BSMY vs VYM

BSMY vs VYM

Which is better, BSMY or VYM?

Municipal Bond against Large Cap Value.

VYM has a lower expense ratio. VYM led over 1Y and the full window.

Lower Fees: VYMHigher Returns: VYM

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

MetricBSMYVYM
Expense Ratio0.18%0.04%Best
AUM$137M$81.6B
Dividend Yield3.70%2.22%
Holdings1,925613
YTD Return-3.00%+13.15%Best
1Y Return-0.27%+17.82%Best
3Y Return (annualized)-+17.99%
5Y Return (annualized)-+12.16%
Volatility (annualized)5.9%Best10.5%
Max Drawdown-6.8%Best-14.5%
$10,000 over 2 years$9,902$13,736Best
Fund FamilyInvesco (US)Vanguard (US)
CategoryFixed IncomeEquity
StyleMunicipal BondLarge Cap Value
InceptionSep 11, 2024Nov 10, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown, and the $10,000 over 2 years row, are measured over the window both funds cover: Sep 11, 2024 to Sep 10, 2026 (2 years).

BSMY 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 2 years both funds cover.

BSMY vs VYM Performance

Invesco BulletShares 2034 Municipal Bond ETF (BSMY) is an ETF from Invesco (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year BSMY returned -0.27% while VYM returned +17.82%. Year to date, BSMY is down 3.00% versus a gain of 13.15% for VYM.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 10.5% compared with 5.9% for BSMY. 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 -6.8% for BSMY and -14.5% 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 0.65. They move together some of the time, and apart the rest.

Fees and Cost Over Time

BSMY charges 0.18% per year while VYM charges 0.04%. On a $10,000 position that is $18 vs $4 annually, a gap of $14 per year that compounds over a long holding period. On income, BSMY currently yields 3.70% against 2.22% for VYM.

Holdings Overlap

We hold position weights for 543 holdings in BSMY and 603 in VYM, totalling 30.1% and 99.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 543 positions we hold weights for in BSMY and 603 in VYM, against full books of 1,925 and 613.

You are not choosing between two funds in isolation.

Whichever of BSMY and VYM you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

BSMYVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, BSMY or VYM?

BSMY has an expense ratio of 0.18% while VYM charges 0.04%. VYM is the cheaper option, by $14 a year on a $10,000 investment.

Which performed better, BSMY or VYM?

Over the past year BSMY returned -0.27% vs +17.82% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), BSMY annualized -0.49% vs +17.20% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, BSMY or VYM?

VYM has been the more volatile fund at 10.5% annualized versus 5.9% for BSMY. Worst drawdown: BSMY -6.8% vs VYM -14.5%.

Should I hold both BSMY and VYM?

BSMY and VYM have a monthly-return correlation of 0.65, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, BSMY or VYM?

BSMY yields 3.70% while VYM yields 2.22%, so BSMY currently pays the higher dividend yield.

Is VYM better than BSMY?

VYM has a lower expense ratio. VYM led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.