ZTAX vs. IBMO
ZTAX (X-Square Municipal Income Tax Free ETF) and IBMO (iShares iBonds Dec 2026 Term Muni Bond ETF) are both Municipal Bonds funds. ZTAX is actively managed, while IBMO is passively managed. Over the past 3 years, ZTAX returned 4.78%/yr vs 2.80%/yr for IBMO. At a correlation of -0.01, they often move in opposite directions. ZTAX charges 1.14%/yr vs 0.18%/yr for IBMO.
Performance
ZTAX vs. IBMO - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, ZTAX achieves a 3.16% return, which is significantly higher than IBMO's 1.03% return.
ZTAX
- 1D
- 0.00%
- 1M
- 2.70%
- YTD
- 3.16%
- 6M
- -1.79%
- 1Y
- 7.61%
- 3Y*
- 4.78%
- 5Y*
- —
- 10Y*
- —
IBMO
- 1D
- 0.02%
- 1M
- 0.19%
- YTD
- 1.03%
- 6M
- 1.02%
- 1Y
- 2.62%
- 3Y*
- 2.80%
- 5Y*
- 0.72%
- 10Y*
- —
ZTAX vs. IBMO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | |
|---|---|---|---|---|
ZTAX X-Square Municipal Income Tax Free ETF | 3.16% | -1.02% | 7.98% | 3.74% |
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 1.03% | 3.11% | 1.97% | 2.76% |
Correlation
The correlation between ZTAX and IBMO is -0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | -0.04 |
Correlation (3Y) Calculated over the trailing 3-year period | -0.02 |
Correlation (All Time) Calculated using the full available price history since May 19, 2023 | -0.01 |
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
ZTAX vs. IBMO — Risk / Return Rank
ZTAX
IBMO
ZTAX vs. IBMO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for X-Square Municipal Income Tax Free ETF (ZTAX) and iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO). 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.
| ZTAX | IBMO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -2.15 | ||
| Sortino ratioReturn per unit of downside risk | -3.26 | ||
| Omega ratioGain probability vs. loss probability | 1.10 | 1.49 | -0.39 |
| Calmar ratioReturn relative to maximum drawdown | 0.70 | 6.95 | -6.26 |
| Martin ratioReturn relative to average drawdown | 1.69 | 20.64 | -18.96 |
Loading charts...
Drawdowns
ZTAX vs. IBMO - Drawdown Comparison
The maximum ZTAX drawdown since its inception was -15.33%, roughly equal to the maximum IBMO drawdown of -14.77%. Use the drawdown chart below to compare losses from any high point for ZTAX and IBMO.
Loading charts...
Drawdown Indicators
| ZTAX | IBMO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -15.33% | -14.77% | -0.56% |
Max Drawdown (1Y)Largest decline over 1 year | -10.99% | -0.38% | -10.61% |
Max Drawdown (3Y)Largest decline over 3 years | -15.33% | -1.76% | -13.57% |
Max Drawdown (5Y)Largest decline over 5 years | — | -8.86% | — |
Current DrawdownCurrent decline from peak | -9.42% | 0.00% | -9.42% |
Average DrawdownAverage peak-to-trough decline | -6.82% | -2.31% | -4.51% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 4.52% | 0.13% | +4.39% |
Volatility
ZTAX vs. IBMO - Volatility Comparison
X-Square Municipal Income Tax Free ETF (ZTAX) has a higher volatility of 19.58% compared to iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO) at 0.22%. This indicates that ZTAX's price experiences larger fluctuations and is considered to be riskier than IBMO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| ZTAX | IBMO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 19.58% | 0.22% | +19.36% |
Volatility (6M)Calculated over the trailing 6-month period | 28.24% | 0.79% | +27.45% |
Volatility (1Y)Calculated over the trailing 1-year period | 32.31% | 1.10% | +31.21% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 28.90% | 2.14% | +26.76% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 28.90% | 4.50% | +24.40% |
ZTAX vs. IBMO - Expense Ratio Comparison
ZTAX has a 1.14% expense ratio, which is higher than IBMO's 0.18% expense ratio.
Dividends
ZTAX vs. IBMO - Dividend Comparison
ZTAX's dividend yield for the trailing twelve months is around 4.43%, more than IBMO's 2.39% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 |
|---|---|---|---|---|---|---|---|---|
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 2.39% | 2.37% | 2.15% | 1.65% | 0.89% | 0.62% | 1.03% | 1.01% |
ZTAX X-Square Municipal Income Tax Free ETF | 4.43% | 4.58% | 4.55% | 2.14% | 0.00% | 0.00% | 0.00% | 0.00% |
Frequently Asked Questions
ZTAX and IBMO have a correlation of -0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
ZTAX has higher volatility (19.58%) compared to IBMO (0.22%). In terms of maximum drawdown, ZTAX dropped -15.33% vs IBMO's -14.77%.
On 3-year performance, ZTAX leads with 4.78% vs 2.80% for IBMO. On fees, IBMO is cheaper at 0.18% per year. On volatility, IBMO has been the lower-risk option at 0.22%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 3-year period, ZTAX has performed better with a 4.78% return vs 2.80%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
IBMO is cheaper with a 0.18% expense ratio, compared with 1.14% for ZTAX.
ZTAX has the higher dividend yield at 4.43%, compared with 2.39% for IBMO.
They also come from different issuers: X-Square and iShares. Their fees differ too: 1.14% for ZTAX and 0.18% for IBMO.
IBMO currently has the higher Sharpe Ratio (2.39 vs 0.24), 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.
Find the right allocation for ZTAX and IBMO
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer