PCQ vs PML: Correlation
How closely do PIMCO California Municipal Income Fund (PCQ) and Pimco Municipal Income Fund II (PML) trade together? Their weekly returns over three years give a correlation of 0.80, which is very strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are PCQ and PML?
On 3 years of weekly data the PCQ/PML correlation comes out at 0.80, very strong, meaning they move nearly in lockstep. The relationship has been stable: the 1-year correlation (0.83) sits close to the 3-year figure. The 5-year figure is 0.57, and annualized covariance runs at 145.3 %².
By 3-year correlation, PML places #5 of the 10 assets tracked against PCQ. Their 12-month results are close: +11.3% for PCQ against +8.7% for PML.
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.
PCQ vs PML: side by side
| PCQ (PIMCO California Municipal Income Fund) | PML (Pimco Municipal Income Fund II) | |
|---|---|---|
| 1-year return | +11.3% | +8.7% |
| 5-year return | -40.9% | -34.6% |
| Volatility (ann.) | 12.5% | 14.5% |
| Beta vs S&P 500 | 0.25 | 0.30 |
| Max drawdown (3Y) | -17.4% | -21.5% |
| Market cap | – | – |
| P/E (trailing) | 291.0 | 735.0 |
| Dividend yield | 4.94% | 6.48% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | PCQ | PML |
|---|---|---|
| 2022 | -14.7% | -34.1% |
| 2023 | -35.4% | -3.0% |
| 2024 | +1.5% | +3.0% |
| 2025 | +1.5% | -0.8% |
| 2026 | +3.3% | +1.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are PCQ and PML good diversifiers for each other?
No. With a correlation of 0.80, PCQ and PML move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between PCQ and PML?
Using weekly returns as of 2026-08-27: 0.80 over 3 years, with 0.83 over the last year and 0.57 over 5 years.
Is PML a good diversifier for PCQ?
No. With a correlation of 0.80, PCQ and PML move nearly in lockstep, so holding both adds very little diversification.
What does a correlation of 0.80 mean?
On the −1 to +1 scale, 0.80 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/pcq-vs-pml.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/pcq-vs-pml/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: PCQ correlations · PML correlations
