NZF vs VXZ: Correlation
How closely do Nuveen Municipal Credit Income Fund (NZF) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) trade together? Their weekly returns over three years give a correlation of -0.34, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are NZF and VXZ?
Across a 3-year window, the weekly returns of NZF and VXZ correlate at -0.34, negative, meaning they tend to move in opposite directions. Little has changed lately, as the 1-year reading of -0.34 lands near the 3-year figure. Stretching to 5 years gives -0.31, with an annualized covariance of -101.7 %².
Out of 25 assets tracked against NZF, VXZ lands near the bottom at #25. The last year tells two different stories: NZF led by 26.9 percentage points, +10.8% for NZF against -16.1% for VXZ. Note the risk asymmetry: VXZ runs 2.2 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.
NZF vs VXZ: side by side
| NZF (Nuveen Municipal Credit Income Fund) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +10.8% | -16.1% |
| 5-year return | -4.1% | -53.1% |
| Volatility (ann.) | 11.6% | 25.6% |
| Beta vs S&P 500 | 0.30 | -1.31 |
| Max drawdown (3Y) | -12.4% | -36.4% |
| Market cap | $2.4B | – |
| P/E (trailing) | 13.5 | – |
| Dividend yield | 7.80% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | NZF | VXZ |
|---|---|---|
| 2022 | -25.5% | +0.5% |
| 2023 | +2.5% | -44.0% |
| 2024 | +10.1% | -12.7% |
| 2025 | +11.8% | +5.7% |
| 2026 | +2.4% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are NZF and VXZ good diversifiers for each other?
Yes. With a correlation of -0.34, NZF and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between NZF and VXZ?
As of 2026-08-27, the correlation of weekly returns between NZF and VXZ is -0.34 over 3 years, -0.34 over 1 year and -0.31 over 5 years.
Is VXZ a good diversifier for NZF?
Yes. With a correlation of -0.34, NZF and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.34 mean?
On the −1 to +1 scale, -0.34 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/nzf-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/nzf-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: NZF correlations · VXZ correlations
