RFBSX vs. LMBS

Last updated Jun 23, 2026

RFBSX (Russell Investments Short Duration Bond Fund) and LMBS (First Trust Low Duration Mortgage Opportunities ETF) are both funds - RFBSX is a Short-Term Bond fund managed by Russell, while LMBS is a Mortgage Backed Securities fund actively managed by First Trust. Over the past 10 years, RFBSX returned 2.30%/yr vs 2.66%/yr for LMBS. At a 0.50 correlation, their price movements are largely independent. RFBSX charges 0.55%/yr vs 0.68%/yr for LMBS.

Performance

RFBSX vs. LMBS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Russell Investments Short Duration Bond Fund (RFBSX) and First Trust Low Duration Mortgage Opportunities ETF (LMBS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RFBSX achieves a 0.78% return, which is significantly lower than LMBS's 1.41% return. Over the past 10 years, RFBSX has underperformed LMBS with an annualized return of 2.30%, while LMBS has yielded a comparatively higher 2.66% annualized return.

RFBSX

• 1D: 0.16%
• 1M: 0.32%
• YTD: 0.78%
• 6M: 0.94%
• 1Y: 3.76%
• 3Y*: 4.99%
• 5Y*: 2.07%
• 10Y*: 2.30%

LMBS

• 1D: -0.02%
• 1M: 0.37%
• YTD: 1.41%
• 6M: 1.39%
• 1Y: 5.62%
• 3Y*: 5.79%
• 5Y*: 3.09%
• 10Y*: 2.66%

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

RFBSX vs. LMBS - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
RFBSX Russell Investments Short Duration Bond Fund	0.78%	5.92%	4.67%	5.06%	-4.95%	-0.75%	4.98%	4.69%	1.27%	1.33%
LMBS First Trust Low Duration Mortgage Opportunities ETF	1.41%	7.05%	5.15%	6.10%	-3.07%	-0.91%	1.64%	4.10%	1.62%	1.68%

Correlation

The correlation between RFBSX and LMBS is 0.66, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.66
Correlation (3Y) Calculated over the trailing 3-year period	0.71
Correlation (5Y) Calculated over the trailing 5-year period	0.65
Correlation (10Y) Calculated over the trailing 10-year period	0.54
Correlation (All Time) Calculated using the full available price history since Nov 5, 2014	0.50

The correlation between RFBSX and LMBS shifts across timeframes, from 0.50 (all time) to 0.71 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

RFBSX vs. LMBS — Risk / Return Rank

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

RFBSX

RFBSX Risk / Return Rank: 88
RFBSX Sharpe Ratio Rank: 89
RFBSX Sortino Ratio Rank: 92
RFBSX Omega Ratio Rank: 87
RFBSX Calmar Ratio Rank: 83
RFBSX Martin Ratio Rank: 87

LMBS

LMBS Risk / Return Rank: 88
LMBS Sharpe Ratio Rank: 90
LMBS Sortino Ratio Rank: 93
LMBS Omega Ratio Rank: 91
LMBS Calmar Ratio Rank: 79
LMBS Martin Ratio Rank: 84

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.

RFBSX vs. LMBS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Russell Investments Short Duration Bond Fund (RFBSX) and First Trust Low Duration Mortgage Opportunities ETF (LMBS). 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.

	RFBSX	LMBS	Difference
Sharpe ratio: Return per unit of total volatility	2.70	2.91	-0.21
Sortino ratio: Return per unit of downside risk	4.21	4.44	-0.23
Omega ratio: Gain probability vs. loss probability	1.57	1.58	-0.01
Calmar ratio: Return relative to maximum drawdown	3.68	3.95	-0.27
Martin ratio: Return relative to average drawdown	15.51	16.62	-1.12

RFBSX vs. LMBS - Sharpe Ratio Comparison

The current RFBSX Sharpe Ratio is 2.70, which is comparable to the LMBS Sharpe Ratio of 2.91. The chart below compares the historical Sharpe Ratios of RFBSX and LMBS, 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

RFBSX vs. LMBS - Drawdown Comparison

The maximum RFBSX drawdown since its inception was -9.71%, which is greater than LMBS's maximum drawdown of -6.49%. Use the drawdown chart below to compare losses from any high point for RFBSX and LMBS.

Drawdown Indicators

	RFBSX	LMBS	Difference
Max Drawdown Largest peak-to-trough decline	-9.71%	-6.49%	-3.22%
Max Drawdown (1Y) Largest decline over 1 year	-1.04%	-1.43%	+0.39%
Max Drawdown (3Y) Largest decline over 3 years	-1.04%	-1.72%	+0.68%
Max Drawdown (5Y) Largest decline over 5 years	-7.80%	-6.06%	-1.74%
Max Drawdown (10Y) Largest decline over 10 years	-7.80%	-6.49%	-1.31%
Current Drawdown Current decline from peak	-0.16%	-0.20%	+0.04%
Average Drawdown Average peak-to-trough decline	-2.21%	-0.80%	-1.41%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.25%	0.34%	-0.09%

Volatility

RFBSX vs. LMBS - Volatility Comparison

Russell Investments Short Duration Bond Fund (RFBSX) and First Trust Low Duration Mortgage Opportunities ETF (LMBS) have volatilities of 0.57% and 0.55%, 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

	RFBSX	LMBS	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.57%	0.55%	+0.02%
Volatility (6M) Calculated over the trailing 6-month period	1.09%	1.47%	-0.38%
Volatility (1Y) Calculated over the trailing 1-year period	1.42%	1.95%	-0.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.07%	2.57%	-0.50%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.75%	2.35%	-0.60%

RFBSX vs. LMBS - Expense Ratio Comparison

RFBSX has a 0.55% expense ratio, which is lower than LMBS's 0.68% expense ratio.

Dividends

RFBSX vs. LMBS - Dividend Comparison

RFBSX's dividend yield for the trailing twelve months is around 4.70%, more than LMBS's 4.09% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LMBS First Trust Low Duration Mortgage Opportunities ETF	4.09%	4.08%	4.28%	3.96%	2.22%	2.04%	2.27%	2.55%	2.76%	2.73%	2.84%	3.03%
RFBSX Russell Investments Short Duration Bond Fund	4.70%	4.85%	3.91%	2.83%	0.68%	1.72%	2.23%	2.43%	2.32%	1.33%	1.73%	1.48%

Frequently Asked Questions

Can I hold both RFBSX and LMBS in my portfolio?

RFBSX and LMBS have a correlation of 0.66, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RFBSX or LMBS?

RFBSX has higher volatility (0.57%) compared to LMBS (0.55%). In terms of maximum drawdown, RFBSX dropped -9.71% vs LMBS's -6.49%.

Which has better risk-adjusted returns?

LMBS currently has the higher Sharpe Ratio (2.91 vs 2.70), 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.