SHMMX vs. FSMUX

Last updated Jun 24, 2026

SHMMX (Western Asset Managed Municipals Fund) and FSMUX (Strategic Advisers Municipal Bond Fund) are both Municipal Bonds funds. Over the past 5 years, SHMMX returned 1.21%/yr vs 0.57%/yr for FSMUX. Their correlation of 0.88 suggests significant overlap in exposure. SHMMX charges 0.67%/yr vs 0.06%/yr for FSMUX.

Performance

SHMMX vs. FSMUX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Western Asset Managed Municipals Fund (SHMMX) and Strategic Advisers Municipal Bond Fund (FSMUX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SHMMX achieves a 2.07% return, which is significantly higher than FSMUX's 1.59% return.

SHMMX

• 1D: -0.07%
• 1M: 1.79%
• YTD: 2.07%
• 6M: 2.52%
• 1Y: 7.43%
• 3Y*: 4.30%
• 5Y*: 1.21%
• 10Y*: 2.20%

FSMUX

• 1D: 0.00%
• 1M: 1.82%
• YTD: 1.59%
• 6M: 2.06%
• 1Y: 6.56%
• 3Y*: 3.70%
• 5Y*: 0.57%
• 10Y*: —

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

SHMMX vs. FSMUX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
SHMMX Western Asset Managed Municipals Fund	2.07%	4.42%	2.90%	7.17%	-10.11%	0.15%
FSMUX Strategic Advisers Municipal Bond Fund	1.59%	3.14%	2.99%	6.78%	-11.25%	0.39%

Correlation

The correlation between SHMMX and FSMUX is 0.79, 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	0.79
Correlation (3Y) Calculated over the trailing 3-year period	0.84
Correlation (5Y) Calculated over the trailing 5-year period	0.88
Correlation (All Time) Calculated using the full available price history since Jun 17, 2021	0.88

The correlation between SHMMX and FSMUX has been stable across timeframes, ranging from 0.79 to 0.88 - a consistent structural relationship.

Return for Risk

SHMMX vs. FSMUX — Risk / Return Rank

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

SHMMX

SHMMX Risk / Return Rank: 75
SHMMX Sharpe Ratio Rank: 87
SHMMX Sortino Ratio Rank: 91
SHMMX Omega Ratio Rank: 92
SHMMX Calmar Ratio Rank: 57
SHMMX Martin Ratio Rank: 49

FSMUX

FSMUX Risk / Return Rank: 78
FSMUX Sharpe Ratio Rank: 85
FSMUX Sortino Ratio Rank: 93
FSMUX Omega Ratio Rank: 93
FSMUX Calmar Ratio Rank: 64
FSMUX Martin Ratio Rank: 57

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.

SHMMX vs. FSMUX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Western Asset Managed Municipals Fund (SHMMX) and Strategic Advisers Municipal Bond Fund (FSMUX). 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.

	SHMMX	FSMUX	Difference
Sharpe ratio: Return per unit of total volatility	2.63	2.56	+0.07
Sortino ratio: Return per unit of downside risk	4.20	4.41	-0.21
Omega ratio: Gain probability vs. loss probability	1.65	1.68	-0.03
Calmar ratio: Return relative to maximum drawdown	2.78	2.95	-0.17
Martin ratio: Return relative to average drawdown	9.60	10.82	-1.22

SHMMX vs. FSMUX - Sharpe Ratio Comparison

The current SHMMX Sharpe Ratio is 2.63, which is comparable to the FSMUX Sharpe Ratio of 2.56. The chart below compares the historical Sharpe Ratios of SHMMX and FSMUX, 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

SHMMX vs. FSMUX - Drawdown Comparison

The maximum SHMMX drawdown since its inception was -16.40%, roughly equal to the maximum FSMUX drawdown of -16.27%. Use the drawdown chart below to compare losses from any high point for SHMMX and FSMUX.

Drawdown Indicators

	SHMMX	FSMUX	Difference
Max Drawdown Largest peak-to-trough decline	-16.40%	-16.27%	-0.13%
Max Drawdown (1Y) Largest decline over 1 year	-2.71%	-2.68%	-0.03%
Max Drawdown (3Y) Largest decline over 3 years	-5.75%	-5.95%	+0.20%
Max Drawdown (5Y) Largest decline over 5 years	-14.96%	-16.27%	+1.31%
Max Drawdown (10Y) Largest decline over 10 years	-14.96%	—	—
Current Drawdown Current decline from peak	-0.07%	0.00%	-0.07%
Average Drawdown Average peak-to-trough decline	-1.85%	-5.40%	+3.55%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.78%	0.71%	+0.07%

Volatility

SHMMX vs. FSMUX - Volatility Comparison

Western Asset Managed Municipals Fund (SHMMX) has a higher volatility of 0.84% compared to Strategic Advisers Municipal Bond Fund (FSMUX) at 0.78%. This indicates that SHMMX's price experiences larger fluctuations and is considered to be riskier than FSMUX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SHMMX	FSMUX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.84%	0.78%	+0.06%
Volatility (6M) Calculated over the trailing 6-month period	2.11%	2.06%	+0.05%
Volatility (1Y) Calculated over the trailing 1-year period	2.87%	3.09%	-0.22%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.20%	4.62%	-0.42%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.26%	4.62%	-0.36%

SHMMX vs. FSMUX - Expense Ratio Comparison

SHMMX has a 0.67% expense ratio, which is higher than FSMUX's 0.06% expense ratio.

Dividends

SHMMX vs. FSMUX - Dividend Comparison

SHMMX's dividend yield for the trailing twelve months is around 3.45%, more than FSMUX's 2.98% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FSMUX Strategic Advisers Municipal Bond Fund	2.98%	3.26%	3.74%	3.18%	2.14%	0.99%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SHMMX Western Asset Managed Municipals Fund	3.45%	4.53%	3.87%	3.73%	2.82%	2.05%	2.73%	3.59%	3.82%	3.89%	3.79%	3.84%

Frequently Asked Questions

Can I hold both SHMMX and FSMUX in my portfolio?

SHMMX and FSMUX have a correlation of 0.79, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SHMMX or FSMUX?

SHMMX has higher volatility (0.84%) compared to FSMUX (0.78%). In terms of maximum drawdown, SHMMX dropped -16.40% vs FSMUX's -16.27%.

Which has better risk-adjusted returns?

SHMMX currently has the higher Sharpe Ratio (2.63 vs 2.56), 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.