SCMB vs TAXM
Schwab Municipal Bond ETF vs BondBloxx IR+M Tax-Aware ETF for Massachusetts Residents
Which is better, SCMB or TAXM?
Nearly the same fund. SCMB costs less.
SCMB has a lower expense ratio. SCMB led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.98.
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 | SCMB | TAXM |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.35% |
| AUM | $3.1B | $40M |
| Dividend Yield | 3.74% | 3.43% |
| Holdings | 7,278 | 162 |
| YTD Return | -3.06%Best | -3.22% |
| 1Y Return | -2.05%Best | -2.42% |
| 3Y Return (annualized) | +2.76% | - |
| Volatility (annualized) | 4.9% | 4.7%Best |
| Max Drawdown | -6.7% | -6.2%Best |
| $10,000 over 1.6 years | $10,079Best | $10,040 |
| Fund Family | Charles Schwab Investment Mangement | BondBloxx |
| Category | Tax Preferred | Tax Preferred |
| Style | Municipal Bond | Municipal Bond |
| Inception | Oct 11, 2022 | Mar 13, 2025 |
Not shown on this pair: 5Y Return (annualized), Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 1.6 years row, are measured over the window both funds cover: Mar 13, 2025 to Oct 14, 2026 (1.6 years).
SCMB vs TAXM 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 1.6 years both funds cover.
SCMB vs TAXM Performance
Schwab Municipal Bond ETF (SCMB) is an ETF from Charles Schwab Investment Mangement and BondBloxx IR+M Tax-Aware ETF for Massachusetts Residents (TAXM) is an ETF from BondBloxx. Over the past year SCMB returned -2.05% while TAXM returned -2.42%. Year to date, SCMB is down 3.06% versus a loss of 3.22% for TAXM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCMB has been the more volatile fund, with annualized monthly volatility of 4.9% compared with 4.7% for TAXM. 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 -6.7% for SCMB and -6.2% for TAXM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.98. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
SCMB charges 0.03% per year while TAXM charges 0.35%. On a $10,000 position that is $3 vs $35 annually, a gap of $32 per year that compounds over a long holding period. On income, SCMB currently yields 3.74% against 3.43% for TAXM.
Holdings Overlap
We hold position weights for 2,477 holdings in SCMB and 69 in TAXM, totalling 23.7% and 32.5% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 22 positions appear in both.
22 positions in common, counted across the 2,477 positions we hold weights for in SCMB and 69 in TAXM, against full books of 7,278 and 162.
Top Shared Holdings
| Stock | Weight in SCMB | Weight in TAXM | Difference |
|---|---|---|---|
| MA GFRSCD 5 06/01/20Gtr Fall River Ma 5% 06/01/55 | 0.01% | 1.78% | 1.77% |
| NY MTATRN 5 11/15/20Ny Met Transprtn Auth Rev 5.00% 2050-11-15 | 0.00% | 1.32% | 1.32% |
| MA UMAFAC 5 11/01/20University Of Massachusetts Building Authority, Project Revenue Bonds, Senior Series 2022-1 | 0.00% | 1.28% | 1.28% |
| TX TXSTRN 5 08/15/20Texas Transn Commn Cent Tex Tp 5% Aug 15, 2040 | 0.00% | 1.27% | 1.27% |
| NY NYCGEN 5.25 05/01New York City Transitional Finance Authority 0.0525 05/01/2055 | 0.00% | 1.26% | 1.26% |
| MA MASTRN 5 07/01/20Massachusetts Bay Transportation Authority, 5% 1jul2052, USD | 0.00% | 1.09% | 1.09% |
| FL BROEDU 5 07/01/20Broward Cnty Fla Sch Brd Ctfs 5% Jul 01, 2034 | 0.00% | 1.09% | 1.09% |
| MA MAS 5 10/01/2053Massachusetts State, General Obligation Bonds, Consolidated Series 2023D 5 2053-10-01 | 0.01% | 0.93% | 0.92% |
| NY NYCFAC 5 07/15/20New York City Transitional Fin Auth 5 07/15/2034 | 0.00% | 0.82% | 0.82% |
| NY NYC 5 09/01/2048New York City, New York, General Obligation Bonds, Fiscal 2025 Series C-1 | 0.01% | 0.80% | 0.79% |
You are not choosing between two funds in isolation.
Whichever of SCMB and TAXM 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, SCMB or TAXM?
SCMB has an expense ratio of 0.03% while TAXM charges 0.35%. SCMB is the cheaper option, by $32 a year on a $10,000 investment.
Which performed better, SCMB or TAXM?
Over the past year SCMB returned -2.05% vs -2.42% for TAXM, so SCMB leads on 1-year performance. Over the longest common window we track (2 years), SCMB annualized +0.49% vs +0.25% for TAXM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCMB or TAXM?
SCMB has been the more volatile fund at 4.9% annualized versus 4.7% for TAXM. Worst drawdown: SCMB -6.7% vs TAXM -6.2%.
Should I hold both SCMB and TAXM?
SCMB and TAXM have a monthly-return correlation of 0.98, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
Which pays a higher dividend, SCMB or TAXM?
SCMB yields 3.74% while TAXM yields 3.43%, so SCMB currently pays the higher dividend yield.
Is TAXM better than SCMB?
SCMB has a lower expense ratio. SCMB led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.98. Which one suits a particular account depends on what it is for. This is information, not a recommendation.