CUT vs VYM
Invesco MSCI Global Timber ETF vs Vanguard High Dividend Yield ETF
Which is better, CUT or VYM?
Mid Cap Value against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 51.5%.
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 | CUT | VYM |
|---|---|---|
| Expense Ratio | 0.76% | 0.04%Best |
| AUM | $31M | $81.6B |
| Dividend Yield | 2.41% | 2.22% |
| Holdings | 65 | 613 |
| YTD Return | -0.33% | +10.23%Best |
| 1Y Return | +1.18% | +14.28%Best |
| 3Y Return (annualized) | +0.78% | +17.50%Best |
| 5Y Return (annualized) | -3.13% | +11.60%Best |
| Volatility (annualized) | 22.9% | 14.8%Best |
| Max Drawdown | -70.0% | -57.3%Best |
| $10,000 over 5 years | $8,530 | $17,311Best |
| Top 10 Weight | 51.5% | 26.1%Best |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Value | Large Cap Value |
| Inception | Nov 9, 2007 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Nov 9, 2007 to Sep 23, 2026 (18.9 years).
CUT 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 18.9 years both funds cover.
CUT vs VYM Performance
Invesco MSCI Global Timber ETF (CUT) is an ETF from Invesco (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year CUT returned +1.18% while VYM returned +14.28%. Year to date, CUT is down 0.33% versus a gain of 10.23% for VYM.
Over three years, CUT compounded at +0.78% per year against +17.50% for VYM; over five years the annualized figures are -3.13% and +11.60% respectively. Across the full 19-year window we track, VYM has the edge at +7.01% annualized vs +2.85%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
CUT has been the more volatile fund, with annualized monthly volatility of 22.9% compared with 14.8% 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 -70.0% for CUT and -57.3% 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 0.82. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
CUT charges 0.76% per year while VYM charges 0.04%. On a $10,000 position that is $76 vs $4 annually, a gap of $72 per year that compounds over a long holding period. On income, CUT currently yields 2.41% against 2.22% for VYM.
Holdings Overlap
29.8% of CUT's money is in holdings VYM also owns. 0.3% of VYM's money is in holdings CUT also owns.
CUT and VYM share little of their money.
7 positions in common, counted across the 51 positions we hold weights for in CUT and 557 in VYM, against full books of 65 and 613.
What only one of them owns
Our book lists 522 positions for VYM that do not appear in our book for CUT (96.7% of the fund), and 3 for CUT that do not appear in VYM (15.1%).
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.
Top Shared Holdings
| Stock | Weight in CUT | Weight in VYM | Difference |
|---|---|---|---|
| IPInternational Paper Co. | 5.99% | 0.09% | 5.90% |
| AMCRAmcor Ltd. | 5.73% | 0.08% | 5.65% |
| PKGPackaging Corp. Of America | 5.28% | 0.09% | 5.19% |
| AVYAvery Dennison Corp. | 5.18% | 0.05% | 5.13% |
| SONSonoco Products Company | 4.22% | 0.02% | 4.20% |
| GPKGraphic Packaging Holding Co | 2.54% | 0.01% | 2.53% |
| SLVMSylvamo Corp Ordinary Shares When Issued | 0.90% | 0.00% | 0.90% |
29.8% of CUT is already inside VYM.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, CUT or VYM?
CUT has an expense ratio of 0.76% while VYM charges 0.04%. VYM is the cheaper option, by $72 a year on a $10,000 investment.
Which performed better, CUT or VYM?
Over the past year CUT returned +1.18% vs +14.28% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (19 years), CUT annualized +2.85% vs +7.01% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, CUT or VYM?
CUT has been the more volatile fund at 22.9% annualized versus 14.8% for VYM. Worst drawdown: CUT -70.0% vs VYM -57.3%.
Should I hold both CUT and VYM?
CUT and VYM have a monthly-return correlation of 0.82, 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 CUT and VYM?
29.8% of CUT's money is in holdings VYM also owns. 0.3% of VYM's is in holdings CUT also owns. They hold 7 positions in common, counted across the 51 positions we hold weights for in CUT and 557 in VYM.
Which pays a higher dividend, CUT or VYM?
CUT yields 2.41% while VYM yields 2.22%, so CUT currently pays the higher dividend yield.
Is VYM better than CUT?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 51.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.