STSGX vs. NESGX

Last updated Jun 5, 2026

STSGX (American Beacon Stephens Small Cap Growth Fund) and NESGX (Needham Small Cap Growth Fund) are both Small Cap Growth Equities funds. Over the past 10 years, STSGX returned 12.19%/yr vs 20.06%/yr for NESGX. Their correlation of 0.85 suggests significant overlap in exposure. STSGX charges 1.30%/yr vs 1.85%/yr for NESGX.

Performance

STSGX vs. NESGX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Beacon Stephens Small Cap Growth Fund (STSGX) and Needham Small Cap Growth Fund (NESGX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, STSGX achieves a 14.02% return, which is significantly lower than NESGX's 80.30% return. Over the past 10 years, STSGX has underperformed NESGX with an annualized return of 12.19%, while NESGX has yielded a comparatively higher 20.06% annualized return.

STSGX

• 1D: -0.87%
• 1M: 3.23%
• YTD: 14.02%
• 6M: 11.96%
• 1Y: 27.23%
• 3Y*: 18.34%
• 5Y*: 6.11%
• 10Y*: 12.19%

NESGX

• 1D: -0.81%
• 1M: 19.56%
• YTD: 80.30%
• 6M: 75.15%
• 1Y: 121.15%
• 3Y*: 32.75%
• 5Y*: 9.82%
• 10Y*: 20.06%

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

STSGX vs. NESGX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
STSGX American Beacon Stephens Small Cap Growth Fund	14.02%	11.67%	15.45%	19.21%	-28.91%	14.26%	37.45%	22.54%	1.72%	19.23%
NESGX Needham Small Cap Growth Fund	80.30%	10.50%	12.76%	5.68%	-30.21%	10.59%	71.90%	54.42%	-5.43%	11.96%

Correlation

The correlation between STSGX and NESGX is 0.83, 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	0.83
Correlation (3Y) Calculated over the trailing 3-year period	0.83
Correlation (5Y) Calculated over the trailing 5-year period	0.86
Correlation (10Y) Calculated over the trailing 10-year period	0.83
Correlation (All Time) Calculated using the full available price history since Dec 5, 2005	0.85

The correlation between STSGX and NESGX has been stable across timeframes, ranging from 0.83 to 0.86 - a consistent structural relationship.

Return for Risk

STSGX vs. NESGX — Risk / Return Rank

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

STSGX

STSGX Risk / Return Rank: 30
STSGX Sharpe Ratio Rank: 28
STSGX Sortino Ratio Rank: 27
STSGX Omega Ratio Rank: 24
STSGX Calmar Ratio Rank: 36
STSGX Martin Ratio Rank: 36

NESGX

NESGX Risk / Return Rank: 94
NESGX Sharpe Ratio Rank: 98
NESGX Sortino Ratio Rank: 90
NESGX Omega Ratio Rank: 85
NESGX Calmar Ratio Rank: 97
NESGX Martin Ratio Rank: 98

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.

STSGX vs. NESGX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Beacon Stephens Small Cap Growth Fund (STSGX) and Needham Small Cap Growth Fund (NESGX). 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.

	STSGX	NESGX	Difference
Sharpe ratio: Return per unit of total volatility	1.45	4.08	-2.63
Sortino ratio: Return per unit of downside risk	2.09	4.47	-2.39
Omega ratio: Gain probability vs. loss probability	1.25	1.58	-0.33
Calmar ratio: Return relative to maximum drawdown	2.19	7.16	-4.98
Martin ratio: Return relative to average drawdown	7.79	29.70	-21.91
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

STSGX vs. NESGX - Sharpe Ratio Comparison

The current STSGX Sharpe Ratio is 1.45, which is lower than the NESGX Sharpe Ratio of 4.08. The chart below compares the historical Sharpe Ratios of STSGX and NESGX, 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

	STSGX	NESGX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.45	4.08	-2.63
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.27	0.34	-0.07
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.54	0.78	-0.24
Sharpe Ratio (All Time) Calculated using the full available price history	0.40	0.61	-0.21

Drawdowns

STSGX vs. NESGX - Drawdown Comparison

The maximum STSGX drawdown since its inception was -56.50%, which is greater than NESGX's maximum drawdown of -50.29%. Use the drawdown chart below to compare losses from any high point for STSGX and NESGX.

Drawdown Indicators

	STSGX	NESGX	Difference
Max Drawdown Largest peak-to-trough decline	-56.50%	-50.29%	-6.21%
Max Drawdown (1Y) Largest decline over 1 year	-12.89%	-17.16%	+4.27%
Max Drawdown (3Y) Largest decline over 3 years	-24.81%	-35.27%	+10.46%
Max Drawdown (5Y) Largest decline over 5 years	-37.43%	-50.05%	+12.62%
Max Drawdown (10Y) Largest decline over 10 years	-37.66%	-50.29%	+12.63%
Current Drawdown Current decline from peak	-0.87%	-0.81%	-0.06%
Average Drawdown Average peak-to-trough decline	-11.72%	-11.66%	-0.06%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.62%	4.13%	-0.51%

Volatility

STSGX vs. NESGX - Volatility Comparison

The current volatility for American Beacon Stephens Small Cap Growth Fund (STSGX) is 4.93%, while Needham Small Cap Growth Fund (NESGX) has a volatility of 8.83%. This indicates that STSGX experiences smaller price fluctuations and is considered to be less risky than NESGX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	STSGX	NESGX	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.93%	8.83%	-3.90%
Volatility (6M) Calculated over the trailing 6-month period	14.35%	21.09%	-6.74%
Volatility (1Y) Calculated over the trailing 1-year period	19.49%	30.26%	-10.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.92%	29.27%	-6.35%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.78%	25.83%	-3.05%

STSGX vs. NESGX - Expense Ratio Comparison

STSGX has a 1.30% expense ratio, which is lower than NESGX's 1.85% expense ratio.

Dividends

STSGX vs. NESGX - Dividend Comparison

STSGX's dividend yield for the trailing twelve months is around 10.11%, while NESGX has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NESGX Needham Small Cap Growth Fund	0.00%	0.00%	0.00%	0.00%	4.16%	25.09%	13.69%	8.43%	22.26%	8.94%	6.67%	2.52%
STSGX American Beacon Stephens Small Cap Growth Fund	10.11%	11.53%	8.27%	1.52%	15.04%	23.70%	11.41%	11.76%	45.22%	3.68%	0.88%	5.01%

Frequently Asked Questions

Can I hold both STSGX and NESGX in my portfolio?

STSGX and NESGX have a correlation of 0.83, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, STSGX or NESGX?

NESGX has higher volatility (8.83%) compared to STSGX (4.93%). In terms of maximum drawdown, STSGX dropped -56.50% vs NESGX's -50.29%.

Which has better risk-adjusted returns?

NESGX currently has the higher Sharpe Ratio (4.08 vs 1.45), 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.