Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricAUGMVYMWinner
Expense Ratio0.85%0.04%
AUM$32M$79.0B
Dividend Yield0.00%2.86%
Holdings5568
YTD Return+3.81%+15.80%
1Y Return+6.25%+26.12%
3Y Return (annualized)-+18.25%
5Y Return (annualized)-+12.51%
Volatility (annualized)2.8%14.6%
Max Drawdown-4.3%-58.8%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryAlternativeEquity
InceptionAug 16, 2024Nov 10, 2006

AUGM vs VYM Performance

FT Vest US Equity Max Buffer ETF - August (AUGM) is a ETF from First Trust Portfolios (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year AUGM returned +6.25% while VYM returned +26.12%. Year to date, AUGM is up 3.81% versus a gain of 15.80% for VYM.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 2.8% for AUGM. 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 -4.3% for AUGM and -58.8% for VYM. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.72. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

AUGM charges 0.85% per year while VYM charges 0.04%. On a $10,000 position that is $85 vs $4 annually, a gap of $81 per year that compounds over a long holding period. On income, AUGM currently yields 0.00% against 2.86% for VYM.

Frequently Asked Questions

Which is cheaper, AUGM or VYM?

AUGM has an expense ratio of 0.85% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $81 per year of difference.

Which performed better, AUGM or VYM?

Over the past year AUGM returned +6.25% vs +26.12% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), AUGM annualized +6.52% vs +7.07% for VYM. Past performance does not guarantee future results.

Which is riskier, AUGM or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 2.8% for AUGM. Worst drawdown: AUGM -4.3% vs VYM -58.8%.

Should I hold both AUGM and VYM?

AUGM and VYM have a monthly-return correlation of 0.72, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, AUGM or VYM?

AUGM yields 0.00% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.

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