NEWFX vs. ABALX
Compare and contrast key facts about American Funds New World Fund (NEWFX) and American Funds American Balanced Fund Class A (ABALX).
NEWFX is managed by American Funds. It was launched on Jun 16, 1999. ABALX is managed by American Funds. It was launched on Jul 26, 1975.
Performance
NEWFX vs. ABALX - Performance Comparison
Loading graphics...
NEWFX vs. ABALX - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
NEWFX American Funds New World Fund | -4.07% | 28.16% | 6.45% | 15.75% | -22.08% | 4.69% | 24.79% | 27.51% | -12.32% | 32.56% |
ABALX American Funds American Balanced Fund Class A | -2.86% | 18.45% | 14.63% | 13.65% | -12.13% | 15.75% | 10.85% | 18.60% | -3.35% | 14.69% |
Returns By Period
In the year-to-date period, NEWFX achieves a -4.07% return, which is significantly lower than ABALX's -2.86% return. Both investments have delivered pretty close results over the past 10 years, with NEWFX having a 9.04% annualized return and ABALX not far behind at 8.98%.
NEWFX
- 1D
- -0.63%
- 1M
- -11.97%
- YTD
- -4.07%
- 6M
- -0.04%
- 1Y
- 21.01%
- 3Y*
- 12.44%
- 5Y*
- 4.18%
- 10Y*
- 9.04%
ABALX
- 1D
- -0.14%
- 1M
- -6.82%
- YTD
- -2.86%
- 6M
- 0.85%
- 1Y
- 15.33%
- 3Y*
- 13.40%
- 5Y*
- 8.00%
- 10Y*
- 8.98%
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
NEWFX vs. ABALX - Expense Ratio Comparison
NEWFX has a 0.96% expense ratio, which is higher than ABALX's 0.56% expense ratio.
Return for Risk
NEWFX vs. ABALX — Risk / Return Rank
NEWFX
ABALX
NEWFX vs. ABALX - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for American Funds New World Fund (NEWFX) and American Funds American Balanced Fund Class A (ABALX). 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.
| NEWFX | ABALX | Difference | |
|---|---|---|---|
Sharpe ratioReturn per unit of total volatility | 1.32 | 1.43 | -0.11 |
Sortino ratioReturn per unit of downside risk | 1.84 | 2.09 | -0.25 |
Omega ratioGain probability vs. loss probability | 1.26 | 1.29 | -0.03 |
Calmar ratioReturn relative to maximum drawdown | 1.40 | 2.00 | -0.60 |
Martin ratioReturn relative to average drawdown | 5.98 | 8.51 | -2.53 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
Loading graphics...
Sharpe Ratios by Period
| NEWFX | ABALX | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 1.32 | 1.43 | -0.11 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.28 | 0.77 | -0.49 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.57 | 0.85 | -0.28 |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.48 | 0.79 | -0.30 |
Correlation
The correlation between NEWFX and ABALX is 0.75, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
Dividends
NEWFX vs. ABALX - Dividend Comparison
NEWFX's dividend yield for the trailing twelve months is around 5.95%, less than ABALX's 8.54% yield.
| TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
NEWFX American Funds New World Fund | 5.95% | 5.71% | 3.66% | 2.46% | 0.89% | 6.89% | 0.10% | 3.65% | 2.26% | 1.90% | 0.92% | 0.60% |
ABALX American Funds American Balanced Fund Class A | 8.54% | 8.27% | 6.87% | 2.05% | 2.30% | 4.30% | 4.35% | 3.49% | 5.49% | 4.72% | 4.24% | 5.60% |
Drawdowns
NEWFX vs. ABALX - Drawdown Comparison
The maximum NEWFX drawdown since its inception was -56.71%, which is greater than ABALX's maximum drawdown of -40.20%. Use the drawdown chart below to compare losses from any high point for NEWFX and ABALX.
Loading graphics...
Drawdown Indicators
| NEWFX | ABALX | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -56.71% | -40.20% | -16.51% |
Max Drawdown (1Y)Largest decline over 1 year | -13.03% | -7.33% | -5.70% |
Max Drawdown (5Y)Largest decline over 5 years | -33.68% | -18.76% | -14.92% |
Max Drawdown (10Y)Largest decline over 10 years | -33.68% | -22.34% | -11.34% |
Current DrawdownCurrent decline from peak | -13.03% | -7.03% | -6.00% |
Average DrawdownAverage peak-to-trough decline | -11.80% | -3.86% | -7.94% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.06% | 1.73% | +1.33% |
Volatility
NEWFX vs. ABALX - Volatility Comparison
American Funds New World Fund (NEWFX) has a higher volatility of 6.38% compared to American Funds American Balanced Fund Class A (ABALX) at 3.26%. This indicates that NEWFX's price experiences larger fluctuations and is considered to be riskier than ABALX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading graphics...
Volatility by Period
| NEWFX | ABALX | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 6.38% | 3.26% | +3.12% |
Volatility (6M)Calculated over the trailing 6-month period | 10.73% | 6.74% | +3.99% |
Volatility (1Y)Calculated over the trailing 1-year period | 15.46% | 11.11% | +4.35% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 15.12% | 10.42% | +4.70% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 15.96% | 10.61% | +5.35% |