FBT vs VYM
First Trust NYSE Arca Biotechnology Index Fund vs Vanguard High Dividend Yield ETF
Which is better, FBT or VYM?
Mid Cap Growth against Large Cap Value.
VYM has a lower expense ratio. FBT led over 1Y, 3Y and the full window, VYM over 5Y. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 36.7%.
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 | FBT | VYM |
|---|---|---|
| Expense Ratio | 0.55% | 0.04%Best |
| AUM | $2.9B | $81.6B |
| Dividend Yield | 0.00% | 2.24% |
| Holdings | 62 | 613 |
| YTD Return | +30.43%Best | +14.82% |
| 1Y Return | +55.00%Best | +20.84% |
| 3Y Return (annualized) | +21.22%Best | +18.64% |
| 5Y Return (annualized) | +9.55% | +12.28%Best |
| Volatility (annualized) | 22.9% | 14.5%Best |
| Max Drawdown | -40.5%Best | -58.8% |
| $10,000 over 5 years | $15,778 | $17,845Best |
| Top 10 Weight | 36.7% | 25.9%Best |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Value |
| Inception | Jun 19, 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).
FBT 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.
FBT vs VYM Performance
First Trust NYSE Arca Biotechnology Index Fund (FBT) is an ETF from First Trust Portfolios (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year FBT returned +55.00% while VYM returned +20.84%. Year to date, FBT is up 30.43% versus a gain of 14.82% for VYM.
Over three years, FBT compounded at +21.22% per year against +18.64% for VYM; over five years the annualized figures are +9.55% and +12.28% respectively. Across the full 20-year window we track, FBT has the edge at +13.04% annualized vs +7.00%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FBT has been the more volatile fund, with annualized monthly volatility of 22.9% 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 -40.5% for FBT 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 0.55. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FBT charges 0.55% per year while VYM charges 0.04%. On a $10,000 position that is $55 vs $4 annually, a gap of $51 per year that compounds over a long holding period. On income, FBT currently yields 0.00% against 2.24% for VYM.
Holdings Overlap
7.1% of FBT's money is in holdings VYM also owns. 1.4% of VYM's money is in holdings FBT also owns.
FBT and VYM share little of their money.
2 positions in common, counted across the 30 positions we hold weights for in FBT and 603 in VYM, against full books of 62 and 613.
What only one of them owns
Our book lists 568 positions for VYM that do not appear in our book for FBT (96.0% of the fund), and 23 for FBT that do not appear in VYM (76.2%).
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.
You are not choosing between two funds in isolation.
Whichever of FBT 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, FBT or VYM?
FBT has an expense ratio of 0.55% while VYM charges 0.04%. VYM is the cheaper option, by $51 a year on a $10,000 investment.
Which performed better, FBT or VYM?
Over the past year FBT returned +55.00% vs +20.84% for VYM, so FBT leads on 1-year performance. Over the longest common window we track (20 years), FBT annualized +13.04% vs +7.00% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FBT or VYM?
FBT has been the more volatile fund at 22.9% annualized versus 14.5% for VYM. Worst drawdown: FBT -40.5% vs VYM -58.8%.
Should I hold both FBT and VYM?
FBT and VYM have a monthly-return correlation of 0.55, 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 FBT and VYM?
7.1% of FBT's money is in holdings VYM also owns. 1.4% of VYM's is in holdings FBT also owns. They hold 2 positions in common, counted across the 30 positions we hold weights for in FBT and 603 in VYM.
Which pays a higher dividend, FBT or VYM?
FBT yields 0.00% while VYM yields 2.24%, so VYM currently pays the higher dividend yield.
Is VYM better than FBT?
VYM has a lower expense ratio. FBT led over 1Y, 3Y and the full window, VYM over 5Y. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 36.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.