DFE vs VYM
WisdomTree Europe SmallCap Dividend Fund vs Vanguard High Dividend Yield ETF
Which is better, DFE or VYM?
Small Cap Blend against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. DFE is less concentrated, with 14.7% of the fund in its ten largest positions against 25.9%.
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 | DFE | VYM |
|---|---|---|
| Expense Ratio | 0.58% | 0.04%Best |
| AUM | $168M | $81.6B |
| Dividend Yield | 3.95% | 2.24% |
| Holdings | 381 | 613 |
| YTD Return | +10.99% | +14.82%Best |
| 1Y Return | +17.13% | +20.84%Best |
| 3Y Return (annualized) | +17.30% | +18.64%Best |
| 5Y Return (annualized) | +4.54% | +12.28%Best |
| Volatility (annualized) | 22.1% | 14.5%Best |
| Max Drawdown | -74.3% | -58.8%Best |
| $10,000 over 5 years | $12,486 | $17,845Best |
| Top 10 Weight | 14.7%Best | 25.9% |
| Fund Family | WisdomTree Investments | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Value |
| Inception | Jun 16, 2006 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 4, 2026 (19.8 years).
DFE 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 19.8 years both funds cover.
DFE vs VYM Performance
WisdomTree Europe SmallCap Dividend Fund (DFE) is an ETF from WisdomTree Investments and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year DFE returned +17.13% while VYM returned +20.84%. Year to date, DFE is up 10.99% versus a gain of 14.82% for VYM.
Over three years, DFE compounded at +17.30% per year against +18.64% for VYM; over five years the annualized figures are +4.54% and +12.28% respectively. Across the full 20-year window we track, VYM has the edge at +7.00% annualized vs +2.52%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
DFE has been the more volatile fund, with annualized monthly volatility of 22.1% compared with 14.5% 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 -74.3% for DFE and -58.8% 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 0.77. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
DFE charges 0.58% per year while VYM charges 0.04%. On a $10,000 position that is $58 vs $4 annually, a gap of $54 per year that compounds over a long holding period. On income, DFE currently yields 3.95% against 2.24% for VYM.
Holdings Overlap
We hold position weights for 369 holdings in DFE and 603 in VYM, totalling 98.1% 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 369 positions we hold weights for in DFE and 603 in VYM, against full books of 381 and 613.
What only one of them owns
Our book lists 570 positions for VYM that do not appear in our book for DFE (97.4% of the fund), and 3 for DFE that do not appear in VYM (0.6%).
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 DFE 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, DFE or VYM?
DFE has an expense ratio of 0.58% while VYM charges 0.04%. VYM is the cheaper option, by $54 a year on a $10,000 investment.
Which performed better, DFE or VYM?
Over the past year DFE returned +17.13% vs +20.84% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), DFE annualized +2.52% vs +7.00% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DFE or VYM?
DFE has been the more volatile fund at 22.1% annualized versus 14.5% for VYM. Worst drawdown: DFE -74.3% vs VYM -58.8%.
Should I hold both DFE and VYM?
DFE and VYM have a monthly-return correlation of 0.77, 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, DFE or VYM?
DFE yields 3.95% while VYM yields 2.24%, so DFE currently pays the higher dividend yield.
Is VYM better than DFE?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. DFE is less concentrated, with 14.7% of the fund in its ten largest positions against 25.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.