FLCC 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

MetricFLCCVYMWinner
Expense Ratio0.29%0.04%
AUM$118M$79.0B
Dividend Yield0.47%2.86%
Holdings156568
YTD Return+14.18%+15.80%
1Y Return+20.52%+26.12%
3Y Return (annualized)-+18.25%
5Y Return (annualized)-+12.51%
Volatility (annualized)12.8%14.6%
Max Drawdown-19.2%-58.8%
Fund FamilyFederated HermesVanguard (US)
CategoryEquityEquity
InceptionJul 30, 2024Nov 10, 2006

FLCC vs VYM Performance

Federated Hermes MDT Large Cap Core ETF (FLCC) is a ETF from Federated Hermes and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year FLCC returned +20.52% while VYM returned +26.12%. Year to date, FLCC is up 14.18% versus a gain of 15.80% for VYM.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 12.8% for FLCC. 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 -19.2% for FLCC 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 0.75. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FLCC charges 0.29% per year while VYM charges 0.04%. On a $10,000 position that is $29 vs $4 annually, a gap of $25 per year that compounds over a long holding period. On income, FLCC currently yields 0.47% against 2.86% for VYM.

Holdings Overlap

18.3%overlap

FLCC and VYM share 60 holdings out of 652 unique holdings combined, representing a 18.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FLCCWeight in VYMDifference
AVGO3.95%6.47%2.52%
ABBV2.20%1.80%0.40%
JPM:US0.04%3.36%3.32%
JNJProProPro
XOMProProPro
WMTProProPro
CSCOProProPro
TRVProProPro
BKProProPro
STTProProPro
See all 10 holdings FLCC shares with VYM
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Frequently Asked Questions

Which is cheaper, FLCC or VYM?

FLCC has an expense ratio of 0.29% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $25 per year of difference.

Which performed better, FLCC or VYM?

Over the past year FLCC returned +20.52% vs +26.12% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), FLCC annualized +20.66% vs +7.07% for VYM. Past performance does not guarantee future results.

Which is riskier, FLCC or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 12.8% for FLCC. Worst drawdown: FLCC -19.2% vs VYM -58.8%.

Should I hold both FLCC and VYM?

FLCC and VYM have a monthly-return correlation of 0.75, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FLCC and VYM?

FLCC and VYM share 60 common holdings with a 18.3% weight overlap. Combined, they hold 652 unique securities.

Which pays a higher dividend, FLCC or VYM?

FLCC yields 0.47% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.

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