TAXX vs. XONE

Last updated Jun 6, 2026

TAXX (Bondbloxx IR+M Tax-Aware Short Duration ETF) and XONE (BondBloxx Bloomberg One Year Target Duration US Treasury ETF) are both exchange-traded funds - TAXX is a Municipal Bonds fund actively managed by BondBloxx, while XONE is a Government Bonds fund tracking the Bloomberg US Treasury 1 Year Target Duration Index. TAXX is actively managed, while XONE is passively managed. Over the past year, TAXX returned 3.90% vs 3.79% for XONE. At a 0.46 correlation, their price movements are largely independent. TAXX charges 0.35%/yr vs 0.03%/yr for XONE.

Performance

TAXX vs. XONE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Bondbloxx IR+M Tax-Aware Short Duration ETF (TAXX) and BondBloxx Bloomberg One Year Target Duration US Treasury ETF (XONE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with TAXX having a 1.07% return and XONE slightly higher at 1.11%.

TAXX

• 1D: -0.04%
• 1M: 0.21%
• YTD: 1.07%
• 6M: 1.54%
• 1Y: 3.90%
• 3Y*: —
• 5Y*: —
• 10Y*: —

XONE

• 1D: -0.04%
• 1M: 0.16%
• YTD: 1.11%
• 6M: 1.45%
• 1Y: 3.79%
• 3Y*: 4.55%
• 5Y*: —
• 10Y*: —

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

TAXX vs. XONE - Yearly Performance Comparison

	2026 (YTD)	2025	2024
TAXX Bondbloxx IR+M Tax-Aware Short Duration ETF	1.07%	4.52%	3.51%
XONE BondBloxx Bloomberg One Year Target Duration US Treasury ETF	1.11%	4.41%	4.26%

Correlation

The correlation between TAXX and XONE is 0.35, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.35
Correlation (All Time) Calculated using the full available price history since Mar 15, 2024	0.46

The correlation between TAXX and XONE shifts across timeframes, from 0.35 (1 year) to 0.46 (all time), reflecting how their relationship changes across market environments.

Return for Risk

TAXX vs. XONE — Risk / Return Rank

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

TAXX

TAXX Risk / Return Rank: 81
TAXX Sharpe Ratio Rank: 75
TAXX Sortino Ratio Rank: 80
TAXX Omega Ratio Rank: 92
TAXX Calmar Ratio Rank: 84
TAXX Martin Ratio Rank: 74

XONE

XONE Risk / Return Rank: 99
XONE Sharpe Ratio Rank: 99
XONE Sortino Ratio Rank: 99
XONE Omega Ratio Rank: 99
XONE Calmar Ratio Rank: 99
XONE Martin Ratio Rank: 99

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.

TAXX vs. XONE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Bondbloxx IR+M Tax-Aware Short Duration ETF (TAXX) and BondBloxx Bloomberg One Year Target Duration US Treasury ETF (XONE). 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.

	TAXX	XONE	Difference
Sharpe ratio: Return per unit of total volatility	2.31	6.97	-4.65
Sortino ratio: Return per unit of downside risk	3.42	16.48	-13.06
Omega ratio: Gain probability vs. loss probability	1.59	3.50	-1.91
Calmar ratio: Return relative to maximum drawdown	4.43	23.76	-19.33
Martin ratio: Return relative to average drawdown	13.47	137.18	-123.72
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TAXX vs. XONE - Sharpe Ratio Comparison

The current TAXX Sharpe Ratio is 2.31, which is lower than the XONE Sharpe Ratio of 6.97. The chart below compares the historical Sharpe Ratios of TAXX and XONE, 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

	TAXX	XONE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.31	6.97	-4.65
Sharpe Ratio (All Time) Calculated using the full available price history	2.59	4.95	-2.36

Drawdowns

TAXX vs. XONE - Drawdown Comparison

The maximum TAXX drawdown since its inception was -0.91%, which is greater than XONE's maximum drawdown of -0.40%. Use the drawdown chart below to compare losses from any high point for TAXX and XONE.

Drawdown Indicators

	TAXX	XONE	Difference
Max Drawdown Largest peak-to-trough decline	-0.91%	-0.40%	-0.51%
Max Drawdown (1Y) Largest decline over 1 year	-0.88%	-0.16%	-0.72%
Max Drawdown (3Y) Largest decline over 3 years	—	-0.28%	—
Current Drawdown Current decline from peak	-0.04%	-0.04%	0.00%
Average Drawdown Average peak-to-trough decline	-0.17%	-0.04%	-0.13%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.29%	0.03%	+0.26%

Volatility

TAXX vs. XONE - Volatility Comparison

Bondbloxx IR+M Tax-Aware Short Duration ETF (TAXX) has a higher volatility of 0.33% compared to BondBloxx Bloomberg One Year Target Duration US Treasury ETF (XONE) at 0.10%. This indicates that TAXX's price experiences larger fluctuations and is considered to be riskier than XONE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TAXX	XONE	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.33%	0.10%	+0.23%
Volatility (6M) Calculated over the trailing 6-month period	0.84%	0.34%	+0.50%
Volatility (1Y) Calculated over the trailing 1-year period	1.69%	0.55%	+1.14%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.59%	0.86%	+0.73%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.59%	0.86%	+0.73%

TAXX vs. XONE - Expense Ratio Comparison

TAXX has a 0.35% expense ratio, which is higher than XONE's 0.03% expense ratio.

Dividends

TAXX vs. XONE - Dividend Comparison

TAXX's dividend yield for the trailing twelve months is around 3.50%, less than XONE's 4.06% yield.

Position	TTM	2025	2024	2023	2022
TAXX Bondbloxx IR+M Tax-Aware Short Duration ETF	3.50%	3.72%	2.70%	0.00%	0.00%
XONE BondBloxx Bloomberg One Year Target Duration US Treasury ETF	4.06%	4.33%	5.21%	4.46%	1.17%

Frequently Asked Questions

Can I hold both TAXX and XONE in my portfolio?

TAXX and XONE have a correlation of 0.35, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TAXX or XONE?

TAXX has higher volatility (0.33%) compared to XONE (0.10%). In terms of maximum drawdown, TAXX dropped -0.91% vs XONE's -0.40%.

Which ETF is better, TAXX or XONE?

On 1-year performance, TAXX leads with 3.90% vs 3.79% for XONE. On fees, XONE is cheaper at 0.03% per year. On volatility, XONE has been the lower-risk option at 0.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TAXX or XONE?

Over the 1-year period, TAXX has performed better with a 3.90% return vs 3.79%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TAXX or XONE?

XONE is cheaper with a 0.03% expense ratio, compared with 0.35% for TAXX.

Which ETF pays a higher dividend yield, TAXX or XONE?

XONE has the higher dividend yield at 4.06%, compared with 3.50% for TAXX.

What is the main difference between TAXX and XONE?

TAXX is categorized as Municipal Bonds, while XONE is Government Bonds. Their fees differ too: 0.35% for TAXX and 0.03% for XONE.

Which has better risk-adjusted returns?

XONE currently has the higher Sharpe Ratio (6.97 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.