FLQS vs VYM
Franklin US Small Cap Multifactor Index ETF vs Vanguard High Dividend Yield ETF
Which is better, FLQS or VYM?
Small Cap Blend against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window.
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 | FLQS | VYM |
|---|---|---|
| Expense Ratio | 0.35% | 0.04%Best |
| AUM | $48M | $95.8B |
| Dividend Yield | 1.49% | 2.23% |
| Holdings | 562 | 610 |
| YTD Return | +13.94% | +14.91%Best |
| 1Y Return | +15.56% | +18.73%Best |
| 3Y Return (annualized) | +14.54% | +20.11%Best |
| 5Y Return (annualized) | +4.67% | +11.36%Best |
| Volatility (annualized) | 18.6% | 14.6%Best |
| Max Drawdown | -42.2% | -35.7%Best |
| $10,000 over 5 years | $12,564 | $17,126Best |
| Fund Family | Franklin Templeton Investments (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Value |
| Inception | Apr 26, 2017 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Apr 28, 2017 to Nov 10, 2026 (9.5 years).
FLQS 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 9.5 years both funds cover.
FLQS vs VYM Performance
Franklin US Small Cap Multifactor Index ETF (FLQS) is an ETF from Franklin Templeton Investments (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year FLQS returned +15.56% while VYM returned +18.73%. Year to date, FLQS is up 13.94% versus a gain of 14.91% for VYM.
Over three years, FLQS compounded at +14.54% per year against +20.11% for VYM; over five years the annualized figures are +4.67% and +11.36% respectively. Across the full 10-year window we track, VYM has the edge at +10.01% annualized vs +8.47%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FLQS has been the more volatile fund, with annualized monthly volatility of 18.6% 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 -42.2% for FLQS and -35.7% 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 0.86. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FLQS charges 0.35% per year while VYM charges 0.04%. On a $10,000 position that is $35 vs $4 annually, a gap of $31 per year that compounds over a long holding period. On income, FLQS currently yields 1.49% against 2.23% for VYM.
Holdings Overlap
We hold position weights for 37 holdings in FLQS and 602 in VYM, totalling 56.3% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
The two holdings books were reported 46 days apart, FLQS as of Oct 16, 2026 and VYM as of Aug 31, 2026, so some of the difference between them is the time between the two reports rather than the funds.
0 positions in common, counted across the 37 positions we hold weights for in FLQS and 602 in VYM, against full books of 562 and 610.
You are not choosing between two funds in isolation.
Whichever of FLQS 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, FLQS or VYM?
FLQS has an expense ratio of 0.35% while VYM charges 0.04%. VYM is the cheaper option, by $31 a year on a $10,000 investment.
Which performed better, FLQS or VYM?
Over the past year FLQS returned +15.56% vs +18.73% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (10 years), FLQS annualized +8.47% vs +10.01% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FLQS or VYM?
FLQS has been the more volatile fund at 18.6% annualized versus 14.6% for VYM. Worst drawdown: FLQS -42.2% vs VYM -35.7%.
Should I hold both FLQS and VYM?
FLQS and VYM have a monthly-return correlation of 0.86, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, FLQS or VYM?
FLQS yields 1.49% while VYM yields 2.23%, so VYM currently pays the higher dividend yield.
Is VYM better than FLQS?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.