ESGE vs VYM
iShares ESG Aware MSCI EM ETF vs Vanguard High Dividend Yield ETF
Quick Verdict
VYM has a lower expense ratio. ESGE delivered stronger 1-year returns. VYM offers more diversification with 616 holdings.
Side-by-Side Comparison
| Metric | ESGE | VYM | Winner |
|---|---|---|---|
| Expense Ratio | 0.25% | 0.04% | |
| AUM | $6.9B | $81.6B | |
| Dividend Yield | 2.23% | 2.24% | |
| Holdings | 332 | 616 | |
| YTD Return | +18.72% | +16.42% | |
| 1Y Return | +35.36% | +24.22% | |
| 3Y Return (annualized) | +23.30% | +19.03% | |
| 5Y Return (annualized) | +7.97% | +12.21% | |
| Volatility (annualized) | 17.1% | 14.6% | |
| Max Drawdown | -41.1% | -58.8% | |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Jun 28, 2016 | Nov 10, 2006 |
ESGE vs VYM Performance
iShares ESG Aware MSCI EM ETF (ESGE) is a ETF from iShares by BlackRock (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year ESGE returned +35.36% while VYM returned +24.22%. Year to date, ESGE is up 18.72% versus a gain of 16.42% for VYM.
Over three years, ESGE compounded at +23.30% per year against +19.03% for VYM; over five years the annualized figures are +7.97% and +12.21% respectively. Across the full 10-year window we track, ESGE has the edge at +8.43% annualized vs +7.10%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ESGE has been the more volatile fund, with annualized monthly volatility of 17.1% 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 -41.1% for ESGE 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 0.64. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
ESGE charges 0.25% per year while VYM charges 0.04%. On a $10,000 position that is $25 vs $4 annually, a gap of $21 per year that compounds over a long holding period. On income, ESGE currently yields 2.23% against 2.24% for VYM.
Holdings Overlap
Frequently Asked Questions
Which is cheaper, ESGE or VYM?
ESGE has an expense ratio of 0.25% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $21 per year of difference.
Which performed better, ESGE or VYM?
Over the past year ESGE returned +35.36% vs +24.22% for VYM, so ESGE leads on 1-year performance. Over the longest common window we track (10 years), ESGE annualized +8.43% vs +7.10% for VYM. Past performance does not guarantee future results.
Which is riskier, ESGE or VYM?
ESGE has been the more volatile fund at 17.1% annualized versus 14.6% for VYM. Worst drawdown: ESGE -41.1% vs VYM -58.8%.
Should I hold both ESGE and VYM?
ESGE and VYM have a monthly-return correlation of 0.64, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between ESGE and VYM?
ESGE and VYM share 2 common holdings with a 0.2% weight overlap. Combined, they hold 886 unique securities.
Which pays a higher dividend, ESGE or VYM?
ESGE yields 2.23% while VYM yields 2.24%, so VYM 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.