TIP vs. MUB

Last updated Apr 1, 2026

Compare and contrast key facts about iShares TIPS Bond ETF (TIP) and iShares National AMT-Free Muni Bond ETF (MUB).

TIP and MUB are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. TIP is a passively managed fund by iShares that tracks the performance of the Barclays Capital U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L). It was launched on Dec 4, 2003. MUB is a passively managed fund by iShares that tracks the performance of the S&P National AMT-Free Municipal Bond Index. It was launched on Sep 7, 2007. Both TIP and MUB are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

TIP vs. MUB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares TIPS Bond ETF (TIP) and iShares National AMT-Free Muni Bond ETF (MUB). The values are adjusted to include any dividend payments, if applicable.

TIP vs. MUB - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TIP iShares TIPS Bond ETF	0.41%	6.77%	1.65%	3.80%	-12.26%	5.68%	10.84%	8.35%	-1.42%	2.92%
MUB iShares National AMT-Free Muni Bond ETF	-0.37%	3.78%	1.26%	5.56%	-7.34%	1.02%	5.12%	7.06%	0.93%	4.72%

Returns By Period

In the year-to-date period, TIP achieves a 0.41% return, which is significantly higher than MUB's -0.37% return. Over the past 10 years, TIP has outperformed MUB with an annualized return of 2.49%, while MUB has yielded a comparatively lower 1.96% annualized return.

TIP

• 1D: 0.01%
• 1M: -1.36%
• YTD: 0.41%
• 6M: 0.33%
• 1Y: 2.82%
• 3Y*: 2.98%
• 5Y*: 1.24%
• 10Y*: 2.49%

MUB

• 1D: 0.19%
• 1M: -2.28%
• YTD: -0.37%
• 6M: 1.28%
• 1Y: 3.94%
• 3Y*: 2.53%
• 5Y*: 0.79%
• 10Y*: 1.96%

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

TIP vs. MUB - Expense Ratio Comparison

TIP has a 0.19% expense ratio, which is higher than MUB's 0.07% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

TIP

iShares TIPS Bond ETF

MUB

iShares National AMT-Free Muni Bond ETF

Return for Risk

TIP vs. MUB — Risk / Return Rank

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

TIP

TIP Risk / Return Rank: 40
TIP Sharpe Ratio Rank: 39
TIP Sortino Ratio Rank: 35
TIP Omega Ratio Rank: 33
TIP Calmar Ratio Rank: 51
TIP Martin Ratio Rank: 39

MUB

MUB Risk / Return Rank: 54
MUB Sharpe Ratio Rank: 58
MUB Sortino Ratio Rank: 49
MUB Omega Ratio Rank: 60
MUB Calmar Ratio Rank: 55
MUB 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.

TIP vs. MUB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares TIPS Bond ETF (TIP) and iShares National AMT-Free Muni Bond ETF (MUB). 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.

	TIP	MUB	Difference
Sharpe ratio Return per unit of total volatility	0.68	0.96	-0.28
Sortino ratio Return per unit of downside risk	0.95	1.25	-0.30
Omega ratio Gain probability vs. loss probability	1.12	1.21	-0.09
Calmar ratio Return relative to maximum drawdown	1.18	1.27	-0.09
Martin ratio Return relative to average drawdown	3.44	4.07	-0.63
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TIP vs. MUB - Sharpe Ratio Comparison

The current TIP Sharpe Ratio is 0.68, which is comparable to the MUB Sharpe Ratio of 0.96. The chart below compares the historical Sharpe Ratios of TIP and MUB, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	TIP	MUB	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.68	0.96	-0.28
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.20	0.20	0.00
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.43	0.40	+0.03
Sharpe Ratio (All Time) Calculated using the full available price history	0.57	0.57	0.00

Correlation

The correlation between TIP and MUB is 0.48, which is considered to be moderate. This suggests that the two assets have some degree of positive relationship in their price movements. Moderate correlation can be acceptable for portfolio diversification, offering a balance between risk and potential returns.

Dividends

TIP vs. MUB - Dividend Comparison

TIP's dividend yield for the trailing twelve months is around 3.45%, more than MUB's 3.19% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
TIP iShares TIPS Bond ETF	3.45%	3.46%	2.52%	2.73%	6.96%	4.28%	1.17%	1.75%	2.71%	2.07%	1.48%	0.34%
MUB iShares National AMT-Free Muni Bond ETF	3.19%	3.14%	3.01%	2.65%	2.11%	1.81%	2.11%	2.42%	2.46%	2.26%	2.21%	2.51%

Drawdowns

TIP vs. MUB - Drawdown Comparison

The maximum TIP drawdown since its inception was -14.57%, which is greater than MUB's maximum drawdown of -13.68%. Use the drawdown chart below to compare losses from any high point for TIP and MUB.

Drawdown Indicators

	TIP	MUB	Difference
Max Drawdown Largest peak-to-trough decline	-14.57%	-13.68%	-0.89%
Max Drawdown (1Y) Largest decline over 1 year	-2.74%	-3.30%	+0.56%
Max Drawdown (5Y) Largest decline over 5 years	-14.51%	-11.88%	-2.63%
Max Drawdown (10Y) Largest decline over 10 years	-14.51%	-13.68%	-0.83%
Current Drawdown Current decline from peak	-1.36%	-2.28%	+0.92%
Average Drawdown Average peak-to-trough decline	-3.46%	-2.24%	-1.22%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.94%	1.03%	-0.09%

Volatility

TIP vs. MUB - Volatility Comparison

The current volatility for iShares TIPS Bond ETF (TIP) is 1.41%, while iShares National AMT-Free Muni Bond ETF (MUB) has a volatility of 1.53%. This indicates that TIP experiences smaller price fluctuations and is considered to be less risky than MUB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TIP	MUB	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.41%	1.53%	-0.12%
Volatility (6M) Calculated over the trailing 6-month period	2.35%	2.03%	+0.32%
Volatility (1Y) Calculated over the trailing 1-year period	4.17%	4.14%	+0.03%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.23%	4.04%	+2.19%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.75%	4.91%	+0.84%