FMN vs KTF: Correlation
Federated Hermes Premier Municipal Income Fund (FMN) and DWS Municipal Income Trust (KTF) show a strong relationship: their 3-year correlation of weekly returns is 0.79.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FMN and KTF?
Across a 3-year window, the weekly returns of FMN and KTF correlate at 0.79, strong. Recent behaviour matches the longer record: 0.81 over 1 year against 0.79 over 3. Stretching to 5 years gives 0.78, with an annualized covariance of 102.4 %².
Among the 13 assets we track against FMN, KTF ranks #7 by 3-year correlation. Neither side won the trailing year by much: +9.5% against +9.8%.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
FMN vs KTF: side by side
| FMN (Federated Hermes Premier Municipal Income Fund) | KTF (DWS Municipal Income Trust) | |
|---|---|---|
| 1-year return | +9.5% | +9.8% |
| 5-year return | -12.8% | -3.3% |
| Volatility (ann.) | 11.1% | 11.7% |
| Beta vs S&P 500 | 0.24 | 0.19 |
| Max drawdown (3Y) | -16.3% | -11.3% |
| Market cap | $0.1B | $0.3B |
| P/E (trailing) | 9.7 | 10.1 |
| Dividend yield | 4.57% | 8.35% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | FMN | KTF |
|---|---|---|
| 2022 | -26.7% | -23.7% |
| 2023 | +9.2% | +7.1% |
| 2024 | +3.2% | +13.8% |
| 2025 | +6.8% | +4.6% |
| 2026 | +2.9% | +2.0% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FMN and KTF good diversifiers for each other?
Only partially. A correlation of 0.79 means FMN and KTF share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between FMN and KTF?
As of 2026-08-27, the correlation of weekly returns between FMN and KTF is 0.79 over 3 years, 0.81 over 1 year and 0.78 over 5 years.
Is KTF a good diversifier for FMN?
Only partially. A correlation of 0.79 means FMN and KTF share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.79 mean?
A reading of 0.79 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/fmn-vs-ktf.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/fmn-vs-ktf/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: FMN correlations · KTF correlations
