BYLD vs VYM

BYLD vs VYM

Which is better, BYLD or VYM?

VYM has been ahead.

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 94.8%.

Lower Fees: VYMHigher Returns: VYMLess Concentrated: 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

MetricBYLDVYM
Expense Ratio0.13%0.04%Best
AUM$447M$81.6B
Dividend Yield5.41%2.22%
Holdings13613
YTD Return-0.37%+13.15%Best
1Y Return+0.87%+17.82%Best
3Y Return (annualized)+5.83%+17.99%Best
5Y Return (annualized)+1.59%+12.16%Best
Volatility (annualized)4.6%Best13.6%
Max Drawdown-15.9%Best-35.7%
$10,000 over 5 years$10,821$17,750Best
Top 10 Weight94.8%25.9%Best
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryFixed IncomeEquity
Style-Large Cap Value
InceptionApr 22, 2014Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Apr 24, 2014 to Sep 10, 2026 (12.4 years).

BYLD 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

BYLD vs VYM Performance

iShares Yield Optimized Bond ETF (BYLD) is an ETF from iShares by BlackRock (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year BYLD returned +0.87% while VYM returned +17.82%. Year to date, BYLD is down 0.37% versus a gain of 13.15% for VYM.

Over three years, BYLD compounded at +5.83% per year against +17.99% for VYM; over five years the annualized figures are +1.59% and +12.16% respectively. Across the full 12-year window we track, VYM has the edge at +9.21% annualized vs +0.87%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 4.6% for BYLD. 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 -15.9% for BYLD 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 0.57. They move together some of the time, and apart the rest.

Fees and Cost Over Time

BYLD charges 0.13% per year while VYM charges 0.04%. On a $10,000 position that is $13 vs $4 annually, a gap of $9 per year that compounds over a long holding period. On income, BYLD currently yields 5.41% against 2.22% for VYM.

Holdings Overlap

We hold position weights for 13 holdings in BYLD and 603 in VYM, totalling 100.0% 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 13 positions we hold weights for in BYLD and 603 in VYM, against full books of 13 and 613.

What only one of them owns

Measured across the 13 and 603 positions we hold weights for.

VYM holds 568 positions BYLD does not, 97.5% of the fund.

Largest: AVGO 7.29%, JPM 3.38%, JNJ 2.54%, XOM 2.36%, CAT 2.01%

You are not choosing between two funds in isolation.

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

BYLDVYM

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Frequently Asked Questions

Which is cheaper, BYLD or VYM?

BYLD has an expense ratio of 0.13% while VYM charges 0.04%. VYM is the cheaper option, by $9 a year on a $10,000 investment.

Which performed better, BYLD or VYM?

Over the past year BYLD returned +0.87% vs +17.82% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (12 years), BYLD annualized +0.87% vs +9.21% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, BYLD or VYM?

VYM has been the more volatile fund at 13.6% annualized versus 4.6% for BYLD. Worst drawdown: BYLD -15.9% vs VYM -35.7%.

Should I hold both BYLD and VYM?

BYLD and VYM have a monthly-return correlation of 0.57, 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, BYLD or VYM?

BYLD yields 5.41% while VYM yields 2.22%, so BYLD currently pays the higher dividend yield.

Is VYM better than BYLD?

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 94.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.