FDIF vs VYM

Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricFDIFVYMWinner
Expense Ratio0.50%0.04%
AUM$110M$79.0B
Dividend Yield0.26%2.86%
Holdings10568
YTD Return+14.53%+15.80%
1Y Return+20.63%+26.12%
3Y Return (annualized)+19.15%+18.25%
5Y Return (annualized)-+12.51%
Volatility (annualized)17.0%14.6%
Max Drawdown-22.6%-58.8%
Fund FamilyFidelity Investments (US)Vanguard (US)
CategoryEquityEquity
InceptionFeb 13, 2023Nov 10, 2006

FDIF vs VYM Performance

Fidelity Disruptors ETF (FDIF) is a ETF from Fidelity Investments (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year FDIF returned +20.63% while VYM returned +26.12%. Year to date, FDIF is up 14.53% versus a gain of 15.80% for VYM.

Over three years, FDIF compounded at +19.15% per year against +18.25% for VYM. Across the full 3-year window we track, FDIF has the edge at +17.70% annualized vs +7.07%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FDIF has been the more volatile fund, with annualized monthly volatility of 17.0% 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 -22.6% for FDIF 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 0.69. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FDIF charges 0.50% per year while VYM charges 0.04%. On a $10,000 position that is $50 vs $4 annually, a gap of $46 per year that compounds over a long holding period. On income, FDIF currently yields 0.26% against 2.86% for VYM.

Holdings Overlap

0.0%overlap

FDIF and VYM share 0 holdings out of 564 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, FDIF or VYM?

FDIF has an expense ratio of 0.50% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $46 per year of difference.

Which performed better, FDIF or VYM?

Over the past year FDIF returned +20.63% vs +26.12% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (3 years), FDIF annualized +17.70% vs +7.07% for VYM. Past performance does not guarantee future results.

Which is riskier, FDIF or VYM?

FDIF has been the more volatile fund at 17.0% annualized versus 14.6% for VYM. Worst drawdown: FDIF -22.6% vs VYM -58.8%.

Should I hold both FDIF and VYM?

FDIF and VYM have a monthly-return correlation of 0.69, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FDIF and VYM?

FDIF and VYM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 564 unique securities.

Which pays a higher dividend, FDIF or VYM?

FDIF yields 0.26% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.

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