SMMU vs. MUNY

Last updated Jun 4, 2026

SMMU (PIMCO Short Term Municipal Bond Active ETF) and MUNY (Vanguard New York Tax-Exempt Bond ETF) are both Municipal Bonds funds. SMMU is actively managed, while MUNY is passively managed. Over the past year, SMMU returned 3.92% vs 7.00% for MUNY. A 0.55 correlation means they provide meaningful diversification when combined. SMMU charges 0.35%/yr vs 0.09%/yr for MUNY.

Performance

SMMU vs. MUNY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PIMCO Short Term Municipal Bond Active ETF (SMMU) and Vanguard New York Tax-Exempt Bond ETF (MUNY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SMMU achieves a 1.10% return, which is significantly lower than MUNY's 1.50% return.

SMMU

• 1D: 0.07%
• 1M: 0.31%
• YTD: 1.10%
• 6M: 1.36%
• 1Y: 3.92%
• 3Y*: 3.67%
• 5Y*: 1.90%
• 10Y*: 1.82%

MUNY

• 1D: -0.04%
• 1M: 0.62%
• YTD: 1.50%
• 6M: 1.95%
• 1Y: 7.00%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

SMMU vs. MUNY - Yearly Performance Comparison

	2026 (YTD)	2025
SMMU PIMCO Short Term Municipal Bond Active ETF	1.10%	3.17%
MUNY Vanguard New York Tax-Exempt Bond ETF	1.50%	5.54%

Correlation

The correlation between SMMU and MUNY is 0.55, 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	0.55
Correlation (All Time) Calculated using the full available price history since May 23, 2025	0.55

The correlation between SMMU and MUNY has been stable across timeframes, ranging from 0.55 to 0.55 - a consistent structural relationship.

Return for Risk

SMMU vs. MUNY — Risk / Return Rank

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

SMMU

SMMU Risk / Return Rank: 92
SMMU Sharpe Ratio Rank: 95
SMMU Sortino Ratio Rank: 96
SMMU Omega Ratio Rank: 97
SMMU Calmar Ratio Rank: 88
SMMU Martin Ratio Rank: 86

MUNY

MUNY Risk / Return Rank: 57
MUNY Sharpe Ratio Rank: 52
MUNY Sortino Ratio Rank: 54
MUNY Omega Ratio Rank: 81
MUNY Calmar Ratio Rank: 53
MUNY Martin Ratio Rank: 45

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.

SMMU vs. MUNY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PIMCO Short Term Municipal Bond Active ETF (SMMU) and Vanguard New York Tax-Exempt Bond ETF (MUNY). 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.

	SMMU	MUNY	Difference
Sharpe ratio: Return per unit of total volatility	3.84	1.79	+2.05
Sortino ratio: Return per unit of downside risk	5.82	2.59	+3.23
Omega ratio: Gain probability vs. loss probability	1.90	1.48	+0.42
Calmar ratio: Return relative to maximum drawdown	5.10	2.60	+2.50
Martin ratio: Return relative to average drawdown	18.24	7.27	+10.97
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SMMU vs. MUNY - Sharpe Ratio Comparison

The current SMMU Sharpe Ratio is 3.84, which is higher than the MUNY Sharpe Ratio of 1.79. The chart below compares the historical Sharpe Ratios of SMMU and MUNY, 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

	SMMU	MUNY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.84	1.79	+2.05
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.14	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.67	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.60	1.77	-1.17

Drawdowns

SMMU vs. MUNY - Drawdown Comparison

The maximum SMMU drawdown since its inception was -5.09%, which is greater than MUNY's maximum drawdown of -2.70%. Use the drawdown chart below to compare losses from any high point for SMMU and MUNY.

Drawdown Indicators

	SMMU	MUNY	Difference
Max Drawdown Largest peak-to-trough decline	-5.09%	-2.70%	-2.39%
Max Drawdown (1Y) Largest decline over 1 year	-0.77%	-2.70%	+1.93%
Max Drawdown (3Y) Largest decline over 3 years	-1.95%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-4.76%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-5.09%	—	—
Current Drawdown Current decline from peak	-0.03%	-0.49%	+0.46%
Average Drawdown Average peak-to-trough decline	-0.55%	-0.66%	+0.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.22%	0.96%	-0.74%

Volatility

SMMU vs. MUNY - Volatility Comparison

The current volatility for PIMCO Short Term Municipal Bond Active ETF (SMMU) is 0.31%, while Vanguard New York Tax-Exempt Bond ETF (MUNY) has a volatility of 1.05%. This indicates that SMMU experiences smaller price fluctuations and is considered to be less risky than MUNY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SMMU	MUNY	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.31%	1.05%	-0.74%
Volatility (6M) Calculated over the trailing 6-month period	0.79%	2.30%	-1.51%
Volatility (1Y) Calculated over the trailing 1-year period	1.02%	3.93%	-2.91%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.67%	3.93%	-2.26%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.73%	3.93%	-1.20%

SMMU vs. MUNY - Expense Ratio Comparison

SMMU has a 0.35% expense ratio, which is higher than MUNY's 0.09% expense ratio.

Dividends

SMMU vs. MUNY - Dividend Comparison

SMMU's dividend yield for the trailing twelve months is around 2.84%, less than MUNY's 3.11% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MUNY Vanguard New York Tax-Exempt Bond ETF	3.11%	1.80%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SMMU PIMCO Short Term Municipal Bond Active ETF	2.84%	2.80%	3.03%	2.79%	1.37%	0.60%	1.19%	1.82%	1.57%	1.41%	1.03%	0.89%

Frequently Asked Questions

Can I hold both SMMU and MUNY in my portfolio?

SMMU and MUNY have a correlation of 0.55, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SMMU or MUNY?

MUNY has higher volatility (1.05%) compared to SMMU (0.31%). In terms of maximum drawdown, SMMU dropped -5.09% vs MUNY's -2.70%.

Which ETF is better, SMMU or MUNY?

On 1-year performance, MUNY leads with 7.00% vs 3.92% for SMMU. On fees, MUNY is cheaper at 0.09% per year. On volatility, SMMU has been the lower-risk option at 0.31%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SMMU or MUNY?

Over the 1-year period, MUNY has performed better with a 7.00% return vs 3.92%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SMMU or MUNY?

MUNY is cheaper with a 0.09% expense ratio, compared with 0.35% for SMMU.

Which ETF pays a higher dividend yield, SMMU or MUNY?

MUNY has the higher dividend yield at 3.11%, compared with 2.84% for SMMU.

What is the main difference between SMMU and MUNY?

They also come from different issuers: PIMCO and Vanguard. Their fees differ too: 0.35% for SMMU and 0.09% for MUNY.

Which has better risk-adjusted returns?

SMMU currently has the higher Sharpe Ratio (3.84 vs 1.79), 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.