AFLG vs VYM
First Trust Active Factor Large Cap ETF vs Vanguard High Dividend Yield ETF
Which is better, AFLG or VYM?
Large Cap Blend against Large Cap Value.
VYM has a lower expense ratio. AFLG led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 33.3%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | AFLG | VYM |
|---|---|---|
| Expense Ratio | 0.55% | 0.04%Best |
| AUM | $784M | $81.6B |
| Dividend Yield | 0.71% | 2.22% |
| Holdings | 432 | 613 |
| YTD Return | +12.58%Best | +11.71% |
| 1Y Return | +16.51%Best | +16.24% |
| 3Y Return (annualized) | +21.40%Best | +17.24% |
| 5Y Return (annualized) | +12.03%Best | +11.86% |
| Volatility (annualized) | 16.7% | 15.7%Best |
| Max Drawdown | -35.8% | -35.7%Best |
| $10,000 over 5 years | $17,647Best | $17,514 |
| Top 10 Weight | 33.3% | 26.1%Best |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Dec 4, 2019 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Dec 4, 2019 to Sep 16, 2026 (6.8 years).
AFLG vs VYM growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 6.8 years both funds cover.
AFLG vs VYM Performance
First Trust Active Factor Large Cap ETF (AFLG) is an ETF from First Trust Portfolios (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year AFLG returned +16.51% while VYM returned +16.24%. Year to date, AFLG is up 12.58% versus a gain of 11.71% for VYM.
Over three years, AFLG compounded at +21.40% per year against +17.24% for VYM; over five years the annualized figures are +12.03% and +11.86% respectively. Across the full 7-year window we track, AFLG has the edge at +13.35% annualized vs +11.18%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
AFLG has been the more volatile fund, with annualized monthly volatility of 16.7% compared with 15.7% for VYM. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -35.8% for AFLG and -35.7% for VYM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
AFLG charges 0.55% per year while VYM charges 0.04%. On a $10,000 position that is $55 vs $4 annually, a gap of $51 per year that compounds over a long holding period. On income, AFLG currently yields 0.71% against 2.22% for VYM.
Holdings Overlap
41.3% of AFLG's money is in holdings VYM also owns. 42.8% of VYM's money is in holdings AFLG also owns.
The two portfolios partly overlap.
107 positions in common, counted across the 215 positions we hold weights for in AFLG and 557 in VYM, against full books of 432 and 613.
What only one of them owns
Our book lists 422 positions for VYM that do not appear in our book for AFLG (54.7% of the fund), and 105 for AFLG that do not appear in VYM (56.6%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in AFLG | Weight in VYM | Difference |
|---|---|---|---|
| AVGOBroadcom Inc | 2.54% | 7.35% | 4.81% |
| XOMExxon Mobil Corp. | 1.01% | 2.63% | 1.62% |
| JNJJohnson & Johnson - Common | 0.61% | 2.51% | 1.90% |
| CSCOCisco Systems Inc. - Ordinary Shares | 0.98% | 1.86% | 0.88% |
| ABBVAbbvie Inc. | 0.42% | 1.80% | 1.38% |
| CATCaterpillar, Inc. | 0.56% | 1.50% | 0.94% |
| CVXChevron Corp | 0.49% | 1.48% | 0.99% |
| UNHUnitedhealth Group Incorporated | 0.45% | 1.52% | 1.07% |
| MRKMerck & Company Inc | 0.42% | 1.31% | 0.89% |
| NEMNewmont Corp Common | 1.07% | 0.41% | 0.66% |
42.8% of VYM is already inside AFLG.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, AFLG or VYM?
AFLG has an expense ratio of 0.55% while VYM charges 0.04%. VYM is the cheaper option, by $51 a year on a $10,000 investment.
Which performed better, AFLG or VYM?
Over the past year AFLG returned +16.51% vs +16.24% for VYM, so AFLG leads on 1-year performance. Over the longest common window we track (7 years), AFLG annualized +13.35% vs +11.18% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, AFLG or VYM?
AFLG has been the more volatile fund at 16.7% annualized versus 15.7% for VYM. Worst drawdown: AFLG -35.8% vs VYM -35.7%.
Should I hold both AFLG and VYM?
AFLG and VYM have a monthly-return correlation of 0.92, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between AFLG and VYM?
42.8% of VYM's money is in holdings AFLG also owns. 42.8% of VYM's is in holdings AFLG also owns. They hold 107 positions in common, counted across the 215 positions we hold weights for in AFLG and 557 in VYM.
Which pays a higher dividend, AFLG or VYM?
AFLG yields 0.71% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.
Is VYM better than AFLG?
VYM has a lower expense ratio. AFLG led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 33.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.