MUC vs NAZ: Correlation
Blackrock MuniHoldings California Quality Fund, Inc. (MUC) and Nuveen Arizona Quality Municipal Income Fund (NAZ) show a strong relationship: their 3-year correlation of weekly returns is 0.63.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are MUC and NAZ?
Over the past 3 years, MUC and NAZ moved with a correlation of 0.63, which is strong. The past 12 months show a weaker link (0.30) than the 3-year average (0.63). Over 5 years the correlation is 0.57, and the annualized covariance of weekly returns is 81.1 %².
Among the 15 assets we track against MUC, NAZ ranks #10 by 3-year correlation. Twelve-month performance is nearly a tie, at +10.9% for MUC and +10.9% for NAZ.
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.
MUC vs NAZ: side by side
| MUC (Blackrock MuniHoldings California Quality Fund, Inc.) | NAZ (Nuveen Arizona Quality Municipal Income Fund) | |
|---|---|---|
| 1-year return | +10.9% | +10.9% |
| 5-year return | -13.2% | +0.2% |
| Volatility (ann.) | 10.9% | 11.7% |
| Beta vs S&P 500 | 0.25 | 0.25 |
| Max drawdown (3Y) | -10.7% | -13.8% |
| Market cap | $1.0B | – |
| P/E (trailing) | 46.3 | 22.0 |
| Dividend yield | 6.04% | 6.73% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | MUC | NAZ |
|---|---|---|
| 2022 | -26.8% | -27.2% |
| 2023 | +7.9% | -0.5% |
| 2024 | +0.8% | +13.0% |
| 2025 | +6.0% | +12.1% |
| 2026 | +4.6% | +8.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are MUC and NAZ good diversifiers for each other?
Only partially. A correlation of 0.63 means MUC and NAZ share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between MUC and NAZ?
The MUC/NAZ correlation stands at 0.63 on a 3-year window (1 year: 0.30, 5 years: 0.57), computed from weekly returns as of 2026-08-27.
Is NAZ a good diversifier for MUC?
Only partially. A correlation of 0.63 means MUC and NAZ share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.63 mean?
On the −1 to +1 scale, 0.63 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/muc-vs-naz.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/muc-vs-naz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: MUC correlations · NAZ correlations
