FMN vs IGBH
Federated Hermes Premier Municipal Income Fund vs iShares Interest Rate Hedged Long-Term Corporate Bond ETF
Quick Verdict
IGBH has a lower expense ratio. FMN delivered stronger 1-year returns. FMN offers more diversification with 85 holdings.
Side-by-Side Comparison
| Metric | FMN | IGBH | Winner |
|---|---|---|---|
| Expense Ratio | 0.75% | 0.14% | |
| AUM | $16M | $203M | |
| Dividend Yield | 4.29% | 5.68% | |
| Holdings | 150 | 4,130 | |
| YTD Return | +2.95% | +1.39% | |
| 1Y Return | +8.80% | +5.28% | |
| 3Y Return (annualized) | +6.66% | +7.45% | |
| 5Y Return (annualized) | -2.53% | +5.28% | |
| Volatility (annualized) | 14.7% | 7.5% | |
| Max Drawdown | -53.4% | -38.9% | |
| Fund Family | Federated Hermes | iShares by BlackRock (US) | |
| Category | Tax Preferred | Fixed Income | |
| Inception | Dec 20, 2002 | Jul 22, 2015 |
FMN vs IGBH Performance
Federated Hermes Premier Municipal Income Fund (FMN) is a ETF from Federated Hermes and iShares Interest Rate Hedged Long-Term Corporate Bond ETF (IGBH) is a ETF from iShares by BlackRock (US). Over the past year FMN returned +8.80% while IGBH returned +5.28%. Year to date, FMN is up 2.95% versus a gain of 1.39% for IGBH.
Over three years, FMN compounded at +6.66% per year against +7.45% for IGBH; over five years the annualized figures are -2.53% and +5.28% respectively. Across the full 11-year window we track, IGBH has the edge at +2.84% annualized vs -0.23%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FMN has been the more volatile fund, with annualized monthly volatility of 14.7% compared with 7.5% for IGBH. 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 -53.4% for FMN and -38.9% for IGBH. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.
The two funds' monthly returns correlate at 0.40. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
FMN charges 0.75% per year while IGBH charges 0.14%. On a $10,000 position that is $75 vs $14 annually, a gap of $61 per year that compounds over a long holding period. On income, FMN currently yields 4.29% against 5.68% for IGBH.
Holdings Overlap
FMN and IGBH share 0 holdings out of 161 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, FMN or IGBH?
FMN has an expense ratio of 0.75% while IGBH charges 0.14%. IGBH is the cheaper option. On a $10,000 investment, that is $61 per year of difference.
Which performed better, FMN or IGBH?
Over the past year FMN returned +8.80% vs +5.28% for IGBH, so FMN leads on 1-year performance. Over the longest common window we track (11 years), FMN annualized -0.23% vs +2.84% for IGBH. Past performance does not guarantee future results.
Which is riskier, FMN or IGBH?
FMN has been the more volatile fund at 14.7% annualized versus 7.5% for IGBH. Worst drawdown: FMN -53.4% vs IGBH -38.9%.
Should I hold both FMN and IGBH?
FMN and IGBH have a monthly-return correlation of 0.40, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between FMN and IGBH?
FMN and IGBH share 0 common holdings with a 0.0% weight overlap. Combined, they hold 161 unique securities.
Which pays a higher dividend, FMN or IGBH?
FMN yields 4.29% while IGBH yields 5.68%, so IGBH currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.