DSM vs MFLX
BNY Mellon Strategic Municipal Bond Fund Inc vs First Trust Flexible Municipal High Income ETF
Which is better, DSM or MFLX?
Each has led over a different period.
MFLX has a lower expense ratio. DSM led over 3Y, MFLX over 1Y, 5Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | DSM | MFLX |
|---|---|---|
| Expense Ratio | 1.09% | 0.93%Best |
| AUM | $335M | $20M |
| Dividend Yield | 5.50% | 4.51% |
| Holdings | 233 | 160 |
| YTD Return | -13.99% | -3.07%Best |
| 1Y Return | -10.44% | -2.70%Best |
| 3Y Return (annualized) | +5.32%Best | +4.24% |
| 5Y Return (annualized) | -4.62% | -1.53%Best |
| Volatility (annualized) | 13.8% | 8.6%Best |
| Max Drawdown | -39.5% | -26.9%Best |
| $10,000 over 5 years | $7,894 | $9,258Best |
| Fund Family | BNY Mellon Investment Management | First Trust Portfolios (US) |
| Category | Tax Preferred | Tax Preferred |
| Style | Municipal Bond | Municipal Bond |
| Inception | Nov 22, 1989 | Sep 27, 2016 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 29, 2016 to Oct 14, 2026 (10 years).
DSM vs MFLX growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 10 years both funds cover.
DSM vs MFLX Performance
BNY Mellon Strategic Municipal Bond Fund Inc (DSM) is an ETF from BNY Mellon Investment Management and First Trust Flexible Municipal High Income ETF (MFLX) is an ETF from First Trust Portfolios (US). Over the past year DSM returned -10.44% while MFLX returned -2.70%. Year to date, DSM is down 13.99% versus a loss of 3.07% for MFLX.
Over three years, DSM compounded at +5.32% per year against +4.24% for MFLX; over five years the annualized figures are -4.62% and -1.53% respectively. Across the full 10-year window we track, MFLX has the edge at -0.15% annualized vs -2.91%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
DSM has been the more volatile fund, with annualized monthly volatility of 13.8% compared with 8.6% for MFLX. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -39.5% for DSM and -26.9% for MFLX. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.85. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
DSM charges 1.09% per year while MFLX charges 0.93%. On a $10,000 position that is $109 vs $93 annually, a gap of $16 per year that compounds over a long holding period. On income, DSM currently yields 5.50% against 4.51% for MFLX.
Holdings Overlap
We hold position weights for 101 holdings in DSM and 1 in MFLX, totalling 41.1% and 0.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
The two holdings books were reported 63 days apart, DSM as of Jul 31, 2026 and MFLX as of Oct 2, 2026, so some of the difference between them is the time between the two reports rather than the funds.
0 positions in common, counted across the 101 positions we hold weights for in DSM and 1 in MFLX, against full books of 233 and 160.
You are not choosing between two funds in isolation.
Whichever of DSM and MFLX you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, DSM or MFLX?
DSM has an expense ratio of 1.09% while MFLX charges 0.93%. MFLX is the cheaper option, by $16 a year on a $10,000 investment.
Which performed better, DSM or MFLX?
Over the past year DSM returned -10.44% vs -2.70% for MFLX, so MFLX leads on 1-year performance. Over the longest common window we track (10 years), DSM annualized -2.91% vs -0.15% for MFLX. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DSM or MFLX?
DSM has been the more volatile fund at 13.8% annualized versus 8.6% for MFLX. Worst drawdown: DSM -39.5% vs MFLX -26.9%.
Should I hold both DSM and MFLX?
DSM and MFLX have a monthly-return correlation of 0.85, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, DSM or MFLX?
DSM yields 5.50% while MFLX yields 4.51%, so DSM currently pays the higher dividend yield.
Is MFLX better than DSM?
MFLX has a lower expense ratio. DSM led over 3Y, MFLX over 1Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.