NCZ vs. PSTAX

Last updated Jun 3, 2026

NCZ (Virtus Convertible and Income Fund II) and PSTAX (Virtus KAR Capital Growth Fund) are both mutual funds - NCZ is a Convertible Bonds fund managed by Virtus, while PSTAX is a Large Cap Growth Equities fund managed by Virtus. Over the past 10 years, NCZ returned 9.17%/yr vs 13.76%/yr for PSTAX. At a 0.49 correlation, their price movements are largely independent. NCZ charges 0.03%/yr vs 1.20%/yr for PSTAX.

Performance

NCZ vs. PSTAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Virtus Convertible and Income Fund II (NCZ) and Virtus KAR Capital Growth Fund (PSTAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NCZ achieves a 20.43% return, which is significantly higher than PSTAX's 7.94% return. Over the past 10 years, NCZ has underperformed PSTAX with an annualized return of 9.17%, while PSTAX has yielded a comparatively higher 13.76% annualized return.

NCZ

• 1D: 0.31%
• 1M: 5.60%
• YTD: 20.43%
• 6M: 20.94%
• 1Y: 44.65%
• 3Y*: 24.64%
• 5Y*: 6.98%
• 10Y*: 9.17%

PSTAX

• 1D: 2.45%
• 1M: 11.31%
• YTD: 7.94%
• 6M: 5.97%
• 1Y: 11.04%
• 3Y*: 18.08%
• 5Y*: 6.79%
• 10Y*: 13.76%

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

NCZ vs. PSTAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NCZ Virtus Convertible and Income Fund II	20.43%	23.23%	18.40%	17.75%	-35.93%	9.24%	11.04%	27.19%	-18.66%	24.89%
PSTAX Virtus KAR Capital Growth Fund	7.94%	6.85%	25.19%	34.35%	-35.74%	11.70%	46.13%	42.83%	-8.07%	35.13%

Correlation

The correlation between NCZ and PSTAX is 0.51, 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	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.56
Correlation (5Y) Calculated over the trailing 5-year period	0.63
Correlation (10Y) Calculated over the trailing 10-year period	0.59
Correlation (All Time) Calculated using the full available price history since Jul 30, 2003	0.49

The correlation between NCZ and PSTAX shifts across timeframes, from 0.49 (all time) to 0.63 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

NCZ vs. PSTAX — Risk / Return Rank

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

NCZ

NCZ Risk / Return Rank: 81
NCZ Sharpe Ratio Rank: 86
NCZ Sortino Ratio Rank: 76
NCZ Omega Ratio Rank: 74
NCZ Calmar Ratio Rank: 81
NCZ Martin Ratio Rank: 87

PSTAX

PSTAX Risk / Return Rank: 7
PSTAX Sharpe Ratio Rank: 8
PSTAX Sortino Ratio Rank: 8
PSTAX Omega Ratio Rank: 8
PSTAX Calmar Ratio Rank: 6
PSTAX Martin Ratio Rank: 7

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.

NCZ vs. PSTAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Virtus Convertible and Income Fund II (NCZ) and Virtus KAR Capital Growth Fund (PSTAX). 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.

	NCZ	PSTAX	Difference
Sharpe ratio Return per unit of total volatility	2.79	0.70	+2.09
Sortino ratio Return per unit of downside risk	3.65	1.08	+2.58
Omega ratio Gain probability vs. loss probability	1.49	1.13	+0.36
Calmar ratio Return relative to maximum drawdown	3.70	0.62	+3.08
Martin ratio Return relative to average drawdown	16.70	1.96	+14.74
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

NCZ vs. PSTAX - Sharpe Ratio Comparison

The current NCZ Sharpe Ratio is 2.79, which is higher than the PSTAX Sharpe Ratio of 0.70. The chart below compares the historical Sharpe Ratios of NCZ and PSTAX, 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

	NCZ	PSTAX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.79	0.70	+2.09
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.33	0.27	+0.06
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.38	0.58	-0.20
Sharpe Ratio (All Time) Calculated using the full available price history	0.23	0.34	-0.11

Drawdowns

NCZ vs. PSTAX - Drawdown Comparison

The maximum NCZ drawdown since its inception was -79.48%, roughly equal to the maximum PSTAX drawdown of -76.37%. Use the drawdown chart below to compare losses from any high point for NCZ and PSTAX.

Drawdown Indicators

	NCZ	PSTAX	Difference
Max Drawdown Largest peak-to-trough decline	-79.48%	-76.37%	-3.11%
Max Drawdown (1Y) Largest decline over 1 year	-11.94%	-19.58%	+7.64%
Max Drawdown (3Y) Largest decline over 3 years	-19.54%	-29.63%	+10.09%
Max Drawdown (5Y) Largest decline over 5 years	-43.93%	-44.54%	+0.61%
Max Drawdown (10Y) Largest decline over 10 years	-56.08%	-44.54%	-11.54%
Current Drawdown Current decline from peak	0.00%	-3.26%	+3.26%
Average Drawdown Average peak-to-trough decline	-14.35%	-31.92%	+17.57%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.65%	6.25%	-3.60%

Volatility

NCZ vs. PSTAX - Volatility Comparison

The current volatility for Virtus Convertible and Income Fund II (NCZ) is 5.09%, while Virtus KAR Capital Growth Fund (PSTAX) has a volatility of 5.41%. This indicates that NCZ experiences smaller price fluctuations and is considered to be less risky than PSTAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NCZ	PSTAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.09%	5.41%	-0.32%
Volatility (6M) Calculated over the trailing 6-month period	12.57%	13.60%	-1.03%
Volatility (1Y) Calculated over the trailing 1-year period	16.11%	16.87%	-0.76%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.30%	25.19%	-3.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.27%	23.66%	+0.61%

NCZ vs. PSTAX - Expense Ratio Comparison

NCZ has a 0.03% expense ratio, which is lower than PSTAX's 1.20% expense ratio.

Dividends

NCZ vs. PSTAX - Dividend Comparison

NCZ's dividend yield for the trailing twelve months is around 9.04%, more than PSTAX's 7.02% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NCZ Virtus Convertible and Income Fund II	9.04%	10.45%	11.50%	12.84%	15.62%	8.82%	9.28%	11.28%	15.33%	13.80%	12.08%	18.02%
PSTAX Virtus KAR Capital Growth Fund	7.02%	7.58%	14.19%	6.07%	23.19%	7.73%	3.15%	2.71%	11.57%	6.28%	8.98%	4.59%

Frequently Asked Questions

Can I hold both NCZ and PSTAX in my portfolio?

NCZ and PSTAX have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NCZ or PSTAX?

PSTAX has higher volatility (5.41%) compared to NCZ (5.09%). In terms of maximum drawdown, NCZ dropped -79.48% vs PSTAX's -76.37%.

Which has better risk-adjusted returns?

NCZ currently has the higher Sharpe Ratio (2.79 vs 0.70), 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.