NESGX vs. SWPPX

Last updated Jun 23, 2026

NESGX (Needham Small Cap Growth Fund) and SWPPX (Schwab S&P 500 Index Fund) are both mutual funds - NESGX is a Small Cap Growth Equities fund managed by Needham, while SWPPX is a Large Cap Blend Equities fund tracking the S&P 500 Index. Over the past 10 years, NESGX returned 20.21%/yr vs 15.55%/yr for SWPPX. A 0.75 correlation means they provide meaningful diversification when combined. NESGX charges 1.85%/yr vs 0.02%/yr for SWPPX.

Performance

NESGX vs. SWPPX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Needham Small Cap Growth Fund (NESGX) and Schwab S&P 500 Index Fund (SWPPX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NESGX achieves a 84.13% return, which is significantly higher than SWPPX's 10.15% return. Over the past 10 years, NESGX has outperformed SWPPX with an annualized return of 20.21%, while SWPPX has yielded a comparatively lower 15.55% annualized return.

NESGX

• 1D: 3.47%
• 1M: 10.92%
• YTD: 84.13%
• 6M: 79.29%
• 1Y: 124.90%
• 3Y*: 32.98%
• 5Y*: 10.09%
• 10Y*: 20.21%

SWPPX

• 1D: 1.10%
• 1M: 0.47%
• YTD: 10.15%
• 6M: 9.65%
• 1Y: 27.14%
• 3Y*: 20.95%
• 5Y*: 14.08%
• 10Y*: 15.55%

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

NESGX vs. SWPPX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NESGX Needham Small Cap Growth Fund	84.13%	10.50%	12.76%	5.68%	-30.21%	10.59%	71.90%	54.42%	-5.43%	11.96%
SWPPX Schwab S&P 500 Index Fund	10.15%	17.87%	24.96%	26.26%	-18.14%	28.67%	18.38%	31.46%	-4.47%	21.81%

Correlation

The correlation between NESGX and SWPPX is 0.75, 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	0.75
Correlation (3Y) Calculated over the trailing 3-year period	0.74
Correlation (5Y) Calculated over the trailing 5-year period	0.76
Correlation (10Y) Calculated over the trailing 10-year period	0.72
Correlation (All Time) Calculated using the full available price history since May 23, 2002	0.75

The correlation between NESGX and SWPPX has been stable across timeframes, ranging from 0.72 to 0.76 - a consistent structural relationship.

Return for Risk

NESGX vs. SWPPX — Risk / Return Rank

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

NESGX

NESGX Risk / Return Rank: 95
NESGX Sharpe Ratio Rank: 99
NESGX Sortino Ratio Rank: 92
NESGX Omega Ratio Rank: 87
NESGX Calmar Ratio Rank: 98
NESGX Martin Ratio Rank: 98

SWPPX

SWPPX Risk / Return Rank: 66
SWPPX Sharpe Ratio Rank: 64
SWPPX Sortino Ratio Rank: 58
SWPPX Omega Ratio Rank: 60
SWPPX Calmar Ratio Rank: 68
SWPPX Martin Ratio Rank: 79

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.

NESGX vs. SWPPX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Needham Small Cap Growth Fund (NESGX) and Schwab S&P 500 Index Fund (SWPPX). 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.

	NESGX	SWPPX	Difference
Sharpe ratio: Return per unit of total volatility	3.92	2.16	+1.76
Sortino ratio: Return per unit of downside risk	4.28	2.91	+1.36
Omega ratio: Gain probability vs. loss probability	1.56	1.39	+0.16
Calmar ratio: Return relative to maximum drawdown	7.16	3.04	+4.12
Martin ratio: Return relative to average drawdown	29.16	13.71	+15.45

NESGX vs. SWPPX - Sharpe Ratio Comparison

The current NESGX Sharpe Ratio is 3.92, which is higher than the SWPPX Sharpe Ratio of 2.16. The chart below compares the historical Sharpe Ratios of NESGX and SWPPX, 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

NESGX vs. SWPPX - Drawdown Comparison

The maximum NESGX drawdown since its inception was -50.29%, smaller than the maximum SWPPX drawdown of -55.06%. Use the drawdown chart below to compare losses from any high point for NESGX and SWPPX.

Drawdown Indicators

	NESGX	SWPPX	Difference
Max Drawdown Largest peak-to-trough decline	-50.29%	-55.06%	+4.77%
Max Drawdown (1Y) Largest decline over 1 year	-17.16%	-8.89%	-8.27%
Max Drawdown (3Y) Largest decline over 3 years	-35.27%	-18.74%	-16.53%
Max Drawdown (5Y) Largest decline over 5 years	-50.05%	-24.51%	-25.54%
Max Drawdown (10Y) Largest decline over 10 years	-50.29%	-33.80%	-16.49%
Current Drawdown Current decline from peak	0.00%	-1.38%	+1.38%
Average Drawdown Average peak-to-trough decline	-11.64%	-9.93%	-1.71%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.20%	1.97%	+2.23%

Volatility

NESGX vs. SWPPX - Volatility Comparison

Needham Small Cap Growth Fund (NESGX) has a higher volatility of 12.05% compared to Schwab S&P 500 Index Fund (SWPPX) at 4.83%. This indicates that NESGX's price experiences larger fluctuations and is considered to be riskier than SWPPX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NESGX	SWPPX	Difference
Volatility (1M) Calculated over the trailing 1-month period	12.05%	4.83%	+7.22%
Volatility (6M) Calculated over the trailing 6-month period	22.39%	9.94%	+12.45%
Volatility (1Y) Calculated over the trailing 1-year period	31.30%	12.50%	+18.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	29.56%	17.03%	+12.53%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.01%	18.27%	+7.74%

NESGX vs. SWPPX - Expense Ratio Comparison

NESGX has a 1.85% expense ratio, which is higher than SWPPX's 0.02% expense ratio.

Dividends

NESGX vs. SWPPX - Dividend Comparison

NESGX has not paid dividends to shareholders, while SWPPX's dividend yield for the trailing twelve months is around 1.01%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NESGX Needham Small Cap Growth Fund	0.00%	0.00%	0.00%	0.00%	4.16%	25.09%	13.69%	8.43%	22.26%	8.94%	6.67%	2.52%
SWPPX Schwab S&P 500 Index Fund	1.01%	1.11%	1.23%	1.43%	1.67%	1.27%	1.81%	1.95%	2.67%	1.79%	2.55%	3.17%

Frequently Asked Questions

Can I hold both NESGX and SWPPX in my portfolio?

NESGX and SWPPX have a correlation of 0.75, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NESGX or SWPPX?

NESGX has higher volatility (12.05%) compared to SWPPX (4.83%). In terms of maximum drawdown, NESGX dropped -50.29% vs SWPPX's -55.06%.

Which has better risk-adjusted returns?

NESGX currently has the higher Sharpe Ratio (3.92 vs 2.16), 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.