VETZ vs. LMBS

Last updated Jun 3, 2026

VETZ (Academy Veteran Bond ETF) and LMBS (First Trust Low Duration Mortgage Opportunities ETF) are both Mortgage Backed Securities funds. Both are actively managed. Over the past year, VETZ returned 6.99% vs 6.17% for LMBS. A 0.70 correlation means they provide meaningful diversification when combined. VETZ charges 0.35%/yr vs 0.68%/yr for LMBS.

Performance

VETZ vs. LMBS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Academy Veteran Bond ETF (VETZ) and First Trust Low Duration Mortgage Opportunities ETF (LMBS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VETZ achieves a 0.62% return, which is significantly lower than LMBS's 1.34% return.

VETZ

• 1D: -0.10%
• 1M: -0.23%
• YTD: 0.62%
• 6M: 1.16%
• 1Y: 6.99%
• 3Y*: —
• 5Y*: —
• 10Y*: —

LMBS

• 1D: -0.01%
• 1M: 0.19%
• YTD: 1.34%
• 6M: 1.64%
• 1Y: 6.17%
• 3Y*: 5.77%
• 5Y*: 3.05%
• 10Y*: 2.68%

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

VETZ vs. LMBS - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
VETZ Academy Veteran Bond ETF	0.62%	8.02%	2.22%	3.97%
LMBS First Trust Low Duration Mortgage Opportunities ETF	1.34%	7.05%	5.15%	3.62%

Correlation

The correlation between VETZ and LMBS is 0.69, 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	0.69
Correlation (All Time) Calculated using the full available price history since Aug 3, 2023	0.70

The correlation between VETZ and LMBS has been stable across timeframes, ranging from 0.69 to 0.70 - a consistent structural relationship.

Return for Risk

VETZ vs. LMBS — Risk / Return Rank

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

VETZ

VETZ Risk / Return Rank: 43
VETZ Sharpe Ratio Rank: 41
VETZ Sortino Ratio Rank: 43
VETZ Omega Ratio Rank: 39
VETZ Calmar Ratio Rank: 45
VETZ Martin Ratio Rank: 48

LMBS

LMBS Risk / Return Rank: 89
LMBS Sharpe Ratio Rank: 90
LMBS Sortino Ratio Rank: 94
LMBS Omega Ratio Rank: 92
LMBS Calmar Ratio Rank: 81
LMBS Martin Ratio Rank: 86

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.

VETZ vs. LMBS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Academy Veteran Bond ETF (VETZ) and First Trust Low Duration Mortgage Opportunities ETF (LMBS). 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.

	VETZ	LMBS	Difference
Sharpe ratio Return per unit of total volatility	1.47	3.15	-1.68
Sortino ratio Return per unit of downside risk	2.20	4.87	-2.67
Omega ratio Gain probability vs. loss probability	1.26	1.63	-0.37
Calmar ratio Return relative to maximum drawdown	2.30	4.27	-1.98
Martin ratio Return relative to average drawdown	8.06	18.30	-10.25
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VETZ vs. LMBS - Sharpe Ratio Comparison

The current VETZ Sharpe Ratio is 1.47, which is lower than the LMBS Sharpe Ratio of 3.15. The chart below compares the historical Sharpe Ratios of VETZ and LMBS, 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

	VETZ	LMBS	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.47	3.15	-1.68
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	1.20	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	1.14	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.85	1.13	-0.28

Drawdowns

VETZ vs. LMBS - Drawdown Comparison

The maximum VETZ drawdown since its inception was -5.16%, smaller than the maximum LMBS drawdown of -6.49%. Use the drawdown chart below to compare losses from any high point for VETZ and LMBS.

Drawdown Indicators

	VETZ	LMBS	Difference
Max Drawdown Largest peak-to-trough decline	-5.16%	-6.49%	+1.33%
Max Drawdown (1Y) Largest decline over 1 year	-2.73%	-1.43%	-1.30%
Max Drawdown (3Y) Largest decline over 3 years	—	-1.72%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-6.12%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-6.49%	—
Current Drawdown Current decline from peak	-1.39%	-0.24%	-1.15%
Average Drawdown Average peak-to-trough decline	-1.30%	-0.80%	-0.50%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.78%	0.33%	+0.45%

Volatility

VETZ vs. LMBS - Volatility Comparison

Academy Veteran Bond ETF (VETZ) has a higher volatility of 1.36% compared to First Trust Low Duration Mortgage Opportunities ETF (LMBS) at 0.67%. This indicates that VETZ's price experiences larger fluctuations and is considered to be riskier than LMBS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VETZ	LMBS	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.36%	0.67%	+0.69%
Volatility (6M) Calculated over the trailing 6-month period	3.27%	1.45%	+1.82%
Volatility (1Y) Calculated over the trailing 1-year period	4.84%	1.97%	+2.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.15%	2.56%	+3.59%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.15%	2.36%	+3.79%

VETZ vs. LMBS - Expense Ratio Comparison

VETZ has a 0.35% expense ratio, which is lower than LMBS's 0.68% expense ratio.

Dividends

VETZ vs. LMBS - Dividend Comparison

VETZ's dividend yield for the trailing twelve months is around 6.17%, more than LMBS's 4.10% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LMBS First Trust Low Duration Mortgage Opportunities ETF	4.10%	4.08%	4.28%	3.96%	2.22%	2.04%	2.27%	2.55%	2.76%	2.73%	2.84%	3.03%
VETZ Academy Veteran Bond ETF	6.17%	6.14%	5.89%	1.88%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VETZ and LMBS in my portfolio?

VETZ and LMBS have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VETZ or LMBS?

VETZ has higher volatility (1.36%) compared to LMBS (0.67%). In terms of maximum drawdown, VETZ dropped -5.16% vs LMBS's -6.49%.

Which ETF is better, VETZ or LMBS?

On 1-year performance, VETZ leads with 6.99% vs 6.17% for LMBS. On fees, VETZ is cheaper at 0.35% per year. On volatility, LMBS has been the lower-risk option at 0.67%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VETZ or LMBS?

Over the 1-year period, VETZ has performed better with a 6.99% return vs 6.17%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VETZ or LMBS?

VETZ is cheaper with a 0.35% expense ratio, compared with 0.68% for LMBS.

Which ETF pays a higher dividend yield, VETZ or LMBS?

VETZ has the higher dividend yield at 6.17%, compared with 4.10% for LMBS.

What is the main difference between VETZ and LMBS?

They also come from different issuers: Academy and First Trust. Their fees differ too: 0.35% for VETZ and 0.68% for LMBS.

Which has better risk-adjusted returns?

LMBS currently has the higher Sharpe Ratio (3.15 vs 1.47), 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.