NFJ vs TROW: Correlation
Measured on weekly returns over the past three years, Virtus Dividend, Interest & Premium Strategy Fund (NFJ) and T. Rowe Price (TROW) carry a correlation of 0.67, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are NFJ and TROW?
Over the past 3 years, NFJ and TROW moved with a correlation of 0.67, which is strong. Lately the two have drifted apart, with the 1-year correlation at 0.42 versus 0.67 over 3 years. Over 5 years the correlation is 0.75, and the annualized covariance of weekly returns is 218.3 %².
Among the 34 assets we track against NFJ, TROW ranks #14 by 3-year correlation. The last year tells two different stories: NFJ led by 22.9 percentage points, +31.0% for NFJ against +8.1% for TROW. Risk is not evenly split, since TROW carries 1.7 times the volatility of the other side.
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.
NFJ vs TROW: side by side
| NFJ (Virtus Dividend, Interest & Premium Strategy Fund) | TROW (T. Rowe Price) | |
|---|---|---|
| 1-year return | +31.0% | +8.1% |
| 5-year return | +50.8% | -37.0% |
| Volatility (ann.) | 13.8% | 23.5% |
| Beta vs S&P 500 | 0.73 | 1.10 |
| Max drawdown (3Y) | -17.0% | -34.0% |
| Market cap | $1.5B | $24.0B |
| P/E (trailing) | 9.8 | 11.3 |
| Dividend yield | 7.83% | 4.57% |
| Sector / category | US Listed | Financials |
Year-by-year returns
| Year | NFJ | TROW |
|---|---|---|
| 2022 | -23.9% | -42.2% |
| 2023 | +21.3% | +3.4% |
| 2024 | +10.0% | +9.7% |
| 2025 | +12.4% | -4.7% |
| 2026 | +26.1% | +12.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are NFJ and TROW good diversifiers for each other?
Only partially. A correlation of 0.67 means NFJ and TROW 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 NFJ and TROW?
As of 2026-08-27, the correlation of weekly returns between NFJ and TROW is 0.67 over 3 years, 0.42 over 1 year and 0.75 over 5 years.
Is TROW a good diversifier for NFJ?
Only partially. A correlation of 0.67 means NFJ and TROW share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.67 mean?
On the −1 to +1 scale, 0.67 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/nfj-vs-trow.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/nfj-vs-trow/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: NFJ correlations · TROW correlations
