DFAC vs VYM
Dimensional US Core Equity 2 ETF vs Vanguard High Dividend Yield ETF
Which is better, DFAC or VYM?
Large Cap Blend against Large Cap Value.
VYM has a lower expense ratio. DFAC led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 26.5%.
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 | DFAC | VYM |
|---|---|---|
| Expense Ratio | 0.17% | 0.04%Best |
| AUM | $48.8B | $81.6B |
| Dividend Yield | 0.89% | 2.22% |
| Holdings | 2,554 | 613 |
| YTD Return | +14.44%Best | +11.47% |
| 1Y Return | +18.01%Best | +15.94% |
| 3Y Return (annualized) | +21.09%Best | +18.03% |
| 5Y Return (annualized) | +12.57%Best | +12.35% |
| Volatility (annualized) | 15.6% | 13.6%Best |
| Max Drawdown | -23.1% | -15.8%Best |
| $10,000 over 5 years | $18,076Best | $17,901 |
| Top 10 Weight | 26.5% | 26.1%Best |
| Fund Family | Dimensional | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Oct 4, 2007 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Jun 14, 2021 to Sep 21, 2026 (5.3 years).
DFAC 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 5.3 years both funds cover.
DFAC vs VYM Performance
Dimensional US Core Equity 2 ETF (DFAC) is an ETF from Dimensional and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year DFAC returned +18.01% while VYM returned +15.94%. Year to date, DFAC is up 14.44% versus a gain of 11.47% for VYM.
Over three years, DFAC compounded at +21.09% per year against +18.03% for VYM; over five years the annualized figures are +12.57% and +12.35% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
DFAC has been the more volatile fund, with annualized monthly volatility of 15.6% compared with 13.6% 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 -23.1% for DFAC and -15.8% 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 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
DFAC charges 0.17% per year while VYM charges 0.04%. On a $10,000 position that is $17 vs $4 annually, a gap of $13 per year that compounds over a long holding period. On income, DFAC currently yields 0.89% against 2.22% for VYM.
Holdings Overlap
37.5% of DFAC's money is in holdings VYM also owns. 96.8% of VYM's money is in holdings DFAC also owns.
Most of VYM is already inside DFAC. Owning both mostly buys the same companies twice.
531 positions in common, counted across the 2,504 positions we hold weights for in DFAC and 557 in VYM, against full books of 2,554 and 613.
What only one of them owns
Our book lists 14 positions for VYM that do not appear in our book for DFAC (0.7% of the fund), and 963 for DFAC that do not appear in VYM (60.2%).
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 DFAC | Weight in VYM | Difference |
|---|---|---|---|
| AVGOBroadcom Inc | 1.33% | 7.35% | 6.02% |
| JPMJpmorgan Chase | 1.08% | 3.82% | 2.74% |
| XOMExxon Mobil Corp. | 0.83% | 2.63% | 1.80% |
| JNJJohnson & Johnson - Common | 0.85% | 2.51% | 1.66% |
| CSCOCisco Systems Inc. - Ordinary Shares | 0.50% | 1.86% | 1.36% |
| ABBVAbbvie Inc. | 0.43% | 1.80% | 1.37% |
| CVXChevron Corp | 0.53% | 1.48% | 0.95% |
| BACBank of America Corp.: Financials | 0.33% | 1.66% | 1.33% |
| CATCaterpillar, Inc. | 0.41% | 1.50% | 1.09% |
| PGProcter & Gamble Company | 0.46% | 1.37% | 0.91% |
96.8% of VYM is already inside DFAC.
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, DFAC or VYM?
DFAC has an expense ratio of 0.17% while VYM charges 0.04%. VYM is the cheaper option, by $13 a year on a $10,000 investment.
Which performed better, DFAC or VYM?
Over the past year DFAC returned +18.01% vs +15.94% for VYM, so DFAC leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DFAC or VYM?
DFAC has been the more volatile fund at 15.6% annualized versus 13.6% for VYM. Worst drawdown: DFAC -23.1% vs VYM -15.8%.
Should I hold both DFAC and VYM?
DFAC and VYM have a monthly-return correlation of 0.90, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between DFAC and VYM?
96.8% of VYM's money is in holdings DFAC also owns. 96.8% of VYM's is in holdings DFAC also owns. They hold 531 positions in common, counted across the 2,504 positions we hold weights for in DFAC and 557 in VYM.
Which pays a higher dividend, DFAC or VYM?
DFAC yields 0.89% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.
Is VYM better than DFAC?
VYM has a lower expense ratio. DFAC led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 26.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.