AFMBX vs. ACAZX

Last updated Jun 4, 2026

AFMBX (American Funds American Balanced Fund Class F-3) and ACAZX (Alger Capital Appreciation Fund Class Z) are both mutual funds - AFMBX is a Diversified Portfolio fund managed by American Funds, while ACAZX is a Large Cap Growth Equities fund managed by Alger. Over the past 5 years, AFMBX returned 10.06%/yr vs 21.52%/yr for ACAZX. Their correlation of 0.82 suggests significant overlap in exposure. AFMBX charges 0.25%/yr vs 0.85%/yr for ACAZX.

Performance

AFMBX vs. ACAZX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds American Balanced Fund Class F-3 (AFMBX) and Alger Capital Appreciation Fund Class Z (ACAZX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, AFMBX achieves a 10.12% return, which is significantly lower than ACAZX's 15.70% return.

AFMBX

• 1D: 0.24%
• 1M: 4.02%
• YTD: 10.12%
• 6M: 10.78%
• 1Y: 25.36%
• 3Y*: 17.90%
• 5Y*: 10.06%
• 10Y*: —

ACAZX

• 1D: -0.41%
• 1M: 9.21%
• YTD: 15.70%
• 6M: 15.26%
• 1Y: 43.34%
• 3Y*: 43.65%
• 5Y*: 21.52%
• 10Y*: 21.57%

*Multi-year figures are annualized to reflect compound growth (CAGR)

AFMBX vs. ACAZX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
AFMBX American Funds American Balanced Fund Class F-3	10.12%	18.82%	15.36%	13.89%	-11.83%	16.12%	11.17%	18.96%	-3.07%	10.06%
ACAZX Alger Capital Appreciation Fund Class Z	15.70%	31.33%	69.38%	43.53%	-36.63%	18.48%	42.23%	33.63%	-0.61%	18.57%

Correlation

The correlation between AFMBX and ACAZX is 0.76, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.76
Correlation (3Y) Calculated over the trailing 3-year period	0.78
Correlation (5Y) Calculated over the trailing 5-year period	0.82
Correlation (All Time) Calculated using the full available price history since Mar 16, 2017	0.83

The correlation between AFMBX and ACAZX has been stable across timeframes, ranging from 0.76 to 0.82 - a consistent structural relationship.

Return for Risk

AFMBX vs. ACAZX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

AFMBX

AFMBX Risk / Return Rank: 86
AFMBX Sharpe Ratio Rank: 90
AFMBX Sortino Ratio Rank: 87
AFMBX Omega Ratio Rank: 85
AFMBX Calmar Ratio Rank: 81
AFMBX Martin Ratio Rank: 87

ACAZX

ACAZX Risk / Return Rank: 42
ACAZX Sharpe Ratio Rank: 53
ACAZX Sortino Ratio Rank: 44
ACAZX Omega Ratio Rank: 43
ACAZX Calmar Ratio Rank: 39
ACAZX Martin Ratio Rank: 34

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

AFMBX vs. ACAZX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds American Balanced Fund Class F-3 (AFMBX) and Alger Capital Appreciation Fund Class Z (ACAZX). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	AFMBX	ACAZX	Difference
Sharpe ratio: Return per unit of total volatility	2.99	2.14	+0.84
Sortino ratio: Return per unit of downside risk	4.16	2.76	+1.40
Omega ratio: Gain probability vs. loss probability	1.57	1.35	+0.22
Calmar ratio: Return relative to maximum drawdown	3.72	2.37	+1.36
Martin ratio: Return relative to average drawdown	16.82	7.66	+9.16
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AFMBX vs. ACAZX - Sharpe Ratio Comparison

The current AFMBX Sharpe Ratio is 2.99, which is higher than the ACAZX Sharpe Ratio of 2.14. The chart below compares the historical Sharpe Ratios of AFMBX and ACAZX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	AFMBX	ACAZX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.99	2.14	+0.84
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.96	0.75	+0.22
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.85	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.96	0.78	+0.18

Drawdowns

AFMBX vs. ACAZX - Drawdown Comparison

The maximum AFMBX drawdown since its inception was -22.34%, smaller than the maximum ACAZX drawdown of -47.92%. Use the drawdown chart below to compare losses from any high point for AFMBX and ACAZX.

Drawdown Indicators

	AFMBX	ACAZX	Difference
Max Drawdown Largest peak-to-trough decline	-22.34%	-47.92%	+25.58%
Max Drawdown (1Y) Largest decline over 1 year	-6.98%	-18.97%	+11.99%
Max Drawdown (3Y) Largest decline over 3 years	-10.64%	-27.72%	+17.08%
Max Drawdown (5Y) Largest decline over 5 years	-18.58%	-47.92%	+29.34%
Max Drawdown (10Y) Largest decline over 10 years	—	-47.92%	—
Current Drawdown Current decline from peak	0.00%	-0.41%	+0.41%
Average Drawdown Average peak-to-trough decline	-3.21%	-8.34%	+5.13%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.54%	5.85%	-4.31%

Volatility

AFMBX vs. ACAZX - Volatility Comparison

The current volatility for American Funds American Balanced Fund Class F-3 (AFMBX) is 2.66%, while Alger Capital Appreciation Fund Class Z (ACAZX) has a volatility of 4.96%. This indicates that AFMBX experiences smaller price fluctuations and is considered to be less risky than ACAZX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AFMBX	ACAZX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.66%	4.96%	-2.30%
Volatility (6M) Calculated over the trailing 6-month period	6.85%	15.79%	-8.94%
Volatility (1Y) Calculated over the trailing 1-year period	8.72%	20.98%	-12.26%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.49%	28.98%	-18.49%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	11.14%	25.44%	-14.30%

AFMBX vs. ACAZX - Expense Ratio Comparison

AFMBX has a 0.25% expense ratio, which is lower than ACAZX's 0.85% expense ratio.

Dividends

AFMBX vs. ACAZX - Dividend Comparison

AFMBX's dividend yield for the trailing twelve months is around 7.82%, more than ACAZX's 7.63% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ACAZX Alger Capital Appreciation Fund Class Z	7.63%	8.83%	23.61%	6.65%	4.13%	22.24%	14.91%	7.87%	11.23%	6.60%	0.82%	8.15%
AFMBX American Funds American Balanced Fund Class F-3	7.82%	8.57%	7.51%	2.27%	2.63%	4.60%	4.65%	3.78%	5.81%	4.94%	0.00%	0.00%

Frequently Asked Questions

Can I hold both AFMBX and ACAZX in my portfolio?

AFMBX and ACAZX have a correlation of 0.76, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, AFMBX or ACAZX?

ACAZX has higher volatility (4.96%) compared to AFMBX (2.66%). In terms of maximum drawdown, AFMBX dropped -22.34% vs ACAZX's -47.92%.

Which has better risk-adjusted returns?

AFMBX currently has the higher Sharpe Ratio (2.99 vs 2.14), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.