NAC vs NEA: Correlation
Measured on weekly returns over the past three years, Nuveen California Quality Municipal Income Fund (NAC) and Nuveen AMT-Free Quality Municipal Income Fund (NEA) carry a correlation of 0.83, a very strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are NAC and NEA?
Across a 3-year window, the weekly returns of NAC and NEA correlate at 0.83, very strong, meaning they move nearly in lockstep. The link has loosened recently: the 1-year correlation (0.63) runs below the 3-year figure (0.83). Stretching to 5 years gives 0.80, with an annualized covariance of 94.5 %².
Within NAC's tracked universe of 15 assets, NEA comes in at #4 by 3-year correlation. Neither side won the trailing year by much: +12.8% against +10.4%.
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.
NAC vs NEA: side by side
| NAC (Nuveen California Quality Municipal Income Fund) | NEA (Nuveen AMT-Free Quality Municipal Income Fund) | |
|---|---|---|
| 1-year return | +12.8% | +10.4% |
| 5-year return | -0.8% | -4.4% |
| Volatility (ann.) | 10.5% | 10.9% |
| Beta vs S&P 500 | 0.21 | 0.28 |
| Max drawdown (3Y) | -9.6% | -11.3% |
| Market cap | – | $3.4B |
| P/E (trailing) | – | 14.5 |
| Dividend yield | 7.63% | 7.70% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | NAC | NEA |
|---|---|---|
| 2022 | -25.6% | -23.3% |
| 2023 | +4.5% | +0.8% |
| 2024 | +8.7% | +9.5% |
| 2025 | +13.1% | +11.3% |
| 2026 | +4.3% | +1.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are NAC and NEA good diversifiers for each other?
No. With a correlation of 0.83, NAC and NEA move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between NAC and NEA?
Using weekly returns as of 2026-08-27: 0.83 over 3 years, with 0.63 over the last year and 0.80 over 5 years.
Is NEA a good diversifier for NAC?
No. With a correlation of 0.83, NAC and NEA move nearly in lockstep, so holding both adds very little diversification.
What does a correlation of 0.83 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/nac-vs-nea.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/nac-vs-nea/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: NAC correlations · NEA correlations
