XTWY vs. TAXX

Last updated Jun 24, 2026

XTWY (BondBloxx Bloomberg Twenty Year Target Duration US Treasury ETF) and TAXX (Bondbloxx IR+M Tax-Aware Short Duration ETF) are both exchange-traded funds - XTWY is a Government Bonds fund tracking the Bloomberg US Treasury 20 Year Target Duration Index, while TAXX is a Municipal Bonds fund actively managed by BondBloxx. XTWY is passively managed, while TAXX is actively managed. Over the past year, XTWY returned 3.85% vs 3.56% for TAXX. At a 0.46 correlation, their price movements are largely independent. XTWY charges 0.12%/yr vs 0.35%/yr for TAXX.

Performance

XTWY vs. TAXX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in BondBloxx Bloomberg Twenty Year Target Duration US Treasury ETF (XTWY) and Bondbloxx IR+M Tax-Aware Short Duration ETF (TAXX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XTWY achieves a 0.98% return, which is significantly lower than TAXX's 1.23% return.

XTWY

• 1D: 0.11%
• 1M: 2.79%
• YTD: 0.98%
• 6M: 0.48%
• 1Y: 3.85%
• 3Y*: -3.26%
• 5Y*: —
• 10Y*: —

TAXX

• 1D: -0.01%
• 1M: 0.50%
• YTD: 1.23%
• 6M: 1.49%
• 1Y: 3.56%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

XTWY vs. TAXX - Yearly Performance Comparison

	2026 (YTD)	2025	2024
XTWY BondBloxx Bloomberg Twenty Year Target Duration US Treasury ETF	0.98%	2.52%	-5.50%
TAXX Bondbloxx IR+M Tax-Aware Short Duration ETF	1.23%	4.52%	3.36%

Correlation

The correlation between XTWY and TAXX is 0.25, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.25
Correlation (All Time) Calculated using the full available price history since Mar 14, 2024	0.46

Over the past year, the correlation between XTWY and TAXX has dropped to 0.25 - well below their long-term average of 0.46, suggesting their price drivers have been diverging.

Return for Risk

XTWY vs. TAXX — Risk / Return Rank

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

XTWY

XTWY Risk / Return Rank: 13
XTWY Sharpe Ratio Rank: 14
XTWY Sortino Ratio Rank: 13
XTWY Omega Ratio Rank: 12
XTWY Calmar Ratio Rank: 13
XTWY Martin Ratio Rank: 13

TAXX

TAXX Risk / Return Rank: 77
TAXX Sharpe Ratio Rank: 70
TAXX Sortino Ratio Rank: 75
TAXX Omega Ratio Rank: 89
TAXX Calmar Ratio Rank: 81
TAXX Martin Ratio Rank: 71

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.

XTWY vs. TAXX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BondBloxx Bloomberg Twenty Year Target Duration US Treasury ETF (XTWY) and Bondbloxx IR+M Tax-Aware Short Duration ETF (TAXX). 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.

	XTWY	TAXX	Difference
Sharpe ratio: Return per unit of total volatility	0.34	2.11	-1.77
Sortino ratio: Return per unit of downside risk	0.57	3.11	-2.54
Omega ratio: Gain probability vs. loss probability	1.06	1.52	-0.46
Calmar ratio: Return relative to maximum drawdown	0.41	4.04	-3.64
Martin ratio: Return relative to average drawdown	0.94	12.28	-11.34

XTWY vs. TAXX - Sharpe Ratio Comparison

The current XTWY Sharpe Ratio is 0.34, which is lower than the TAXX Sharpe Ratio of 2.11. The chart below compares the historical Sharpe Ratios of XTWY and TAXX, 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

XTWY vs. TAXX - Drawdown Comparison

The maximum XTWY drawdown since its inception was -25.92%, which is greater than TAXX's maximum drawdown of -0.91%. Use the drawdown chart below to compare losses from any high point for XTWY and TAXX.

Drawdown Indicators

	XTWY	TAXX	Difference
Max Drawdown Largest peak-to-trough decline	-25.92%	-0.91%	-25.01%
Max Drawdown (1Y) Largest decline over 1 year	-9.48%	-0.88%	-8.60%
Max Drawdown (3Y) Largest decline over 3 years	-22.16%	—	—
Current Drawdown Current decline from peak	-14.11%	-0.01%	-14.10%
Average Drawdown Average peak-to-trough decline	-12.25%	-0.16%	-12.09%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.09%	0.29%	+3.80%

Volatility

XTWY vs. TAXX - Volatility Comparison

BondBloxx Bloomberg Twenty Year Target Duration US Treasury ETF (XTWY) has a higher volatility of 2.69% compared to Bondbloxx IR+M Tax-Aware Short Duration ETF (TAXX) at 0.31%. This indicates that XTWY's price experiences larger fluctuations and is considered to be riskier than TAXX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XTWY	TAXX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.69%	0.31%	+2.38%
Volatility (6M) Calculated over the trailing 6-month period	7.87%	0.82%	+7.05%
Volatility (1Y) Calculated over the trailing 1-year period	11.38%	1.70%	+9.68%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.54%	1.58%	+15.96%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.54%	1.58%	+15.96%

XTWY vs. TAXX - Expense Ratio Comparison

XTWY has a 0.13% expense ratio, which is lower than TAXX's 0.35% expense ratio.

Dividends

XTWY vs. TAXX - Dividend Comparison

XTWY's dividend yield for the trailing twelve months is around 4.63%, more than TAXX's 3.49% yield.

Position	TTM	2025	2024	2023	2022
TAXX Bondbloxx IR+M Tax-Aware Short Duration ETF	3.49%	3.72%	2.70%	0.00%	0.00%
XTWY BondBloxx Bloomberg Twenty Year Target Duration US Treasury ETF	4.63%	4.56%	4.65%	3.86%	1.08%

Frequently Asked Questions

Can I hold both XTWY and TAXX in my portfolio?

XTWY and TAXX have a correlation of 0.25, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XTWY or TAXX?

XTWY has higher volatility (2.69%) compared to TAXX (0.31%). In terms of maximum drawdown, XTWY dropped -25.92% vs TAXX's -0.91%.

Which ETF is better, XTWY or TAXX?

On 1-year performance, XTWY leads with 3.85% vs 3.56% for TAXX. On fees, XTWY is cheaper at 0.12% per year. On volatility, TAXX has been the lower-risk option at 0.31%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XTWY or TAXX?

Over the 1-year period, XTWY has performed better with a 3.85% return vs 3.56%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XTWY or TAXX?

XTWY is cheaper with a 0.12% expense ratio, compared with 0.35% for TAXX.

Which ETF pays a higher dividend yield, XTWY or TAXX?

XTWY has the higher dividend yield at 4.63%, compared with 3.49% for TAXX.

What is the main difference between XTWY and TAXX?

XTWY is categorized as Government Bonds, while TAXX is Municipal Bonds. Their fees differ too: 0.12% for XTWY and 0.35% for TAXX.

Which has better risk-adjusted returns?

TAXX currently has the higher Sharpe Ratio (2.11 vs 0.34), 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.