VTEL vs. ZTAX

Last updated Apr 1, 2026

Compare and contrast key facts about Vanguard Long-Term Tax-Exempt Bond ETF (VTEL) and X-Square Municipal Income Tax Free ETF (ZTAX).

VTEL and ZTAX are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. VTEL is a passively managed fund by Vanguard that tracks the performance of the S&P 10+ Year National AMT-Free Municipal Bond Index. It was launched on May 20, 2025. ZTAX is an actively managed fund by X-Square. It was launched on May 18, 2023.

Performance

VTEL vs. ZTAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Long-Term Tax-Exempt Bond ETF (VTEL) and X-Square Municipal Income Tax Free ETF (ZTAX). The values are adjusted to include any dividend payments, if applicable.

VTEL vs. ZTAX - Yearly Performance Comparison

	2026 (YTD)	2025
VTEL Vanguard Long-Term Tax-Exempt Bond ETF	-0.47%	6.66%
ZTAX X-Square Municipal Income Tax Free ETF	0.90%	5.79%

Returns By Period

In the year-to-date period, VTEL achieves a -0.47% return, which is significantly lower than ZTAX's 0.90% return.

VTEL

• 1D: 0.40%
• 1M: -2.49%
• YTD: -0.47%
• 6M: 1.53%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

ZTAX

• 1D: -2.16%
• 1M: 1.00%
• YTD: 0.90%
• 6M: 4.68%
• 1Y: 5.44%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

VTEL vs. ZTAX - Expense Ratio Comparison

VTEL has a 0.09% expense ratio, which is lower than ZTAX's 1.14% expense ratio.

ZTAX

X-Square Municipal Income Tax Free ETF

VTEL

Vanguard Long-Term Tax-Exempt Bond ETF

Return for Risk

VTEL vs. ZTAX — Risk / Return Rank

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

ZTAX

ZTAX Risk / Return Rank: 19
ZTAX Sharpe Ratio Rank: 17
ZTAX Sortino Ratio Rank: 18
ZTAX Omega Ratio Rank: 21
ZTAX Calmar Ratio Rank: 21
ZTAX Martin Ratio Rank: 20

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.

VTEL vs. ZTAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Long-Term Tax-Exempt Bond ETF (VTEL) and X-Square Municipal Income Tax Free ETF (ZTAX). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	VTEL	ZTAX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	0.21	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.93	0.22	+1.72

Correlation

The correlation between VTEL and ZTAX is -0.11. This indicates that the assets' prices tend to move in opposite directions. Negative correlation can be particularly beneficial for diversification and risk management, as one asset may offset the losses of the other during market fluctuations.

Dividends

VTEL vs. ZTAX - Dividend Comparison

VTEL's dividend yield for the trailing twelve months is around 2.88%, less than ZTAX's 4.52% yield.

	TTM	2025	2024	2023
VTEL Vanguard Long-Term Tax-Exempt Bond ETF	2.88%	2.23%	0.00%	0.00%
ZTAX X-Square Municipal Income Tax Free ETF	4.52%	4.58%	4.55%	2.14%

Drawdowns

VTEL vs. ZTAX - Drawdown Comparison

The maximum VTEL drawdown since its inception was -3.22%, smaller than the maximum ZTAX drawdown of -15.33%. Use the drawdown chart below to compare losses from any high point for VTEL and ZTAX.

Drawdown Indicators

	VTEL	ZTAX	Difference
Max Drawdown Largest peak-to-trough decline	-3.22%	-15.33%	+12.11%
Max Drawdown (1Y) Largest decline over 1 year	—	-10.47%	—
Current Drawdown Current decline from peak	-2.49%	-5.92%	+3.43%
Average Drawdown Average peak-to-trough decline	-0.49%	-6.88%	+6.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	3.91%	—

Volatility

Volatility by Period

	VTEL	ZTAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	9.50%	—
Volatility (6M) Calculated over the trailing 6-month period	—	24.09%	—
Volatility (1Y) Calculated over the trailing 1-year period	3.78%	25.95%	-22.17%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.78%	27.27%	-23.49%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.78%	27.27%	-23.49%