NMFC vs. ARCC
NMFC (New Mountain Finance Corporation) and ARCC (Ares Capital Corporation) are both stocks. Both operate in the Asset Management industry within the Financial Services sector. Over the past 10 years, NMFC returned 5.30%/yr vs 12.46%/yr for ARCC. A 0.52 correlation means they provide meaningful diversification when combined.
Performance
NMFC vs. ARCC - Performance Comparison
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Returns By Period
In the year-to-date period, NMFC achieves a -16.23% return, which is significantly lower than ARCC's -6.83% return. Over the past 10 years, NMFC has underperformed ARCC with an annualized return of 5.30%, while ARCC has yielded a comparatively higher 12.46% annualized return.
NMFC
- 1D
- 1.27%
- 1M
- -6.83%
- YTD
- -16.23%
- 6M
- -14.56%
- 1Y
- -19.85%
- 3Y*
- -4.71%
- 5Y*
- -0.50%
- 10Y*
- 5.30%
ARCC
- 1D
- 0.28%
- 1M
- -1.31%
- YTD
- -6.83%
- 6M
- -5.38%
- 1Y
- -8.17%
- 3Y*
- 9.59%
- 5Y*
- 8.14%
- 10Y*
- 12.46%
NMFC vs. ARCC - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
NMFC New Mountain Finance Corporation | -16.23% | -7.17% | -0.95% | 15.47% | -0.55% | 31.94% | -7.13% | 20.64% | 2.78% | 5.71% |
ARCC Ares Capital Corporation | -6.83% | 1.07% | 19.78% | 20.03% | -3.84% | 36.14% | 0.86% | 31.30% | 8.81% | 4.50% |
Correlation
The correlation between NMFC and ARCC is 0.69, 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 | 0.69 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.65 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.67 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.59 |
Correlation (All Time) Calculated using the full available price history since May 20, 2011 | 0.52 |
The correlation between NMFC and ARCC shifts across timeframes, from 0.52 (all time) to 0.69 (1 year), reflecting how their relationship changes across market environments.
Fundamentals
NMFC:
$328.53
ARCC:
$1.63
NMFC:
0.02
ARCC:
10.97
NMFC:
2.12
ARCC:
4.79
NMFC:
$315.55M
ARCC:
$2.63B
NMFC:
$203.95M
ARCC:
$1.86B
NMFC:
$106.53M
ARCC:
$2.05B
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Return for Risk
NMFC vs. ARCC — Risk / Return Rank
NMFC
ARCC
NMFC vs. ARCC - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for New Mountain Finance Corporation (NMFC) and Ares Capital Corporation (ARCC). 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.
| NMFC | ARCC | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.43 | ||
| Sortino ratioReturn per unit of downside risk | -0.68 | ||
| Omega ratioGain probability vs. loss probability | 0.87 | 0.94 | -0.07 |
| Calmar ratioReturn relative to maximum drawdown | -0.80 | -0.42 | -0.38 |
| Martin ratioReturn relative to average drawdown | -1.51 | -0.75 | -0.76 |
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Drawdowns
NMFC vs. ARCC - Drawdown Comparison
The maximum NMFC drawdown since its inception was -64.16%, smaller than the maximum ARCC drawdown of -79.36%. Use the drawdown chart below to compare losses from any high point for NMFC and ARCC.
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Drawdown Indicators
| NMFC | ARCC | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -64.16% | -79.36% | +15.20% |
Max Drawdown (1Y)Largest decline over 1 year | -24.87% | -19.35% | -5.52% |
Max Drawdown (3Y)Largest decline over 3 years | -28.07% | -19.35% | -8.72% |
Max Drawdown (5Y)Largest decline over 5 years | -28.07% | -21.76% | -6.31% |
Max Drawdown (10Y)Largest decline over 10 years | -64.16% | -56.77% | -7.39% |
Current DrawdownCurrent decline from peak | -27.15% | -15.20% | -11.95% |
Average DrawdownAverage peak-to-trough decline | -5.50% | -9.11% | +3.61% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 13.16% | 10.89% | +2.27% |
Volatility
NMFC vs. ARCC - Volatility Comparison
New Mountain Finance Corporation (NMFC) has a higher volatility of 7.16% compared to Ares Capital Corporation (ARCC) at 4.64%. This indicates that NMFC's price experiences larger fluctuations and is considered to be riskier than ARCC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| NMFC | ARCC | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 7.16% | 4.64% | +2.52% |
Volatility (6M)Calculated over the trailing 6-month period | 18.68% | 15.11% | +3.57% |
Volatility (1Y)Calculated over the trailing 1-year period | 23.02% | 18.65% | +4.37% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 18.56% | 19.96% | -1.40% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 25.96% | 25.60% | +0.36% |
Dividends
NMFC vs. ARCC - Dividend Comparison
NMFC's dividend yield for the trailing twelve months is around 16.90%, more than ARCC's 10.73% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ARCC Ares Capital Corporation | 10.73% | 9.49% | 8.77% | 9.59% | 10.12% | 7.65% | 9.47% | 9.01% | 9.88% | 9.67% | 9.22% | 11.02% |
NMFC New Mountain Finance Corporation | 16.90% | 13.90% | 12.17% | 11.40% | 9.86% | 8.76% | 10.92% | 9.90% | 10.81% | 10.04% | 9.65% | 10.45% |
Financials
NMFC vs. ARCC - Financials Comparison
This section allows you to compare key financial metrics between New Mountain Finance Corporation and Ares Capital Corporation. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
Frequently Asked Questions
NMFC and ARCC have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
NMFC has higher volatility (7.16%) compared to ARCC (4.64%). In terms of maximum drawdown, NMFC dropped -64.16% vs ARCC's -79.36%.
ARCC currently has the higher Sharpe Ratio (-0.44 vs -0.87), 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.
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