A side-by-side comparison of iShares 1-3 Year Treasury Bond ETF (SHY) and First Trust Low Duration Opportunities ETF (LMBS) to help Canadian investors make an informed decision.
1-Year Performance
Normalised to 100 at the start — shows relative return over the trailing 12 months.
Head-to-Head Comparison
| Metric | SHY | LMBS |
|---|---|---|
| YTD Return | -0.06%✓ | -1.59% |
| 1-Day Change | -0.12% | +0.14%✓ |
| 1-Week Change | +0.01%✓ | -0.14% |
| 1-Month Change | -0.60% | -1.82%✓ |
| Current Price | $81.10 | $48.53 |
| AUM | $26.18B✓ | $6.46B |
| MER (Expense Ratio) | 0.15%✓ | 0.64% |
| Dividend Yield | 3.63% | 4.13%✓ |
| Distribution Frequency | NA | NA |
| Inception Date | 2002-07-22 | 2014-11-04 |
| Holdings Count | 8 | 1 |
| MorningStar Rating | ★★★ | ★★★★★ |
| Category | Short Government | Short Government |
| Beta | 0.22 | 0.46 |
| 52-Week High | $81.61 | $51.54 |
| 52-Week Low | $79.86 | $47.06 |
| 50-Day MA | $81.71 | $49.39 |
| 200-Day MA | $82.29 | $49.83 |
✓ marks the better value for return/yield/AUM metrics. Lower ✓ for MER.
Annualised Returns
| Period | SHY | LMBS |
|---|---|---|
| YTD | -0.06%✓ | -1.59% |
| 1 Year | +1.62% | +2.03%✓ |
| 3 Year | +3.96% | +5.38%✓ |
| 5 Year | +1.74% | +2.91%✓ |
| 10 Year | +1.62% | +2.36%✓ |
| 1Y Volatility | 0.87% | 1.59% |
| Sharpe Ratio (3Y) | -0.35 | 0.36 |
Past performance is not a guarantee of future results.
Top 10 Holdings
| 1 | United States Treasury Notes 0.38% | 7.17% | |
| 2 | United States Treasury Notes 1.75% | 5.52% | |
| 3 | United States Treasury Notes 1.63% | 5.45% | |
| 4 | United States Treasury Notes 0.25% | 3.64% | |
| 5 | United States Treasury Notes | 3.04% | |
| 6 | United States Treasury Notes 1.88% | 2.69% | |
| 7 | United States Treasury Notes 2.38% | 2.67% | |
| 8 | United States Treasury Notes 0.13% | 2.45% |
| 1 | MISXX | Morgan Stanley Institutional Liquidity Funds - Treasury Portfolio | 4.57% |
Sector Weights
| Sector | SHY | LMBS |
|---|---|---|
| Basic Materials | 0.00% | 0.00% |
| Communication Services | 0.00% | 0.00% |
| Consumer Cyclicals | 0.00% | 0.00% |
| Consumer Defensive | 0.00% | 0.00% |
| Energy | 0.00% | 0.00% |
| Financial Services | 0.00% | 0.00% |
| Healthcare | 0.00% | 0.00% |
| Industrials | 0.00% | 0.00% |
| Real Estate | 0.00% | 0.00% |
| Technology | 0.00% | 0.00% |
| Utilities | 0.00% | 0.00% |
About SHY
The underlying index consists of publicly-issued U.S. Treasury securities that have a remaining maturity of greater than or equal to one year and less than three years and have $300 million or more of outstanding face value, excluding amounts held by the Federal Reserve System. The fund will invest at least 80% of its assets in the component securities of the underlying index, and the fund will invest at least 90% of its assets in U.S. Treasury securities that BFA believes will help the fund tra…
About LMBS
Under normal market conditions, the fund will seek to achieve its investment objectives by investing at least 60% of its net assets (including investment borrowings) in mortgage-related debt securities and other mortgage-related instruments (collectively, Mortgage-Related Investments). The advisor normally expects to invest in Mortgage-Related Investments tied to residential and commercial mortgages.
Which ETF is Right for You?
Both SHY and LMBS are listed on Canadian exchanges and accessible through most Canadian brokerages including Questrade, Wealthsimple Trade, TD Direct, and Interactive Brokers.
Based on the available data, SHY scores higher across our tracked metrics including YTD performance, dividend yield, and AUM — though both ETFs warrant individual research before investing.
- Consider your account type (TFSA, RRSP, non-registered) as it can affect dividend taxation.
- Compare management expense ratios (MER) directly on each provider's website.
- Look at average daily trading volume to assess liquidity.
- Review the fund's underlying index and holdings to ensure the exposure matches your goals.
This is not financial advice. Always do your own research or consult a licensed financial advisor before investing.
Frequently Asked Questions
What is the difference between SHY and LMBS?
SHY (iShares 1-3 Year Treasury Bond ETF) and LMBS (First Trust Low Duration Opportunities ETF) are both Canadian-listed ETFs. Key differences include their AUM ($26.18B vs $6.46B), dividend yield (3.63% vs 4.13%), and year-to-date performance (-0.06% vs -1.59%).
Is SHY better than LMBS?
There is no single "better" ETF — it depends on your investment goals. If you prioritise recent performance, SHY has outperformed year-to-date. Always review the fund's prospectus and consider your tax situation.
Can I buy SHY and LMBS on Wealthsimple?
Most Canadian-listed ETFs are available on Wealthsimple Trade commission-free. Both SHY and LMBS should be accessible. Check Wealthsimple's supported tickers list to confirm availability.
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