FNGD vs NCZ: Correlation
How closely do MicroSectors FANG Index -3X Inverse Leveraged ETNs due (FNGD) and Virtus Convertible & Income Fund II (NCZ) trade together? Their weekly returns over three years give a correlation of -0.59, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FNGD and NCZ?
Over the past 3 years, FNGD and NCZ moved with a correlation of -0.59, which is negative, meaning they tend to move in opposite directions. Recent behaviour matches the longer record: -0.64 over 1 year against -0.59 over 3. Over 5 years the correlation is -0.62, and the annualized covariance of weekly returns is -848.4 %².
By 3-year correlation, NCZ places #1668 of the 1743 assets tracked against FNGD. Their recent paths diverged sharply: over the last 12 months NCZ outperformed by 83.9 percentage points (-55.7% for FNGD against +28.2% for NCZ). Note the risk asymmetry: FNGD runs 4.0 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
FNGD vs NCZ: side by side
| FNGD (MicroSectors FANG Index -3X Inverse Leveraged ETNs due) | NCZ (Virtus Convertible & Income Fund II) | |
|---|---|---|
| 1-year return | -55.7% | +28.2% |
| 5-year return | -99.4% | +29.5% |
| Volatility (ann.) | 75.7% | 18.8% |
| Beta vs S&P 500 | -4.54 | 0.94 |
| Max drawdown (3Y) | -97.6% | -19.5% |
| Market cap | – | $0.3B |
| P/E (trailing) | 20.6 | 4.3 |
| Dividend yield | 0.00% | 9.33% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | FNGD | NCZ |
|---|---|---|
| 2022 | +52.2% | -35.8% |
| 2023 | -90.1% | +17.8% |
| 2024 | -76.6% | +18.4% |
| 2025 | -61.4% | +23.2% |
| 2026 | -49.5% | +21.0% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FNGD and NCZ good diversifiers for each other?
By historical standards, yes. A correlation of -0.59 means the two rarely move for the same reasons.
FAQ
What is the correlation between FNGD and NCZ?
Using weekly returns as of 2026-08-27: -0.59 over 3 years, with -0.64 over the last year and -0.62 over 5 years.
Is NCZ a good diversifier for FNGD?
By historical standards, yes. A correlation of -0.59 means the two rarely move for the same reasons.
What does a correlation of -0.59 mean?
On the −1 to +1 scale, -0.59 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/fngd-vs-ncz.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/fngd-vs-ncz/)
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Related comparisons
Hubs: FNGD correlations · NCZ correlations
