FGD vs VYM

FGD vs VYM

Which is better, FGD or VYM?

Each has led over a different period.

VYM has a lower expense ratio. FGD led over 1Y, 3Y and 5Y, VYM over the full window. FGD is less concentrated, with 16.6% of the fund in its ten largest positions against 25.9%.

Lower Fees: VYMHigher Returns: splitLess Concentrated: FGD

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

MetricFGDVYM
Expense Ratio0.55%0.04%Best
AUM$1.6B$81.6B
Dividend Yield5.04%2.24%
Holdings212613
YTD Return+19.88%Best+14.82%
1Y Return+31.63%Best+20.84%
3Y Return (annualized)+25.96%Best+18.64%
5Y Return (annualized)+13.14%Best+12.28%
Volatility (annualized)20.1%14.8%Best
Max Drawdown-70.2%-57.3%Best
$10,000 over 5 years$18,539Best$17,845
Top 10 Weight16.6%Best25.9%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Value
InceptionNov 21, 2007Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Nov 27, 2007 to Sep 4, 2026 (18.8 years).

FGD 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 18.8 years both funds cover.

FGD vs VYM Performance

First Trust Dow Jones Global Select Dividend Index Fund (FGD) 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 FGD returned +31.63% while VYM returned +20.84%. Year to date, FGD is up 19.88% versus a gain of 14.82% for VYM.

Over three years, FGD compounded at +25.96% per year against +18.64% for VYM; over five years the annualized figures are +13.14% and +12.28% respectively. Across the full 19-year window we track, VYM has the edge at +7.39% annualized vs +2.68%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FGD has been the more volatile fund, with annualized monthly volatility of 20.1% compared with 14.8% 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 -70.2% for FGD and -57.3% 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 0.85. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FGD 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, FGD currently yields 5.04% against 2.24% for VYM.

Holdings Overlap

FGD already in VYM22.8%
VYM already in FGD2.5%

22.8% of FGD's money is in holdings VYM also owns. 2.5% of VYM's money is in holdings FGD also owns.

FGD and VYM share little of their money.

20 positions in common, counted across the 99 positions we hold weights for in FGD and 603 in VYM, against full books of 212 and 613.

What only one of them owns

Our book lists 550 positions for VYM that do not appear in our book for FGD (94.9% of the fund), and 1 for FGD that do not appear in VYM (1.1%).

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.

Top Shared Holdings

StockWeight in FGDWeight in VYMDifference
RHIRobert Half Inc2.48%0.01%2.47%
HPQHp Inc.1.56%0.08%1.48%
VZVerizon Communic0.85%0.74%0.11%
MOAltria Group Inc1.02%0.50%0.52%
CALMCal-maine Foods Inc1.49%0.01%1.48%
OMFOnemain Holdings1.43%0.03%1.40%
HRBH&R Block, Inc.1.33%0.02%1.31%
NWBINorthwest Bancshares Inc Common Stock Usd 0.011.26%0.01%1.25%
WUWestern Union1.25%0.01%1.24%
BBYBest Buy Co. Inc.1.20%0.06%1.14%

22.8% of FGD is already inside VYM.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

FGDVYM

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Frequently Asked Questions

Which is cheaper, FGD or VYM?

FGD 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, FGD or VYM?

Over the past year FGD returned +31.63% vs +20.84% for VYM, so FGD leads on 1-year performance. Over the longest common window we track (19 years), FGD annualized +2.68% vs +7.39% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FGD or VYM?

FGD has been the more volatile fund at 20.1% annualized versus 14.8% for VYM. Worst drawdown: FGD -70.2% vs VYM -57.3%.

Should I hold both FGD and VYM?

FGD and VYM have a monthly-return correlation of 0.85, 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 FGD and VYM?

22.8% of FGD's money is in holdings VYM also owns. 2.5% of VYM's is in holdings FGD also owns. They hold 20 positions in common, counted across the 99 positions we hold weights for in FGD and 603 in VYM.

Which pays a higher dividend, FGD or VYM?

FGD yields 5.04% while VYM yields 2.24%, so FGD currently pays the higher dividend yield.

Is VYM better than FGD?

VYM has a lower expense ratio. FGD led over 1Y, 3Y and 5Y, VYM over the full window. FGD is less concentrated, with 16.6% 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.