SBPAX vs. LSMSX

Last updated Jun 4, 2026

SBPAX (Western Asset Pennsylvania Municipals Fund) and LSMSX (Western Asset SMASh Series TF Fund) are both Municipal Bonds funds from Franklin Templeton. Over the past 5 years, SBPAX returned 0.43%/yr vs 1.20%/yr for LSMSX. Their correlation of 0.84 suggests significant overlap in exposure. SBPAX charges 0.80%/yr vs 0.01%/yr for LSMSX.

Performance

SBPAX vs. LSMSX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Western Asset Pennsylvania Municipals Fund (SBPAX) and Western Asset SMASh Series TF Fund (LSMSX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SBPAX achieves a 1.59% return, which is significantly lower than LSMSX's 2.18% return.

SBPAX

• 1D: 0.17%
• 1M: 0.76%
• YTD: 1.59%
• 6M: 2.02%
• 1Y: 7.62%
• 3Y*: 3.81%
• 5Y*: 0.43%
• 10Y*: 1.75%

LSMSX

• 1D: 0.31%
• 1M: 1.07%
• YTD: 2.18%
• 6M: 2.48%
• 1Y: 8.53%
• 3Y*: 4.03%
• 5Y*: 1.20%
• 10Y*: —

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

SBPAX vs. LSMSX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SBPAX Western Asset Pennsylvania Municipals Fund	1.59%	4.71%	2.58%	4.43%	-10.82%	1.75%	3.89%	6.91%	1.08%	4.10%
LSMSX Western Asset SMASh Series TF Fund	2.18%	3.22%	2.22%	7.96%	-10.03%	4.11%	4.48%	8.16%	0.46%	4.92%

Correlation

The correlation between SBPAX and LSMSX is 0.82, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.82
Correlation (3Y) Calculated over the trailing 3-year period	0.88
Correlation (5Y) Calculated over the trailing 5-year period	0.90
Correlation (All Time) Calculated using the full available price history since Feb 2, 2017	0.84

The correlation between SBPAX and LSMSX has been stable across timeframes, ranging from 0.82 to 0.90 - a consistent structural relationship.

Return for Risk

SBPAX vs. LSMSX — Risk / Return Rank

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

SBPAX

SBPAX Risk / Return Rank: 80
SBPAX Sharpe Ratio Rank: 89
SBPAX Sortino Ratio Rank: 93
SBPAX Omega Ratio Rank: 93
SBPAX Calmar Ratio Rank: 68
SBPAX Martin Ratio Rank: 58

LSMSX

LSMSX Risk / Return Rank: 77
LSMSX Sharpe Ratio Rank: 89
LSMSX Sortino Ratio Rank: 92
LSMSX Omega Ratio Rank: 94
LSMSX Calmar Ratio Rank: 61
LSMSX Martin Ratio Rank: 49

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.

SBPAX vs. LSMSX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Western Asset Pennsylvania Municipals Fund (SBPAX) and Western Asset SMASh Series TF Fund (LSMSX). 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.

	SBPAX	LSMSX	Difference
Sharpe ratio: Return per unit of total volatility	2.97	2.95	+0.02
Sortino ratio: Return per unit of downside risk	4.81	4.61	+0.20
Omega ratio: Gain probability vs. loss probability	1.72	1.72	0.00
Calmar ratio: Return relative to maximum drawdown	3.19	2.99	+0.19
Martin ratio: Return relative to average drawdown	11.62	10.07	+1.55
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SBPAX vs. LSMSX - Sharpe Ratio Comparison

The current SBPAX Sharpe Ratio is 2.97, which is comparable to the LSMSX Sharpe Ratio of 2.95. The chart below compares the historical Sharpe Ratios of SBPAX and LSMSX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	SBPAX	LSMSX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.97	2.95	+0.02
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.11	0.27	-0.16
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.46	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.24	0.63	+0.61

Drawdowns

SBPAX vs. LSMSX - Drawdown Comparison

The maximum SBPAX drawdown since its inception was -15.97%, which is greater than LSMSX's maximum drawdown of -15.00%. Use the drawdown chart below to compare losses from any high point for SBPAX and LSMSX.

Drawdown Indicators

	SBPAX	LSMSX	Difference
Max Drawdown Largest peak-to-trough decline	-15.97%	-15.00%	-0.97%
Max Drawdown (1Y) Largest decline over 1 year	-2.34%	-2.82%	+0.48%
Max Drawdown (3Y) Largest decline over 3 years	-6.62%	-7.49%	+0.87%
Max Drawdown (5Y) Largest decline over 5 years	-15.97%	-15.00%	-0.97%
Max Drawdown (10Y) Largest decline over 10 years	-15.97%	—	—
Current Drawdown Current decline from peak	-0.02%	-0.23%	+0.21%
Average Drawdown Average peak-to-trough decline	-2.03%	-2.85%	+0.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.64%	0.84%	-0.20%

Volatility

SBPAX vs. LSMSX - Volatility Comparison

The current volatility for Western Asset Pennsylvania Municipals Fund (SBPAX) is 0.91%, while Western Asset SMASh Series TF Fund (LSMSX) has a volatility of 1.22%. This indicates that SBPAX experiences smaller price fluctuations and is considered to be less risky than LSMSX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SBPAX	LSMSX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.91%	1.22%	-0.31%
Volatility (6M) Calculated over the trailing 6-month period	1.78%	2.07%	-0.29%
Volatility (1Y) Calculated over the trailing 1-year period	2.53%	2.88%	-0.35%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.91%	4.49%	-0.58%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.83%	4.51%	-0.68%

SBPAX vs. LSMSX - Expense Ratio Comparison

SBPAX has a 0.80% expense ratio, which is higher than LSMSX's 0.01% expense ratio.

Dividends

SBPAX vs. LSMSX - Dividend Comparison

SBPAX's dividend yield for the trailing twelve months is around 2.64%, less than LSMSX's 3.86% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LSMSX Western Asset SMASh Series TF Fund	3.86%	3.83%	4.30%	3.37%	2.38%	2.73%	2.33%	2.55%	2.34%	0.90%	0.00%	0.00%
SBPAX Western Asset Pennsylvania Municipals Fund	2.64%	3.51%	2.80%	2.48%	2.08%	1.82%	2.40%	3.13%	3.36%	3.51%	3.63%	3.63%

Frequently Asked Questions

Can I hold both SBPAX and LSMSX in my portfolio?

SBPAX and LSMSX have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SBPAX or LSMSX?

LSMSX has higher volatility (1.22%) compared to SBPAX (0.91%). In terms of maximum drawdown, SBPAX dropped -15.97% vs LSMSX's -15.00%.

Which has better risk-adjusted returns?

SBPAX currently has the higher Sharpe Ratio (2.97 vs 2.95), 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.