CAIFX vs. NFJ

Last updated Jun 23, 2026

CAIFX (American Funds Capital Income Builder Fund Class F-2) and NFJ (Virtus Dividend, Interest and Premium Strategy Fund) are both Dividend funds. Over the past 10 years, CAIFX returned 8.10%/yr vs 10.92%/yr for NFJ. A 0.70 correlation means they provide meaningful diversification when combined. CAIFX charges 0.37%/yr vs 0.02%/yr for NFJ.

Performance

CAIFX vs. NFJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds Capital Income Builder Fund Class F-2 (CAIFX) and Virtus Dividend, Interest and Premium Strategy Fund (NFJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CAIFX achieves a 7.52% return, which is significantly lower than NFJ's 22.57% return. Over the past 10 years, CAIFX has underperformed NFJ with an annualized return of 8.10%, while NFJ has yielded a comparatively higher 10.92% annualized return.

CAIFX

• 1D: 0.00%
• 1M: 0.09%
• YTD: 7.52%
• 6M: 7.84%
• 1Y: 18.01%
• 3Y*: 14.57%
• 5Y*: 9.05%
• 10Y*: 8.10%

NFJ

• 1D: -1.05%
• 1M: 5.83%
• YTD: 22.57%
• 6M: 22.76%
• 1Y: 37.37%
• 3Y*: 18.73%
• 5Y*: 9.25%
• 10Y*: 10.92%

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

CAIFX vs. NFJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
CAIFX American Funds Capital Income Builder Fund Class F-2	7.52%	20.63%	10.47%	9.21%	-6.95%	15.26%	3.41%	17.49%	-7.10%	14.19%
NFJ Virtus Dividend, Interest and Premium Strategy Fund	22.57%	12.40%	9.96%	21.30%	-23.90%	26.75%	12.42%	30.88%	-11.97%	12.74%

Correlation

The correlation between CAIFX and NFJ is 0.56, 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	0.56
Correlation (3Y) Calculated over the trailing 3-year period	0.66
Correlation (5Y) Calculated over the trailing 5-year period	0.71
Correlation (10Y) Calculated over the trailing 10-year period	0.70
Correlation (All Time) Calculated using the full available price history since Aug 1, 2008	0.70

The correlation between CAIFX and NFJ shifts across timeframes, from 0.56 (1 year) to 0.71 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

CAIFX vs. NFJ — Risk / Return Rank

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

CAIFX

CAIFX Risk / Return Rank: 62
CAIFX Sharpe Ratio Rank: 65
CAIFX Sortino Ratio Rank: 66
CAIFX Omega Ratio Rank: 64
CAIFX Calmar Ratio Rank: 57
CAIFX Martin Ratio Rank: 59

NFJ

NFJ Risk / Return Rank: 87
NFJ Sharpe Ratio Rank: 91
NFJ Sortino Ratio Rank: 88
NFJ Omega Ratio Rank: 81
NFJ Calmar Ratio Rank: 90
NFJ Martin Ratio Rank: 86

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.

CAIFX vs. NFJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds Capital Income Builder Fund Class F-2 (CAIFX) and Virtus Dividend, Interest and Premium Strategy Fund (NFJ). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	CAIFX	NFJ	Difference
Sharpe ratio: Return per unit of total volatility	2.18	2.78	-0.60
Sortino ratio: Return per unit of downside risk	3.09	3.96	-0.88
Omega ratio: Gain probability vs. loss probability	1.41	1.48	-0.08
Calmar ratio: Return relative to maximum drawdown	2.77	4.38	-1.62
Martin ratio: Return relative to average drawdown	10.98	14.90	-3.93

CAIFX vs. NFJ - Sharpe Ratio Comparison

The current CAIFX Sharpe Ratio is 2.18, which is comparable to the NFJ Sharpe Ratio of 2.78. The chart below compares the historical Sharpe Ratios of CAIFX and NFJ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

CAIFX vs. NFJ - Drawdown Comparison

The maximum CAIFX drawdown since its inception was -36.83%, smaller than the maximum NFJ drawdown of -57.92%. Use the drawdown chart below to compare losses from any high point for CAIFX and NFJ.

Drawdown Indicators

	CAIFX	NFJ	Difference
Max Drawdown Largest peak-to-trough decline	-36.83%	-57.92%	+21.09%
Max Drawdown (1Y) Largest decline over 1 year	-6.47%	-8.57%	+2.10%
Max Drawdown (3Y) Largest decline over 3 years	-8.88%	-17.04%	+8.16%
Max Drawdown (5Y) Largest decline over 5 years	-17.51%	-30.57%	+13.06%
Max Drawdown (10Y) Largest decline over 10 years	-25.27%	-40.96%	+15.69%
Current Drawdown Current decline from peak	-0.72%	-1.05%	+0.33%
Average Drawdown Average peak-to-trough decline	-4.70%	-10.77%	+6.07%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.63%	2.51%	-0.88%

Volatility

CAIFX vs. NFJ - Volatility Comparison

The current volatility for American Funds Capital Income Builder Fund Class F-2 (CAIFX) is 2.56%, while Virtus Dividend, Interest and Premium Strategy Fund (NFJ) has a volatility of 4.94%. This indicates that CAIFX experiences smaller price fluctuations and is considered to be less risky than NFJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CAIFX	NFJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.56%	4.94%	-2.38%
Volatility (6M) Calculated over the trailing 6-month period	6.62%	10.68%	-4.06%
Volatility (1Y) Calculated over the trailing 1-year period	8.23%	13.55%	-5.32%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.01%	17.21%	-7.20%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.89%	18.70%	-7.81%

CAIFX vs. NFJ - Expense Ratio Comparison

CAIFX has a 0.37% expense ratio, which is higher than NFJ's 0.02% expense ratio.

Dividends

CAIFX vs. NFJ - Dividend Comparison

CAIFX's dividend yield for the trailing twelve months is around 7.51%, less than NFJ's 8.07% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CAIFX American Funds Capital Income Builder Fund Class F-2	7.51%	7.93%	5.98%	3.69%	3.66%	3.36%	3.60%	4.31%	3.76%	4.63%	3.73%	3.82%
NFJ Virtus Dividend, Interest and Premium Strategy Fund	8.07%	9.46%	9.26%	7.78%	8.83%	5.60%	6.69%	6.92%	8.43%	8.62%	9.52%	13.32%

Frequently Asked Questions

Can I hold both CAIFX and NFJ in my portfolio?

CAIFX and NFJ have a correlation of 0.56, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CAIFX or NFJ?

NFJ has higher volatility (4.94%) compared to CAIFX (2.56%). In terms of maximum drawdown, CAIFX dropped -36.83% vs NFJ's -57.92%.

Which has better risk-adjusted returns?

NFJ currently has the higher Sharpe Ratio (2.78 vs 2.18), 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.