CARU vs VYM
MAX Auto Industry 3X Leveraged ETN vs Vanguard High Dividend Yield ETF
Which is better, CARU or VYM?
Multi Alternative against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. VYM is less concentrated, with 25.8% of the fund in its ten largest positions against 78.4%.
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 | CARU | VYM |
|---|---|---|
| Expense Ratio | 0.95% | 0.04%Best |
| AUM | $3M | $78.9B |
| Dividend Yield | 0.00% | 2.37% |
| Holdings | 24 | 608 |
| YTD Return | -42.04% | +14.51%Best |
| 1Y Return | -45.45% | +17.17%Best |
| 3Y Return (annualized) | +10.18% | +21.04%Best |
| 5Y Return (annualized) | - | +11.83% |
| Volatility (annualized) | 64.9% | 11.4%Best |
| Max Drawdown | -66.4% | -14.5%Best |
| $10,000 over 3.3 years | $6,632 | $16,964Best |
| Top 10 Weight | 78.4% | 25.8%Best |
| Fund Family | BMO Capital Markets | Vanguard (US) |
| Category | Alternative | Equity |
| Style | Multi Alternative | Large Cap Value |
| Inception | Jun 30, 2023 | Nov 10, 2006 |
Volatility and max drawdown, and the $10,000 over 3.3 years row, are measured over the window both funds cover: Jun 28, 2023 to Oct 27, 2026 (3.3 years).
CARU 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 3.3 years both funds cover.
CARU vs VYM Performance
MAX Auto Industry 3X Leveraged ETN (CARU) is an ETF from BMO Capital Markets and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year CARU returned -45.45% while VYM returned +17.17%. Year to date, CARU is down 42.04% versus a gain of 14.51% for VYM.
Over three years, CARU compounded at +10.18% per year against +21.04% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
CARU has been the more volatile fund, with annualized monthly volatility of 64.9% compared with 11.4% 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 -66.4% for CARU 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 0.69. They move together some of the time, and apart the rest.
Fees and Cost Over Time
CARU charges 0.95% per year while VYM charges 0.04%. On a $10,000 position that is $95 vs $4 annually, a gap of $91 per year that compounds over a long holding period. On income, CARU currently yields 0.00% against 2.37% for VYM.
Holdings Overlap
16.8% of CARU's money is in holdings VYM also owns. 0.3% of VYM's money is in holdings CARU also owns.
CARU and VYM share little of their money.
4 positions in common, counted across the 24 positions we hold weights for in CARU and 602 in VYM, against full books of 24 and 608.
What only one of them owns
Our book lists 571 positions for VYM that do not appear in our book for CARU (98.0% of the fund), and 17 for CARU that do not appear in VYM (74.8%).
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.
You are not choosing between two funds in isolation.
Whichever of CARU and VYM you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, CARU or VYM?
CARU has an expense ratio of 0.95% while VYM charges 0.04%. VYM is the cheaper option, by $91 a year on a $10,000 investment.
Which performed better, CARU or VYM?
Over the past year CARU returned -45.45% vs +17.17% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, CARU or VYM?
CARU has been the more volatile fund at 64.9% annualized versus 11.4% for VYM. Worst drawdown: CARU -66.4% vs VYM -14.5%.
Should I hold both CARU and VYM?
CARU and VYM have a monthly-return correlation of 0.69, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between CARU and VYM?
16.8% of CARU's money is in holdings VYM also owns. 0.3% of VYM's is in holdings CARU also owns. They hold 4 positions in common, counted across the 24 positions we hold weights for in CARU and 602 in VYM.
Which pays a higher dividend, CARU or VYM?
CARU yields 0.00% while VYM yields 2.37%, so VYM currently pays the higher dividend yield.
Is VYM better than CARU?
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. VYM is less concentrated, with 25.8% of the fund in its ten largest positions against 78.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.