XAGG vs. EVSM

Last updated Jun 4, 2026

XAGG (Eaton Vance Income Opportunities ETF) and EVSM (Eaton Vance Short Duration Municipal Income ETF) are both exchange-traded funds - XAGG is a Multisector Bonds fund actively managed by Eaton Vance, while EVSM is a Municipal Bonds fund tracking the ICE BofA 1-3 Year Municipal Securities Index. XAGG is actively managed, while EVSM is passively managed. At a 0.38 correlation, their price movements are largely independent. XAGG charges 0.50%/yr vs 0.19%/yr for EVSM.

Performance

XAGG vs. EVSM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Eaton Vance Income Opportunities ETF (XAGG) and Eaton Vance Short Duration Municipal Income ETF (EVSM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XAGG achieves a 1.93% return, which is significantly higher than EVSM's 1.15% return.

XAGG

• 1D: -0.15%
• 1M: 0.41%
• YTD: 1.93%
• 6M: 2.07%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

EVSM

• 1D: 0.06%
• 1M: 0.42%
• YTD: 1.15%
• 6M: 1.48%
• 1Y: 4.06%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

XAGG vs. EVSM - Yearly Performance Comparison

	2026 (YTD)	2025
XAGG Eaton Vance Income Opportunities ETF	1.93%	1.61%
EVSM Eaton Vance Short Duration Municipal Income ETF	1.15%	0.55%

Correlation

The correlation between XAGG and EVSM is 0.38, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Nov 11, 2025	0.38

Return for Risk

XAGG vs. EVSM — Risk / Return Rank

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

EVSM

EVSM Risk / Return Rank: 86
EVSM Sharpe Ratio Rank: 91
EVSM Sortino Ratio Rank: 95
EVSM Omega Ratio Rank: 94
EVSM Calmar Ratio Rank: 76
EVSM 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.

XAGG vs. EVSM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Eaton Vance Income Opportunities ETF (XAGG) and Eaton Vance Short Duration Municipal Income ETF (EVSM). 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

	XAGG	EVSM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	3.23	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.88	1.89	-0.01

Drawdowns

XAGG vs. EVSM - Drawdown Comparison

The maximum XAGG drawdown since its inception was -2.88%, which is greater than EVSM's maximum drawdown of -1.50%. Use the drawdown chart below to compare losses from any high point for XAGG and EVSM.

Drawdown Indicators

	XAGG	EVSM	Difference
Max Drawdown Largest peak-to-trough decline	-2.88%	-1.50%	-1.38%
Max Drawdown (1Y) Largest decline over 1 year	—	-1.07%	—
Current Drawdown Current decline from peak	-0.49%	-0.06%	-0.43%
Average Drawdown Average peak-to-trough decline	-0.57%	-0.24%	-0.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.30%	—

Volatility

Volatility by Period

	XAGG	EVSM	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	0.33%	—
Volatility (6M) Calculated over the trailing 6-month period	—	0.83%	—
Volatility (1Y) Calculated over the trailing 1-year period	3.48%	1.27%	+2.21%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.48%	1.92%	+1.56%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.48%	1.92%	+1.56%

XAGG vs. EVSM - Expense Ratio Comparison

XAGG has a 0.50% expense ratio, which is higher than EVSM's 0.19% expense ratio.

Dividends

XAGG vs. EVSM - Dividend Comparison

XAGG's dividend yield for the trailing twelve months is around 3.86%, more than EVSM's 3.00% yield.

Position	TTM	2025	2024
EVSM Eaton Vance Short Duration Municipal Income ETF	3.00%	3.12%	2.99%
XAGG Eaton Vance Income Opportunities ETF	3.86%	1.02%	0.00%

Frequently Asked Questions

Can I hold both XAGG and EVSM in my portfolio?

XAGG and EVSM have a correlation of 0.38, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, XAGG or EVSM?

On fees, EVSM is cheaper at 0.19% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, XAGG or EVSM?

EVSM is cheaper with a 0.19% expense ratio, compared with 0.50% for XAGG.

Which ETF pays a higher dividend yield, XAGG or EVSM?

XAGG has the higher dividend yield at 3.86%, compared with 3.00% for EVSM.

What is the main difference between XAGG and EVSM?

XAGG is categorized as Multisector Bonds, while EVSM is Municipal Bonds. Their fees differ too: 0.50% for XAGG and 0.19% for EVSM.