SCHR vs. MUNI

Last updated Jun 4, 2026

SCHR (Schwab Intermediate-Term U.S. Treasury ETF) and MUNI (PIMCO Intermediate Municipal Bond Active ETF) are both exchange-traded funds - SCHR is a Government Bonds fund tracking the Bloomberg US Treasury 3-10 Year Index, while MUNI is a Municipal Bonds fund actively managed by PIMCO. SCHR is passively managed, while MUNI is actively managed. Over the past 10 years, SCHR returned 1.23%/yr vs 2.16%/yr for MUNI. A 0.53 correlation means they provide meaningful diversification when combined. SCHR charges 0.05%/yr vs 0.35%/yr for MUNI.

Performance

SCHR vs. MUNI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab Intermediate-Term U.S. Treasury ETF (SCHR) and PIMCO Intermediate Municipal Bond Active ETF (MUNI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SCHR achieves a -0.43% return, which is significantly lower than MUNI's 1.24% return. Over the past 10 years, SCHR has underperformed MUNI with an annualized return of 1.23%, while MUNI has yielded a comparatively higher 2.16% annualized return.

SCHR

• 1D: -0.16%
• 1M: -0.15%
• YTD: -0.43%
• 6M: -0.59%
• 1Y: 3.55%
• 3Y*: 3.41%
• 5Y*: 0.05%
• 10Y*: 1.23%

MUNI

• 1D: -0.04%
• 1M: 0.42%
• YTD: 1.24%
• 6M: 1.44%
• 1Y: 6.52%
• 3Y*: 3.96%
• 5Y*: 1.27%
• 10Y*: 2.16%

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

SCHR vs. MUNI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SCHR Schwab Intermediate-Term U.S. Treasury ETF	-0.43%	7.33%	1.42%	4.27%	-10.58%	-2.62%	7.72%	6.18%	1.46%	1.59%
MUNI PIMCO Intermediate Municipal Bond Active ETF	1.24%	4.72%	1.43%	6.07%	-6.62%	0.67%	4.83%	7.09%	0.84%	4.86%

Correlation

The correlation between SCHR and MUNI is 0.71, 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	0.71
Correlation (3Y) Calculated over the trailing 3-year period	0.73
Correlation (5Y) Calculated over the trailing 5-year period	0.65
Correlation (10Y) Calculated over the trailing 10-year period	0.57
Correlation (All Time) Calculated using the full available price history since Aug 6, 2010	0.53

The correlation between SCHR and MUNI shifts across timeframes, from 0.53 (all time) to 0.73 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

SCHR vs. MUNI — Risk / Return Rank

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

SCHR

SCHR Risk / Return Rank: 27
SCHR Sharpe Ratio Rank: 28
SCHR Sortino Ratio Rank: 28
SCHR Omega Ratio Rank: 26
SCHR Calmar Ratio Rank: 26
SCHR Martin Ratio Rank: 27

MUNI

MUNI Risk / Return Rank: 76
MUNI Sharpe Ratio Rank: 86
MUNI Sortino Ratio Rank: 91
MUNI Omega Ratio Rank: 93
MUNI Calmar Ratio Rank: 57
MUNI Martin Ratio Rank: 54

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.

SCHR vs. MUNI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab Intermediate-Term U.S. Treasury ETF (SCHR) and PIMCO Intermediate Municipal Bond Active ETF (MUNI). 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.

	SCHR	MUNI	Difference
Sharpe ratio: Return per unit of total volatility	1.04	2.89	-1.85
Sortino ratio: Return per unit of downside risk	1.57	4.33	-2.76
Omega ratio: Gain probability vs. loss probability	1.18	1.65	-0.47
Calmar ratio: Return relative to maximum drawdown	1.27	2.86	-1.58
Martin ratio: Return relative to average drawdown	3.82	9.39	-5.57
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SCHR vs. MUNI - Sharpe Ratio Comparison

The current SCHR Sharpe Ratio is 1.04, which is lower than the MUNI Sharpe Ratio of 2.89. The chart below compares the historical Sharpe Ratios of SCHR and MUNI, 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

	SCHR	MUNI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.04	2.89	-1.85
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.01	0.38	-0.37
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.28	0.56	-0.29
Sharpe Ratio (All Time) Calculated using the full available price history	0.44	0.78	-0.34

Drawdowns

SCHR vs. MUNI - Drawdown Comparison

The maximum SCHR drawdown since its inception was -16.11%, which is greater than MUNI's maximum drawdown of -11.15%. Use the drawdown chart below to compare losses from any high point for SCHR and MUNI.

Drawdown Indicators

	SCHR	MUNI	Difference
Max Drawdown Largest peak-to-trough decline	-16.11%	-11.15%	-4.96%
Max Drawdown (1Y) Largest decline over 1 year	-2.79%	-2.29%	-0.50%
Max Drawdown (3Y) Largest decline over 3 years	-4.35%	-4.09%	-0.26%
Max Drawdown (5Y) Largest decline over 5 years	-15.07%	-11.15%	-3.92%
Max Drawdown (10Y) Largest decline over 10 years	-16.11%	-11.15%	-4.96%
Current Drawdown Current decline from peak	-2.37%	-0.79%	-1.58%
Average Drawdown Average peak-to-trough decline	-3.64%	-1.73%	-1.91%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.93%	0.70%	+0.23%

Volatility

SCHR vs. MUNI - Volatility Comparison

Schwab Intermediate-Term U.S. Treasury ETF (SCHR) has a higher volatility of 1.08% compared to PIMCO Intermediate Municipal Bond Active ETF (MUNI) at 0.77%. This indicates that SCHR's price experiences larger fluctuations and is considered to be riskier than MUNI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SCHR	MUNI	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.08%	0.77%	+0.31%
Volatility (6M) Calculated over the trailing 6-month period	2.35%	1.60%	+0.75%
Volatility (1Y) Calculated over the trailing 1-year period	3.43%	2.27%	+1.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.38%	3.31%	+2.07%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.47%	3.85%	+0.62%

SCHR vs. MUNI - Expense Ratio Comparison

SCHR has a 0.05% expense ratio, which is lower than MUNI's 0.35% expense ratio.

Dividends

SCHR vs. MUNI - Dividend Comparison

SCHR's dividend yield for the trailing twelve months is around 3.92%, more than MUNI's 3.29% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MUNI PIMCO Intermediate Municipal Bond Active ETF	3.29%	3.26%	3.50%	3.09%	2.13%	1.62%	1.92%	2.44%	2.38%	2.37%	2.37%	2.20%
SCHR Schwab Intermediate-Term U.S. Treasury ETF	3.92%	3.85%	3.77%	3.16%	2.02%	1.00%	1.62%	2.31%	2.11%	1.65%	1.45%	1.56%

Frequently Asked Questions

Can I hold both SCHR and MUNI in my portfolio?

SCHR and MUNI have a correlation of 0.71, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SCHR or MUNI?

SCHR has higher volatility (1.08%) compared to MUNI (0.77%). In terms of maximum drawdown, SCHR dropped -16.11% vs MUNI's -11.15%.

Which ETF is better, SCHR or MUNI?

On 10-year performance, MUNI leads with 2.16% vs 1.23% for SCHR. On fees, SCHR is cheaper at 0.05% per year. On volatility, MUNI has been the lower-risk option at 0.77%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SCHR or MUNI?

Over the 10-year period, MUNI has performed better with a 2.16% return vs 1.23%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SCHR or MUNI?

SCHR is cheaper with a 0.05% expense ratio, compared with 0.35% for MUNI.

Which ETF pays a higher dividend yield, SCHR or MUNI?

SCHR has the higher dividend yield at 3.92%, compared with 3.29% for MUNI.

What is the main difference between SCHR and MUNI?

SCHR is categorized as Government Bonds, while MUNI is Municipal Bonds. They also come from different issuers: Charles Schwab and PIMCO. Their fees differ too: 0.05% for SCHR and 0.35% for MUNI.

Which has better risk-adjusted returns?

MUNI currently has the higher Sharpe Ratio (2.89 vs 1.04), 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.