BUSA vs VYM

Quick Verdict

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

Lower Fees: VYMHigher Returns: BUSAMore Diversified: VYM

Side-by-Side Comparison

MetricBUSAVYMWinner
Expense Ratio0.60%0.04%
AUM$311M$79.0B
Dividend Yield1.46%2.86%
Holdings65568
YTD Return+13.03%+16.10%
1Y Return+26.01%+25.99%
3Y Return (annualized)-+18.29%
5Y Return (annualized)-+12.35%
Volatility (annualized)12.2%14.6%
Max Drawdown-14.2%-58.8%
Fund FamilyBrandes Investment PartnersVanguard (US)
CategoryEquityEquity
InceptionOct 3, 2023Nov 10, 2006

BUSA vs VYM Performance

Brandes US Value ETF (BUSA) is a ETF from Brandes Investment Partners and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year BUSA returned +26.01% while VYM returned +25.99%. Year to date, BUSA is up 13.03% versus a gain of 16.10% for VYM.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 12.2% for BUSA. 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 -14.2% for BUSA 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

BUSA charges 0.60% per year while VYM charges 0.04%. On a $10,000 position that is $60 vs $4 annually, a gap of $56 per year that compounds over a long holding period. On income, BUSA currently yields 1.46% against 2.86% for VYM.

Holdings Overlap

16.2%overlap

BUSA and VYM share 35 holdings out of 587 unique holdings combined, representing a 16.2% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in BUSAWeight in VYMDifference
JPM:US1.05%3.36%2.31%
BAC2.77%1.39%1.38%
JNJ1.49%2.62%1.13%
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Frequently Asked Questions

Which is cheaper, BUSA or VYM?

BUSA has an expense ratio of 0.60% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $56 per year of difference.

Which performed better, BUSA or VYM?

Over the past year BUSA returned +26.01% vs +25.99% for VYM, so BUSA leads on 1-year performance. Over the longest common window we track (3 years), BUSA annualized +19.55% vs +7.08% for VYM. Past performance does not guarantee future results.

Which is riskier, BUSA or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 12.2% for BUSA. Worst drawdown: BUSA -14.2% vs VYM -58.8%.

Should I hold both BUSA and VYM?

BUSA and VYM have a monthly-return correlation of 0.95, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between BUSA and VYM?

BUSA and VYM share 35 common holdings with a 16.2% weight overlap. Combined, they hold 587 unique securities.

Which pays a higher dividend, BUSA or VYM?

BUSA yields 1.46% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.

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