PSCNX vs. ALFAX

Last updated Jun 4, 2026

PSCNX (Penn Capital Special Situations Small Cap Equity Fund) and ALFAX (Lord Abbett Alpha Strategy Fund) are both Small Cap Growth Equities funds. Over the past 10 years, PSCNX returned 13.05%/yr vs 10.51%/yr for ALFAX. Their correlation of 0.92 suggests significant overlap in exposure. PSCNX charges 1.71%/yr vs 1.40%/yr for ALFAX.

Performance

PSCNX vs. ALFAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Penn Capital Special Situations Small Cap Equity Fund (PSCNX) and Lord Abbett Alpha Strategy Fund (ALFAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PSCNX achieves a 21.84% return, which is significantly higher than ALFAX's 18.69% return. Over the past 10 years, PSCNX has outperformed ALFAX with an annualized return of 13.05%, while ALFAX has yielded a comparatively lower 10.51% annualized return.

PSCNX

• 1D: 1.11%
• 1M: 4.23%
• YTD: 21.84%
• 6M: 20.47%
• 1Y: 40.48%
• 3Y*: 17.46%
• 5Y*: 6.48%
• 10Y*: 13.05%

ALFAX

• 1D: 0.76%
• 1M: 4.83%
• YTD: 18.69%
• 6M: 18.13%
• 1Y: 32.77%
• 3Y*: 15.74%
• 5Y*: 5.22%
• 10Y*: 10.51%

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

PSCNX vs. ALFAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PSCNX Penn Capital Special Situations Small Cap Equity Fund	21.84%	12.07%	8.04%	14.14%	-17.98%	32.82%	27.62%	30.69%	-16.22%	15.97%
ALFAX Lord Abbett Alpha Strategy Fund	18.69%	8.80%	13.18%	13.92%	-23.50%	15.01%	26.16%	24.95%	-9.72%	20.61%

Correlation

The correlation between PSCNX and ALFAX is 0.91, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.91
Correlation (3Y) Calculated over the trailing 3-year period	0.93
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (10Y) Calculated over the trailing 10-year period	0.92
Correlation (All Time) Calculated using the full available price history since Dec 18, 2015	0.92

The correlation between PSCNX and ALFAX has been stable across timeframes, ranging from 0.91 to 0.94 - a consistent structural relationship.

Return for Risk

PSCNX vs. ALFAX — Risk / Return Rank

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

PSCNX

PSCNX Risk / Return Rank: 55
PSCNX Sharpe Ratio Rank: 50
PSCNX Sortino Ratio Rank: 45
PSCNX Omega Ratio Rank: 42
PSCNX Calmar Ratio Rank: 76
PSCNX Martin Ratio Rank: 64

ALFAX

ALFAX Risk / Return Rank: 55
ALFAX Sharpe Ratio Rank: 48
ALFAX Sortino Ratio Rank: 46
ALFAX Omega Ratio Rank: 42
ALFAX Calmar Ratio Rank: 72
ALFAX Martin Ratio Rank: 65

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.

PSCNX vs. ALFAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Penn Capital Special Situations Small Cap Equity Fund (PSCNX) and Lord Abbett Alpha Strategy Fund (ALFAX). 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.

	PSCNX	ALFAX	Difference
Sharpe ratio: Return per unit of total volatility	2.09	2.03	+0.06
Sortino ratio: Return per unit of downside risk	2.82	2.87	-0.05
Omega ratio: Gain probability vs. loss probability	1.35	1.35	0.00
Calmar ratio: Return relative to maximum drawdown	3.47	3.31	+0.16
Martin ratio: Return relative to average drawdown	12.66	12.75	-0.09
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PSCNX vs. ALFAX - Sharpe Ratio Comparison

The current PSCNX Sharpe Ratio is 2.09, which is comparable to the ALFAX Sharpe Ratio of 2.03. The chart below compares the historical Sharpe Ratios of PSCNX and ALFAX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	PSCNX	ALFAX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.09	2.03	+0.06
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.26	0.26	-0.01
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.51	0.51	0.00
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	0.43	+0.08

Drawdowns

PSCNX vs. ALFAX - Drawdown Comparison

The maximum PSCNX drawdown since its inception was -50.15%, smaller than the maximum ALFAX drawdown of -57.11%. Use the drawdown chart below to compare losses from any high point for PSCNX and ALFAX.

Drawdown Indicators

	PSCNX	ALFAX	Difference
Max Drawdown Largest peak-to-trough decline	-50.15%	-57.11%	+6.96%
Max Drawdown (1Y) Largest decline over 1 year	-12.47%	-10.31%	-2.16%
Max Drawdown (3Y) Largest decline over 3 years	-27.88%	-25.01%	-2.87%
Max Drawdown (5Y) Largest decline over 5 years	-32.09%	-33.88%	+1.79%
Max Drawdown (10Y) Largest decline over 10 years	-50.15%	-40.29%	-9.86%
Current Drawdown Current decline from peak	0.00%	-0.31%	+0.31%
Average Drawdown Average peak-to-trough decline	-9.84%	-12.87%	+3.03%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.41%	2.67%	+0.74%

Volatility

PSCNX vs. ALFAX - Volatility Comparison

Penn Capital Special Situations Small Cap Equity Fund (PSCNX) and Lord Abbett Alpha Strategy Fund (ALFAX) have volatilities of 5.77% and 5.84%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PSCNX	ALFAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.77%	5.84%	-0.07%
Volatility (6M) Calculated over the trailing 6-month period	14.93%	13.10%	+1.83%
Volatility (1Y) Calculated over the trailing 1-year period	20.68%	16.86%	+3.82%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	25.43%	19.86%	+5.57%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	25.91%	20.72%	+5.19%

PSCNX vs. ALFAX - Expense Ratio Comparison

PSCNX has a 1.71% expense ratio, which is higher than ALFAX's 1.40% expense ratio.

Dividends

PSCNX vs. ALFAX - Dividend Comparison

PSCNX's dividend yield for the trailing twelve months is around 6.15%, more than ALFAX's 4.47% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ALFAX Lord Abbett Alpha Strategy Fund	4.47%	5.30%	0.80%	0.46%	6.94%	5.38%	7.99%	14.66%	16.61%	11.96%	11.85%	15.83%
PSCNX Penn Capital Special Situations Small Cap Equity Fund	6.15%	7.49%	1.56%	0.24%	1.76%	23.64%	0.00%	1.24%	9.83%	11.93%	7.11%	0.00%

Frequently Asked Questions

Can I hold both PSCNX and ALFAX in my portfolio?

With a correlation of 0.91, PSCNX and ALFAX 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, PSCNX or ALFAX?

ALFAX has higher volatility (5.84%) compared to PSCNX (5.77%). In terms of maximum drawdown, PSCNX dropped -50.15% vs ALFAX's -57.11%.

Which has better risk-adjusted returns?

PSCNX currently has the higher Sharpe Ratio (2.09 vs 2.03), 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.