TBUX vs. FSMD

Last updated Jun 13, 2026

TBUX (T. Rowe Price Ultra Short-Term Bond ETF) and FSMD (Fidelity Small-Mid Multifactor ETF) are both exchange-traded funds - TBUX is a Ultrashort Bond fund actively managed by T. Rowe Price, while FSMD is a Small Cap Growth Equities fund tracking the Fidelity Small-Mid Multifactor Index. TBUX is actively managed, while FSMD is passively managed. Over the past 3 years, TBUX returned 5.89%/yr vs 17.46%/yr for FSMD. At a 0.10 correlation, their price movements are largely independent. TBUX charges 0.17%/yr vs 0.29%/yr for FSMD.

Performance

TBUX vs. FSMD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price Ultra Short-Term Bond ETF (TBUX) and Fidelity Small-Mid Multifactor ETF (FSMD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TBUX achieves a 1.83% return, which is significantly lower than FSMD's 17.58% return.

TBUX

• 1D: 0.00%
• 1M: 0.39%
• YTD: 1.83%
• 6M: 2.14%
• 1Y: 4.81%
• 3Y*: 5.89%
• 5Y*: —
• 10Y*: —

FSMD

• 1D: 1.00%
• 1M: 4.76%
• YTD: 17.58%
• 6M: 15.58%
• 1Y: 27.73%
• 3Y*: 17.46%
• 5Y*: 10.00%
• 10Y*: —

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

TBUX vs. FSMD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
TBUX T. Rowe Price Ultra Short-Term Bond ETF	1.83%	5.37%	6.38%	6.39%	-0.13%	-0.25%
FSMD Fidelity Small-Mid Multifactor ETF	17.58%	8.70%	15.18%	17.37%	-11.15%	5.87%

Correlation

The correlation between TBUX and FSMD is 0.21, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.21
Correlation (3Y) Calculated over the trailing 3-year period	0.10
Correlation (All Time) Calculated using the full available price history since Sep 29, 2021	0.10

The correlation between TBUX and FSMD shifts across timeframes, from 0.10 (3 years) to 0.21 (1 year), reflecting how their relationship changes across market environments.

TBUX vs. FSMD - Sectors Allocation Comparison

Sectors	TBUX	FSMD
Technology	52.7%	18.2%
Communication Services	15.2%	2.8%
Consumer Cyclical	14.3%	11.1%
Consumer Defensive	5.5%	3.3%
Healthcare	5.0%	11.6%
Industrials	3.5%	20.7%
Basic Materials	1.3%	3.9%
Utilities	1.2%	2.2%
Energy	0.6%	4.6%
Financial Services	0.5%	15.4%
Real Estate	0.2%	6.2%

Return for Risk

TBUX vs. FSMD — Risk / Return Rank

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

TBUX

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

FSMD

FSMD Risk / Return Rank: 66
FSMD Sharpe Ratio Rank: 61
FSMD Sortino Ratio Rank: 64
FSMD Omega Ratio Rank: 58
FSMD Calmar Ratio Rank: 74
FSMD Martin Ratio Rank: 73

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.

TBUX vs. FSMD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price Ultra Short-Term Bond ETF (TBUX) and Fidelity Small-Mid Multifactor ETF (FSMD). 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.

	TBUX	FSMD	Difference
Sharpe ratio: Return per unit of total volatility	7.19	1.78	+5.41
Sortino ratio: Return per unit of downside risk	14.51	2.58	+11.93
Omega ratio: Gain probability vs. loss probability	3.12	1.31	+1.81
Calmar ratio: Return relative to maximum drawdown	48.17	3.30	+44.86
Martin ratio: Return relative to average drawdown	182.82	11.89	+170.94

TBUX vs. FSMD - Sharpe Ratio Comparison

The current TBUX Sharpe Ratio is 7.19, which is higher than the FSMD Sharpe Ratio of 1.78. The chart below compares the historical Sharpe Ratios of TBUX and FSMD, 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

TBUX vs. FSMD - Drawdown Comparison

The maximum TBUX drawdown since its inception was -1.82%, smaller than the maximum FSMD drawdown of -40.67%. Use the drawdown chart below to compare losses from any high point for TBUX and FSMD.

Drawdown Indicators

	TBUX	FSMD	Difference
Max Drawdown Largest peak-to-trough decline	-1.82%	-40.67%	+38.85%
Max Drawdown (1Y) Largest decline over 1 year	-0.10%	-8.44%	+8.34%
Max Drawdown (3Y) Largest decline over 3 years	-0.33%	-22.16%	+21.83%
Max Drawdown (5Y) Largest decline over 5 years	—	-22.16%	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-0.28%	-5.98%	+5.70%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.03%	2.34%	-2.31%

Volatility

TBUX vs. FSMD - Volatility Comparison

The current volatility for T. Rowe Price Ultra Short-Term Bond ETF (TBUX) is 0.22%, while Fidelity Small-Mid Multifactor ETF (FSMD) has a volatility of 5.14%. This indicates that TBUX experiences smaller price fluctuations and is considered to be less risky than FSMD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TBUX	FSMD	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.22%	5.14%	-4.92%
Volatility (6M) Calculated over the trailing 6-month period	0.46%	11.85%	-11.39%
Volatility (1Y) Calculated over the trailing 1-year period	0.67%	15.69%	-15.02%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.07%	18.55%	-17.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.07%	21.43%	-20.36%

TBUX vs. FSMD - Expense Ratio Comparison

TBUX has a 0.17% expense ratio, which is lower than FSMD's 0.29% expense ratio.

Dividends

TBUX vs. FSMD - Dividend Comparison

TBUX's dividend yield for the trailing twelve months is around 4.48%, more than FSMD's 1.18% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019
FSMD Fidelity Small-Mid Multifactor ETF	1.18%	1.33%	1.29%	1.37%	1.54%	1.18%	1.32%	1.37%
TBUX T. Rowe Price Ultra Short-Term Bond ETF	4.48%	4.67%	5.39%	4.66%	2.58%	0.27%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TBUX and FSMD in my portfolio?

TBUX and FSMD have a correlation of 0.21, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TBUX or FSMD?

FSMD has higher volatility (5.14%) compared to TBUX (0.22%). In terms of maximum drawdown, TBUX dropped -1.82% vs FSMD's -40.67%.

Which ETF is better, TBUX or FSMD?

On 3-year performance, FSMD leads with 17.46% vs 5.89% for TBUX. On fees, TBUX is cheaper at 0.17% per year. On volatility, TBUX has been the lower-risk option at 0.22%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TBUX or FSMD?

Over the 3-year period, FSMD has performed better with a 17.46% return vs 5.89%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TBUX or FSMD?

TBUX is cheaper with a 0.17% expense ratio, compared with 0.29% for FSMD.

Which ETF pays a higher dividend yield, TBUX or FSMD?

TBUX has the higher dividend yield at 4.48%, compared with 1.18% for FSMD.

What is the main difference between TBUX and FSMD?

TBUX is categorized as Ultrashort Bond, while FSMD is Small Cap Growth Equities. They also come from different issuers: T. Rowe Price and Fidelity. Their fees differ too: 0.17% for TBUX and 0.29% for FSMD.

Which has better risk-adjusted returns?

TBUX currently has the higher Sharpe Ratio (7.19 vs 1.78), 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.