SECU vs. SMBS

Last updated Jun 25, 2026

SECU (iShares Securitized Income Active ETF) and SMBS (Schwab Mortgage-Backed Securities ETF) are both Mortgage Backed Securities funds. SECU is actively managed, while SMBS is passively managed. At a 0.43 correlation, their price movements are largely independent. SECU charges 0.40%/yr vs 0.03%/yr for SMBS.

Performance

SECU vs. SMBS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Securitized Income Active ETF (SECU) and Schwab Mortgage-Backed Securities ETF (SMBS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

SECU

• 1D: 0.22%
• 1M: 0.83%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

SMBS

• 1D: 0.49%
• 1M: 1.19%
• YTD: 1.28%
• 6M: 1.02%
• 1Y: 5.70%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

SECU vs. SMBS - Yearly Performance Comparison

	2026 (YTD)
SECU iShares Securitized Income Active ETF	1.73%
SMBS Schwab Mortgage-Backed Securities ETF	0.91%

Correlation

The correlation between SECU and SMBS is 0.43, 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 Jan 26, 2026	0.43

Return for Risk

SECU vs. SMBS — Risk / Return Rank

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

SECU

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

SMBS

SMBS Risk / Return Rank: 44
SMBS Sharpe Ratio Rank: 45
SMBS Sortino Ratio Rank: 45
SMBS Omega Ratio Rank: 43
SMBS Calmar Ratio Rank: 45
SMBS Martin Ratio Rank: 44

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.

SECU vs. SMBS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Securitized Income Active ETF (SECU) and Schwab Mortgage-Backed Securities ETF (SMBS). 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.

	SECU	SMBS	Difference
Sharpe ratio: Return per unit of total volatility	—	1.39	—
Sortino ratio: Return per unit of downside risk	—	2.04	—
Omega ratio: Gain probability vs. loss probability	—	1.25	—
Calmar ratio: Return relative to maximum drawdown	—	2.02	—
Martin ratio: Return relative to average drawdown	—	6.50	—

Drawdowns

SECU vs. SMBS - Drawdown Comparison

The maximum SECU drawdown since its inception was -1.76%, smaller than the maximum SMBS drawdown of -3.20%. Use the drawdown chart below to compare losses from any high point for SECU and SMBS.

Drawdown Indicators

	SECU	SMBS	Difference
Max Drawdown Largest peak-to-trough decline	-1.76%	-3.20%	+1.44%
Max Drawdown (1Y) Largest decline over 1 year	—	-2.83%	—
Current Drawdown Current decline from peak	-0.18%	-0.77%	+0.59%
Average Drawdown Average peak-to-trough decline	-0.51%	-0.85%	+0.34%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.88%	—

Volatility

Volatility by Period

	SECU	SMBS	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	1.34%	—
Volatility (6M) Calculated over the trailing 6-month period	—	3.16%	—
Volatility (1Y) Calculated over the trailing 1-year period	3.30%	4.14%	-0.84%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.30%	4.86%	-1.56%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.30%	4.86%	-1.56%

SECU vs. SMBS - Expense Ratio Comparison

SECU has a 0.40% expense ratio, which is higher than SMBS's 0.03% expense ratio.

Dividends

SECU vs. SMBS - Dividend Comparison

SECU's dividend yield for the trailing twelve months is around 2.09%, less than SMBS's 5.14% yield.

Position	TTM	2025	2024
SECU iShares Securitized Income Active ETF	2.09%	0.00%	0.00%
SMBS Schwab Mortgage-Backed Securities ETF	5.14%	4.83%	0.50%

Frequently Asked Questions

Can I hold both SECU and SMBS in my portfolio?

SECU and SMBS have a correlation of 0.43, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, SECU or SMBS?

On fees, SMBS is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, SECU or SMBS?

SMBS is cheaper with a 0.03% expense ratio, compared with 0.40% for SECU.

Which ETF pays a higher dividend yield, SECU or SMBS?

SMBS has the higher dividend yield at 5.14%, compared with 2.09% for SECU.

What is the main difference between SECU and SMBS?

They also come from different issuers: iShares and Charles Schwab. Their fees differ too: 0.40% for SECU and 0.03% for SMBS.