXS.

Performance

PZT vs. TAXS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco New York AMT-Free Municipal Bond ETF (PZT) and Northern Trust Short-Term Tax-Exempt Bond ETF (TAXS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PZT achieves a 3.37% return, which is significantly higher than TAXS's 1.06% return.

PZT

• 1D: 0.34%
• 1M: 2.47%
• YTD: 3.37%
• 6M: 3.21%
• 1Y: 8.84%
• 3Y*: 3.02%
• 5Y*: 0.02%
• 10Y*: 1.82%

TAXS

• 1D: 0.03%
• 1M: 0.65%
• YTD: 1.06%
• 6M: 1.15%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

PZT vs. TAXS - Yearly Performance Comparison

	2026 (YTD)	2025
PZT Invesco New York AMT-Free Municipal Bond ETF	3.37%	5.58%
TAXS Northern Trust Short-Term Tax-Exempt Bond ETF	1.06%	1.22%

Correlation

The correlation between PZT and TAXS is 0.50, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Aug 19, 2025	0.50

Return for Risk

PZT vs. TAXS — Risk / Return Rank

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

PZT

PZT Risk / Return Rank: 65
PZT Sharpe Ratio Rank: 65
PZT Sortino Ratio Rank: 65
PZT Omega Ratio Rank: 71
PZT Calmar Ratio Rank: 64
PZT Martin Ratio Rank: 61

TAXS

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

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.

PZT vs. TAXS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco New York AMT-Free Municipal Bond ETF (PZT) and Northern Trust Short-Term Tax-Exempt Bond ETF (TAXS). 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.

	PZT	TAXS	Difference
Sharpe ratio: Return per unit of total volatility	1.89	—	—
Sortino ratio: Return per unit of downside risk	2.64	—	—
Omega ratio: Gain probability vs. loss probability	1.37	—	—
Calmar ratio: Return relative to maximum drawdown	2.80	—	—
Martin ratio: Return relative to average drawdown	9.51	—	—

Drawdowns

PZT vs. TAXS - Drawdown Comparison

The maximum PZT drawdown since its inception was -22.73%, which is greater than TAXS's maximum drawdown of -0.84%. Use the drawdown chart below to compare losses from any high point for PZT and TAXS.

Drawdown Indicators

	PZT	TAXS	Difference
Max Drawdown Largest peak-to-trough decline	-22.73%	-0.84%	-21.89%
Max Drawdown (1Y) Largest decline over 1 year	-3.17%	—	—
Max Drawdown (3Y) Largest decline over 3 years	-9.00%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-19.13%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-19.13%	—	—
Current Drawdown Current decline from peak	-0.94%	-0.01%	-0.93%
Average Drawdown Average peak-to-trough decline	-3.90%	-0.22%	-3.68%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.93%	—	—

Volatility

Volatility by Period

	PZT	TAXS	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.39%	—	—
Volatility (6M) Calculated over the trailing 6-month period	3.52%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	4.70%	0.99%	+3.71%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.64%	0.99%	+5.65%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.93%	0.99%	+5.94%

PZT vs. TAXS - Expense Ratio Comparison

PZT has a 0.28% expense ratio, which is higher than TAXS's 0.05% expense ratio.

Dividends

PZT vs. TAXS - Dividend Comparison

PZT's dividend yield for the trailing twelve months is around 3.60%, more than TAXS's 1.82% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PZT Invesco New York AMT-Free Municipal Bond ETF	3.60%	3.43%	3.04%	2.82%	2.66%	2.77%	2.55%	2.73%	3.01%	2.94%	3.36%	3.40%
TAXS Northern Trust Short-Term Tax-Exempt Bond ETF	1.82%	0.74%	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 PZT and TAXS in my portfolio?

PZT and TAXS have a correlation of 0.50, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, PZT or TAXS?

On fees, TAXS is cheaper at 0.05% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, PZT or TAXS?

TAXS is cheaper with a 0.05% expense ratio, compared with 0.28% for PZT.

Which ETF pays a higher dividend yield, PZT or TAXS?

PZT has the higher dividend yield at 3.60%, compared with 1.82% for TAXS.

What is the main difference between PZT and TAXS?

PZT tracks ICE BofA New York Long-Term Core Plus Muni, while TAXS tracks ICE Short Term Focused Municipal Bond Index. They also come from different issuers: Invesco and Northern Trust. Their fees differ too: 0.28% for PZT and 0.05% for TAXS.