ECAT vs VYM
BlackRock ESG Capital Allocation Term Trust vs Vanguard High Dividend Yield ETF
Quick Verdict
VYM has a lower expense ratio. VYM delivered stronger 1-year returns. ECAT offers more diversification with 1,008 holdings.
Side-by-Side Comparison
| Metric | ECAT | VYM | Winner |
|---|---|---|---|
| Expense Ratio | 1.43% | 0.04% | |
| AUM | $1.6B | $81.6B | |
| Dividend Yield | 22.11% | 2.24% | |
| Holdings | 1,008 | 616 | |
| YTD Return | +13.95% | +14.84% | |
| 1Y Return | +14.48% | +20.88% | |
| 3Y Return (annualized) | +20.43% | +18.34% | |
| 5Y Return (annualized) | +9.54% | +12.04% | |
| Volatility (annualized) | 17.7% | 14.6% | |
| Max Drawdown | -32.2% | -58.8% | |
| Fund Family | BlackRock, Inc. (US) | Vanguard (US) | |
| Category | Allocation/Balanced | Equity | |
| Inception | Sep 28, 2021 | Nov 10, 2006 |
ECAT vs VYM Performance
BlackRock ESG Capital Allocation Term Trust (ECAT) is a ETF from BlackRock, Inc. (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year ECAT returned +14.48% while VYM returned +20.88%. Year to date, ECAT is up 13.95% versus a gain of 14.84% for VYM.
Over three years, ECAT compounded at +20.43% per year against +18.34% for VYM; over five years the annualized figures are +9.54% and +12.04% respectively. Across the full 5-year window we track, ECAT has the edge at +9.54% annualized vs +7.01%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ECAT has been the more volatile fund, with annualized monthly volatility of 17.7% compared with 14.6% 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 -32.2% for ECAT and -58.8% for VYM. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.
The two funds' monthly returns correlate at 0.72. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ECAT charges 1.43% per year while VYM charges 0.04%. On a $10,000 position that is $143 vs $4 annually, a gap of $139 per year that compounds over a long holding period. On income, ECAT currently yields 22.11% against 2.24% for VYM.
Holdings Overlap
ECAT and VYM share 32 holdings out of 1121 unique holdings combined, representing a 12.2% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, ECAT or VYM?
ECAT has an expense ratio of 1.43% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $139 per year of difference.
Which performed better, ECAT or VYM?
Over the past year ECAT returned +14.48% vs +20.88% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (5 years), ECAT annualized +9.54% vs +7.01% for VYM. Past performance does not guarantee future results.
Which is riskier, ECAT or VYM?
ECAT has been the more volatile fund at 17.7% annualized versus 14.6% for VYM. Worst drawdown: ECAT -32.2% vs VYM -58.8%.
Should I hold both ECAT and VYM?
ECAT and VYM have a monthly-return correlation of 0.72, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between ECAT and VYM?
ECAT and VYM share 32 common holdings with a 12.2% weight overlap. Combined, they hold 1121 unique securities.
Which pays a higher dividend, ECAT or VYM?
ECAT yields 22.11% while VYM yields 2.24%, so ECAT currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.