POCAX vs. CSTAX

Last updated Aug 1, 2026

POCAX (Pacific Funds Portfolio Optimization Moderate) and CSTAX (American Funds College 2027 Fund) are both Diversified Portfolio funds. Over the past 10 years, POCAX returned 7.62%/yr vs 4.77%/yr for CSTAX. Their correlation of 0.84 means they have usually moved in the same direction. POCAX charges 0.60%/yr vs 0.41%/yr for CSTAX.

Performance

POCAX vs. CSTAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Pacific Funds Portfolio Optimization Moderate (POCAX) and American Funds College 2027 Fund (CSTAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, POCAX achieves a 7.39% return, which is significantly higher than CSTAX's 1.47% return. Over the past 10 years, POCAX has outperformed CSTAX with an annualized return of 7.62%, while CSTAX has yielded a comparatively lower 4.77% annualized return.

POCAX

• 1D: 1.24%
• 1M: -0.23%
• 6M: 5.48%
• YTD: 7.39%
• 1Y: 14.06%
• 3Y*: 11.76%
• 5Y*: 5.08%
• 10Y*: 7.62%
• ALL TIME*: 6.42%

CSTAX

• 1D: 0.08%
• 1M: -0.32%
• 6M: 0.81%
• YTD: 1.47%
• 1Y: 4.77%
• 3Y*: 6.50%
• 5Y*: 2.65%
• 10Y*: 4.77%
• ALL TIME*: 5.59%

*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)
CSTAX American Funds College 2027 Fund	$0.00	$0.00	$0.00
POCAX Pacific Funds Portfolio Optimization Moderate	$0.00	$0.00	$0.00

POCAX vs. CSTAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
POCAX Pacific Funds Portfolio Optimization Moderate	7.39%	12.91%	11.62%	13.95%	-18.67%	11.94%	14.65%	20.36%	-7.41%	13.51%
CSTAX American Funds College 2027 Fund	1.47%	9.00%	5.57%	6.57%	-9.87%	6.52%	7.66%	13.35%	-2.23%	11.77%

Correlation

The correlation between POCAX and CSTAX is 0.75, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.75
Correlation (3Y) Balances recent behavior with more history.	0.73
Correlation (5Y) Shows whether the relationship held over a longer period.	0.74
Correlation (10Y) Provides a long-term view across more market conditions.	0.81
Correlation (All Time) Calculated using the full available price history since Jan 2, 2013	0.84

The correlation between POCAX and CSTAX shifts across timeframes, from 0.73 (3 years) to 0.84 (all time), reflecting how their relationship changes across market environments.

Return for Risk

POCAX vs. CSTAX — Risk / Return Rank

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

POCAX

POCAX Risk / Return Rank: 58
POCAX Sharpe Ratio Rank: 55
POCAX Sortino Ratio Rank: 54
POCAX Omega Ratio Rank: 53
POCAX Calmar Ratio Rank: 56
POCAX Martin Ratio Rank: 71

CSTAX

CSTAX Risk / Return Rank: 64
CSTAX Sharpe Ratio Rank: 71
CSTAX Sortino Ratio Rank: 71
CSTAX Omega Ratio Rank: 72
CSTAX Calmar Ratio Rank: 53
CSTAX Martin Ratio Rank: 53

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.

POCAX vs. CSTAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Pacific Funds Portfolio Optimization Moderate (POCAX) and American Funds College 2027 Fund (CSTAX). 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.

	POCAX	CSTAX	Difference
Sharpe ratio: Return per unit of total volatility	1.43	1.65	-0.22
Sortino ratio: Return per unit of downside risk	2.04	2.40	-0.36
Omega ratio: Gain probability vs. loss probability	1.26	1.31	-0.05
Calmar ratio: Return relative to maximum drawdown	2.01	1.89	+0.13
Martin ratio: Return relative to average drawdown	8.77	7.07	+1.71

POCAX vs. CSTAX - Sharpe Ratio Comparison

The current POCAX Sharpe Ratio is 1.43, which is comparable to the CSTAX Sharpe Ratio of 1.65. The chart below compares the historical Sharpe Ratios of POCAX and CSTAX, 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

POCAX vs. CSTAX - Drawdown Comparison

The maximum POCAX drawdown since its inception was -40.19%, which is greater than CSTAX's maximum drawdown of -14.52%. Use the drawdown chart below to compare losses from any high point for POCAX and CSTAX.

Drawdown Indicators

	POCAX	CSTAX	Difference
Max Drawdown Largest peak-to-trough decline	-40.19%	-14.52%	-25.67%
Max Drawdown (1Y) Largest decline over 1 year	-6.47%	-2.72%	-3.75%
Max Drawdown (3Y) Largest decline over 3 years	-12.03%	-4.23%	-7.80%
Max Drawdown (5Y) Largest decline over 5 years	-24.92%	-14.52%	-10.40%
Max Drawdown (10Y) Largest decline over 10 years	-26.59%	-14.52%	-12.07%
Current Drawdown Current decline from peak	-0.83%	-0.40%	-0.43%
Average Drawdown Average peak-to-trough decline	-4.91%	-2.32%	-2.59%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.48%	0.72%	+0.76%

Volatility

POCAX vs. CSTAX - Volatility Comparison

Pacific Funds Portfolio Optimization Moderate (POCAX) has a higher volatility of 2.48% compared to American Funds College 2027 Fund (CSTAX) at 0.77%. This indicates that POCAX's price experiences larger fluctuations and is considered to be riskier than CSTAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	POCAX	CSTAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.48%	0.77%	+1.71%
Volatility (6M) Calculated over the trailing 6-month period	7.50%	2.54%	+4.96%
Volatility (1Y) Calculated over the trailing 1-year period	9.12%	3.11%	+6.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.97%	5.16%	+11.81%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.45%	5.70%	+8.75%

POCAX vs. CSTAX - Expense Ratio Comparison

POCAX has a 0.60% expense ratio, which is higher than CSTAX's 0.41% expense ratio.

Dividends

POCAX vs. CSTAX - Dividend Comparison

POCAX's dividend yield for the trailing twelve months is around 6.86%, more than CSTAX's 5.19% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CSTAX American Funds College 2027 Fund	5.19%	5.26%	3.78%	3.17%	3.40%	7.52%	5.72%	4.00%	4.78%	3.90%	4.34%	4.49%
POCAX Pacific Funds Portfolio Optimization Moderate	6.86%	7.37%	2.97%	1.68%	22.92%	8.62%	3.11%	5.02%	22.38%	3.85%	5.44%	6.68%

Frequently Asked Questions

Can I hold both POCAX and CSTAX in my portfolio?

POCAX and CSTAX 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, POCAX or CSTAX?

POCAX has higher volatility (2.48%) compared to CSTAX (0.77%). In terms of maximum drawdown, POCAX dropped -40.19% vs CSTAX's -14.52%.

Which has better risk-adjusted returns?

CSTAX currently has the higher Sharpe Ratio (1.65 vs 1.43), 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.