NWMSX vs. URFRX

Last updated Aug 6, 2026

NWMSX (Nationwide Destination 2040 Fund) and URFRX (USAA Target Retirement 2040 Fund) are both Target Retirement Date funds. Over the past 10 years, NWMSX returned 8.62%/yr vs 9.38%/yr for URFRX. Their 0.97 correlation means they have historically moved very closely together. NWMSX charges 0.38%/yr vs 0.02%/yr for URFRX.

Performance

NWMSX vs. URFRX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Nationwide Destination 2040 Fund (NWMSX) and USAA Target Retirement 2040 Fund (URFRX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NWMSX achieves a 11.44% return, which is significantly lower than URFRX's 13.50% return. Over the past 10 years, NWMSX has underperformed URFRX with an annualized return of 8.62%, while URFRX has yielded a comparatively higher 9.38% annualized return.

NWMSX

• 1D: 1.33%
• 1M: 1.52%
• 6M: 9.06%
• YTD: 11.44%
• 1Y: 20.14%
• 3Y*: 15.82%
• 5Y*: 7.76%
• 10Y*: 8.62%
• ALL TIME*: 6.48%

URFRX

• 1D: 1.25%
• 1M: 1.83%
• 6M: 10.40%
• YTD: 13.50%
• 1Y: 22.14%
• 3Y*: 16.05%
• 5Y*: 8.53%
• 10Y*: 9.38%
• ALL TIME*: 7.96%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
NWMSX Nationwide Destination 2040 Fund	$0.00	$0.00	$0.00
URFRX USAA Target Retirement 2040 Fund	$0.00	$0.00	$0.00

NWMSX vs. URFRX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NWMSX Nationwide Destination 2040 Fund	11.44%	17.51%	11.63%	18.59%	-18.29%	15.03%	13.50%	19.70%	-8.44%	10.47%
URFRX USAA Target Retirement 2040 Fund	13.50%	17.49%	10.37%	16.75%	-14.86%	15.88%	9.22%	19.57%	-8.52%	18.48%

Correlation

The correlation between NWMSX and URFRX is 0.98 - they have historically moved very closely together. At this level, their price movements offset little of one another.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.98
Correlation (3Y) Balances recent behavior with more history.	0.96
Correlation (5Y) Shows whether the relationship held over a longer period.	0.96
Correlation (10Y) Provides a long-term view across more market conditions.	0.96
Correlation (All Time) Calculated using the full available price history since Aug 4, 2008	0.97

The correlation between NWMSX and URFRX has been stable across timeframes, ranging from 0.96 to 0.98 - a consistent structural relationship.

Return for Risk

NWMSX vs. URFRX — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

NWMSX

NWMSX Risk / Return Rank: 67
NWMSX Sharpe Ratio Rank: 65
NWMSX Sortino Ratio Rank: 66
NWMSX Omega Ratio Rank: 61
NWMSX Calmar Ratio Rank: 66
NWMSX Martin Ratio Rank: 76

URFRX

URFRX Risk / Return Rank: 85
URFRX Sharpe Ratio Rank: 85
URFRX Sortino Ratio Rank: 84
URFRX Omega Ratio Rank: 81
URFRX Calmar Ratio Rank: 84
URFRX Martin Ratio Rank: 90

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

NWMSX vs. URFRX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Nationwide Destination 2040 Fund (NWMSX) and USAA Target Retirement 2040 Fund (URFRX). 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.

	NWMSX	URFRX	Difference
Sharpe ratio: Return per unit of total volatility	1.82	2.17	-0.35
Sortino ratio: Return per unit of downside risk	2.60	3.06	-0.47
Omega ratio: Gain probability vs. loss probability	1.33	1.40	-0.07
Calmar ratio: Return relative to maximum drawdown	2.56	3.22	-0.66
Martin ratio: Return relative to average drawdown	11.01	13.80	-2.79

NWMSX vs. URFRX - Sharpe Ratio Comparison

The current NWMSX Sharpe Ratio is 1.82, which is comparable to the URFRX Sharpe Ratio of 2.17. The chart below compares the historical Sharpe Ratios of NWMSX and URFRX, 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

NWMSX vs. URFRX - Drawdown Comparison

The maximum NWMSX drawdown since its inception was -55.33%, which is greater than URFRX's maximum drawdown of -39.33%. Use the drawdown chart below to compare losses from any high point for NWMSX and URFRX.

Drawdown Indicators

	NWMSX	URFRX	Difference
Max Drawdown Largest peak-to-trough decline	-55.33%	-39.33%	-16.00%
Max Drawdown (1Y) Largest decline over 1 year	-7.82%	-6.88%	-0.94%
Max Drawdown (3Y) Largest decline over 3 years	-12.62%	-12.41%	-0.21%
Max Drawdown (5Y) Largest decline over 5 years	-30.39%	-22.27%	-8.12%
Max Drawdown (10Y) Largest decline over 10 years	-32.80%	-28.59%	-4.21%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-9.24%	-5.14%	-4.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.81%	1.60%	+0.21%

Volatility

NWMSX vs. URFRX - Volatility Comparison

Nationwide Destination 2040 Fund (NWMSX) has a higher volatility of 3.51% compared to USAA Target Retirement 2040 Fund (URFRX) at 2.75%. This indicates that NWMSX's price experiences larger fluctuations and is considered to be riskier than URFRX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NWMSX	URFRX	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.51%	2.75%	+0.76%
Volatility (6M) Calculated over the trailing 6-month period	9.31%	8.59%	+0.72%
Volatility (1Y) Calculated over the trailing 1-year period	11.06%	10.27%	+0.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.37%	12.43%	+1.94%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.12%	13.05%	+2.07%

NWMSX vs. URFRX - Expense Ratio Comparison

NWMSX has a 0.38% expense ratio, which is higher than URFRX's 0.02% expense ratio.

Dividends

NWMSX vs. URFRX - Dividend Comparison

NWMSX's dividend yield for the trailing twelve months is around 7.78%, more than URFRX's 6.21% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NWMSX Nationwide Destination 2040 Fund	7.78%	8.66%	14.65%	6.81%	2.49%	9.45%	6.28%	7.29%	11.84%	1.98%	8.03%	5.32%
URFRX USAA Target Retirement 2040 Fund	6.21%	7.05%	2.78%	3.94%	10.68%	7.78%	5.49%	12.74%	9.99%	6.53%	3.95%	2.55%

Frequently Asked Questions

Can I hold both NWMSX and URFRX in my portfolio?

With a correlation of 0.98, NWMSX and URFRX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, NWMSX or URFRX?

NWMSX has higher volatility (3.51%) compared to URFRX (2.75%). In terms of maximum drawdown, NWMSX dropped -55.33% vs URFRX's -39.33%.

Which has better risk-adjusted returns?

URFRX currently has the higher Sharpe Ratio (2.17 vs 1.82), 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.