FTMS vs SUB: Grades, Fees and Holdings Compared

Franklin Short-Term Municipal Income ETF

FTMSBNYSE Arca

iShares Short-Term National Muni Bond ETF

SUBANYSE Arca

Overlap

No data

Expense ratio

SUB −0.14pt a year

FTMS0.21%SUB0.07%

Avg volume · 30D

SUB 3.5×the volume

FTMS246KSUB860K

FTMS vs SUB Performance

Oct 31, 2025 – Oct 30, 2026

+2.3%FTMS+2.1%SUB

Expense ratio: FTMS 0.21%; SUB 0.07%, better
Fund size: FTMS $263M; SUB $13.3B
1Y total return: FTMS +2.3%, better; SUB +2.1%
Yield (12M): FTMS No data; SUB 2.57%
Holdings: FTMS 288; SUB 3188
Avg volume (30D): FTMS 246K sh; SUB 860K sh, better
NAV per share: FTMS $9.85; SUB $105.87
52W range

ETF.net Grade

Pillar letters and Scores for FTMS, SUB, with each pillar’s weight
Pillar	FTMS	SUB
Cost30% weight	C52	A91Higher
Mission25% weight	A100	A100
Risk15% weight	C48Higher	C44
Tradability15% weight	C41	B60Higher
Holdings10% weight	D34	A81Higher
Durability5% weight	B67	A94Higher

Rank among Short-Duration Municipal Bonds funds

How we build Categories ›

Same Category. FTMS and SUB are both graded against the same 27 Short-Duration Municipal Bonds funds, so their Grades compare head to head.

Short-Duration Municipal Bonds⁠

Category · 27 funds

See all 27 ›

SUB ranks 2nd and FTMS 15th of 27 funds in the Short-Duration Municipal Bonds Category.

Rank 1AVTESVanguard Short-Term Tax-Exempt Bond ETFScore 81
Rank 2ASUBiShares Short-Term National Muni Bond ETFScore 80
Rank 2AVSDMVanguard Short Duration Tax-Exempt Bond ETFScore 80
Rank 14BTMNST. Rowe Price Short Municipal Income ETFScore 61
Rank 15BFTMSFranklin Short-Term Municipal Income ETFScore 60
Rank 15BTAFIAB Tax-Aware Short Duration Municipal ETFScore 60

Our read on each fund

ETF.net Research

FTMSBFranklin Short-Term Municipal Income ETF

SUBAiShares Short-Term National Muni Bond ETF

In short

FTMS The ETF rebuild of a short-muni strategy that has been running since 2013, managers intact. Active bond picking in an aisle where most rivals track an index: investment grade, three years or less, monthly income exempt from federal tax.

SUB Munis, but only the near end of the curve. Since 2008 SUB has tracked an AMT-free index of investment-grade municipal bonds maturing inside five years, paying tax-exempt income monthly with far less rate sensitivity than long-dated muni funds.

Stated mandate

FTMS The fund seeks a high level of current income exempt from federal income tax, consistent with preserving capital.

SUB The fund seeks to track an index of short-term, investment-grade U.S. municipal bonds maturing from one month through five years, providing tax-exempt income while managing interest-rate risk.

Why people hold it

FTMS Actively managed rather than index-tracking: Franklin's muni team picks bonds across many states and sectors, mainly investment grade with maturities of three years or less.sec.gov franklintempleton.com
Fee is 0.21% net of a waiver through March 31, 2027 (0.22% gross), near the category median for short-term muni funds.
Pays monthly, with roughly 300 positions spread across issuers and sectors instead of a concentrated handful.
Continuity through the wrapper change: the portfolio managers carried over from the predecessor fund, one of them on the strategy since 2016.sec.gov

SUB Charges 0.07% a year against a category median near 0.30%. On tax-exempt bond income, that fee gap is a meaningful slice of what actually reaches you.
Two dials set on purpose: maturities from one month to five years, and an AMT-free index, so neither rate swings nor the alternative minimum tax hit the same way.ishares.com
A multi-billion-dollar fund running since 2008 under iShares, with tight tracking of its ICE benchmark. One of the sturdier implementations in the muni group.
Pays monthly, so the tax-exempt income arrives on a regular cadence rather than in quarterly lumps.

Worth knowing

FTMS Index rivals undercut it on price: VTES charges 0.05% and SUB 0.07%. Active security selection is what you are paying the difference for.
Moderately traded rather than one of the category's heavyweights, so the spread at the moment you trade deserves a look.
Interest is exempt from federal income tax, but some holdings can pay interest subject to the AMT, and state and local taxes may still apply.sec.gov franklintempleton.com

SUB The five-year ceiling is the whole design, and it cuts both ways: less rate sensitivity, but a shorter stretch of the curve to draw income from than full-maturity muni funds.
This is a national portfolio. Single-state funds like NYF chase a home-state tax break that a nationwide muni basket cannot offer.
Broad-maturity peers VTEB and SCMB run at 0.03%. The short-end tilt here costs a few basis points more.

Full FTMS profile⁠

Full SUB profile⁠

FTMS vs SUB Holdings

How FTMS and SUB differ

No overlap figure

Two bond funds rarely hold the same issues.

Level by level

Countryby domicile99.5%
Asset classFixed Income100%

Sector

No Sector split for FTMS.

Country, concentration and asset class

Country by domicile

Country weights in FTMS and SUB, widest gap first
Country	More in FTMSMore in SUB	FTMS	SUB
United States	SUB +0.5 points	99.5%	100.0%
Puerto Rico	FTMS +0.5 points	0.5%	0.0%

Concentration

Weight in the 10 largest Holdings

FTMS21.2%
SUB3.3%

Securities held

FTMS288
SUB2,459

Asset class

FTMS: Fixed Income
SUB: Fixed Income

Holdings

Two bond funds rarely hold the same issues, so this page lists no shared Holdings. FTMS holds 288 securities, SUB 2,459.

All 266 FTMS holdings⁠All 3,128 SUB holdings⁠

How we measure overlap

Each holding counts at its smaller weight in the two funds, summed over the full Holdings. Sector, country and asset class use the same rule on each fund’s split. Cash, FX and derivative lines stay out of the counts. Two bond funds get no overlap figure.

FTMS vs SUB Cost

Overpaying FTMS vs SUB

$2,877

On $10,000 over 30 years. 7% growth a year before fees, expense ratio only.

FTMS 0.21%
$4,357
SUB 0.07%
$1,480

Amount$10,000

Years30 years

Cost over time

FTMS 0.21%
SUB 0.07%
Overpaying

Year by year

Year	FTMS	SUB	Overpaying
10	$383	$128	$255
20	$1,491	$503	$988
30	$4,357	$1,480	$2,877

Expense ratio

0.21%FTMS
0.07%SUB, cheaper

SUB0.07%FTMS0.21%

0.05%0.55%

Middle half of Short-Duration Municipal Bonds funds
Median 0.21%

SUB 3rd cheapest of 27 funds

FTMS 14th cheapest of 27 funds

FTMS vs SUB Dividends

Last 12 months to Oct 30, 2026

Yield (12M): FTMS No data; SUB 2.57%
Payout (12M): FTMS No data; SUB $2.73
Last payment: FTMS $0.03; SUB $0.23
Ex-dividend: FTMS Oct 1, 2026; SUB Oct 1, 2026
Paid on: FTMS Oct 6, 2026; SUB Oct 6, 2026
Frequency: FTMS Monthly; SUB Monthly

Distribution history

Per share, 2023 to 2026, same scale for both

FTMSMonthly · 11 paymentsAll FTMS payments⁠

SUBMonthly · 45 paymentsAll SUB payments⁠

FTMS vs SUB Risk

Fall from peak · 5 years

This chart needs five years of history for both funds.

Risk facts

VolatilityStd dev, 3 years: FTMS 2.8%since Nov 2025SUB 2.0%
Return per unit of riskSharpe ratio, 3 years: FTMS −0.50since Nov 2025SUB −0.59
Worst fallMax drawdown, 5 years: FTMS −2.0%since Oct 2025SUB −4.0%
Market sensitivityBeta, 5 years: FTMS 0.07SUB 0.26; Market = 1

FTMS and SUB in the news

All news⁠

New ETFs
Nine new bond ETFs match the index fund beside them, or cost more
Oct 5, 2026SUB
New ETFs
Victory's two new municipal ETFs list at fees a waiver is holding down
Oct 5, 2026SUB

Popular comparisons

FTMSBvsVTESA
Franklin Short-Term Municipal Income ETF · Vanguard Short-Term Tax-Exempt Bond ETF
Expense ratio
0.21% · 0.05%
Category
SUBAvsVTESA
iShares Short-Term National Muni Bond ETF · Vanguard Short-Term Tax-Exempt Bond ETF
Expense ratio
0.07% · 0.05%
Category
FTMSBvsVSDMA
Franklin Short-Term Municipal Income ETF · Vanguard Short Duration Tax-Exempt Bond ETF
Expense ratio
0.21% · 0.12%
Category
SUBAvsVSDMA
iShares Short-Term National Muni Bond ETF · Vanguard Short Duration Tax-Exempt Bond ETF
Expense ratio
0.07% · 0.12%
Category
FTMSBvsTAXSA
Franklin Short-Term Municipal Income ETF · Northern Trust Short-Term Tax-Exempt Bond ETF
Expense ratio
0.21% · 0.05%
Category
SUBAvsTAXSA
iShares Short-Term National Muni Bond ETF · Northern Trust Short-Term Tax-Exempt Bond ETF
Expense ratio
0.07% · 0.05%
Category

FTMS vs SUB

In short

Stated mandate

Why people hold it

Worth knowing

How FTMS and SUB differ

Level by level

Sector

Country, concentration and asset class

Country by domicile

Concentration

Asset class

Holdings

Cost over time

Year by year

Distribution history

Fall from peak · 5 years

Risk facts

Nine new bond ETFs match the index fund beside them, or cost more

Victory's two new municipal ETFs list at fees a waiver is holding down

How FTMS and SUB differ

Level by level

Sector

Country, concentration and asset class

Country by domicile

Concentration

Asset class

Holdings