TAFM vs. IBMO
TAFM (AB Tax-Aware Intermediate Municipal ETF) and IBMO (iShares iBonds Dec 2026 Term Muni Bond ETF) are both Municipal Bonds funds. TAFM is actively managed, while IBMO is passively managed. Over the past year, TAFM returned 7.39% vs 2.71% for IBMO. At a 0.31 correlation, their price movements are largely independent. TAFM charges 0.28%/yr vs 0.18%/yr for IBMO.
Performance
TAFM vs. IBMO - Performance Comparison
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Returns By Period
In the year-to-date period, TAFM achieves a 1.91% return, which is significantly higher than IBMO's 0.94% return.
TAFM
- 1D
- 0.00%
- 1M
- 0.81%
- YTD
- 1.91%
- 6M
- 2.26%
- 1Y
- 7.39%
- 3Y*
- —
- 5Y*
- —
- 10Y*
- —
IBMO
- 1D
- 0.01%
- 1M
- 0.26%
- YTD
- 0.94%
- 6M
- 1.23%
- 1Y
- 2.71%
- 3Y*
- 2.97%
- 5Y*
- 0.67%
- 10Y*
- —
TAFM vs. IBMO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | |
|---|---|---|---|---|
TAFM AB Tax-Aware Intermediate Municipal ETF | 1.91% | 4.21% | 2.54% | 1.51% |
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 0.94% | 3.11% | 1.97% | 0.40% |
Correlation
The correlation between TAFM and IBMO is 0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.04 |
Correlation (All Time) Calculated using the full available price history since Dec 14, 2023 | 0.31 |
Over the past year, the correlation between TAFM and IBMO has dropped to 0.04 - well below their long-term average of 0.31, suggesting their price drivers have been diverging.
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Return for Risk
TAFM vs. IBMO — Risk / Return Rank
TAFM
IBMO
TAFM vs. IBMO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for AB Tax-Aware Intermediate Municipal ETF (TAFM) and iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO). 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.
| TAFM | IBMO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.16 | ||
| Sortino ratioReturn per unit of downside risk | -0.59 | ||
| Omega ratioGain probability vs. loss probability | 1.47 | 1.51 | -0.03 |
| Calmar ratioReturn relative to maximum drawdown | 2.76 | 7.20 | -4.43 |
| Martin ratioReturn relative to average drawdown | 9.84 | 21.39 | -11.55 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| TAFM | IBMO | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 2.31 | 2.47 | -0.16 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | — | 0.31 | — |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.84 | 0.41 | +0.43 |
Drawdowns
TAFM vs. IBMO - Drawdown Comparison
The maximum TAFM drawdown since its inception was -4.74%, smaller than the maximum IBMO drawdown of -14.77%. Use the drawdown chart below to compare losses from any high point for TAFM and IBMO.
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Drawdown Indicators
| TAFM | IBMO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -4.74% | -14.77% | +10.03% |
Max Drawdown (1Y)Largest decline over 1 year | -2.69% | -0.38% | -2.31% |
Max Drawdown (3Y)Largest decline over 3 years | — | -1.76% | — |
Max Drawdown (5Y)Largest decline over 5 years | — | -8.86% | — |
Current DrawdownCurrent decline from peak | -0.36% | 0.00% | -0.36% |
Average DrawdownAverage peak-to-trough decline | -0.95% | -2.32% | +1.37% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.75% | 0.13% | +0.62% |
Volatility
TAFM vs. IBMO - Volatility Comparison
AB Tax-Aware Intermediate Municipal ETF (TAFM) has a higher volatility of 1.00% compared to iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO) at 0.21%. This indicates that TAFM's price experiences larger fluctuations and is considered to be riskier than IBMO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| TAFM | IBMO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.00% | 0.21% | +0.79% |
Volatility (6M)Calculated over the trailing 6-month period | 2.15% | 0.84% | +1.31% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.22% | 1.11% | +2.11% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 4.95% | 2.15% | +2.80% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 4.95% | 4.52% | +0.43% |
TAFM vs. IBMO - Expense Ratio Comparison
TAFM has a 0.28% expense ratio, which is higher than IBMO's 0.18% expense ratio.
Dividends
TAFM vs. IBMO - Dividend Comparison
TAFM's dividend yield for the trailing twelve months is around 3.64%, more than IBMO's 2.39% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 |
|---|---|---|---|---|---|---|---|---|
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 2.39% | 2.37% | 2.15% | 1.65% | 0.89% | 0.62% | 1.03% | 1.01% |
TAFM AB Tax-Aware Intermediate Municipal ETF | 3.64% | 3.51% | 3.35% | 0.18% | 0.00% | 0.00% | 0.00% | 0.00% |
Frequently Asked Questions
TAFM and IBMO have a correlation of 0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
TAFM has higher volatility (1.00%) compared to IBMO (0.21%). In terms of maximum drawdown, TAFM dropped -4.74% vs IBMO's -14.77%.
On 1-year performance, TAFM leads with 7.39% vs 2.71% for IBMO. On fees, IBMO is cheaper at 0.18% per year. On volatility, IBMO has been the lower-risk option at 0.21%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 1-year period, TAFM has performed better with a 7.39% return vs 2.71%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
IBMO is cheaper with a 0.18% expense ratio, compared with 0.28% for TAFM.
TAFM has the higher dividend yield at 3.64%, compared with 2.39% for IBMO.
They also come from different issuers: AllianceBernstein and iShares. Their fees differ too: 0.28% for TAFM and 0.18% for IBMO.
IBMO currently has the higher Sharpe Ratio (2.47 vs 2.31), 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.
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