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

MetricFMARVYMWinner
Expense Ratio0.85%0.04%
AUM$1.1B$79.0B
Dividend Yield0.00%2.86%
Holdings5568
YTD Return+12.01%+15.80%
1Y Return+17.06%+26.12%
3Y Return (annualized)+14.07%+18.25%
5Y Return (annualized)+10.66%+12.51%
Volatility (annualized)9.0%14.6%
Max Drawdown-14.4%-58.8%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryAlternativeEquity
InceptionMar 19, 2021Nov 10, 2006

FMAR vs VYM Performance

FT Vest US Equity Buffer ETF - March (FMAR) is a ETF from First Trust Portfolios (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year FMAR returned +17.06% while VYM returned +26.12%. Year to date, FMAR is up 12.01% versus a gain of 15.80% for VYM.

Over three years, FMAR compounded at +14.07% per year against +18.25% for VYM; over five years the annualized figures are +10.66% and +12.51% respectively. Across the full 5-year window we track, FMAR has the edge at +11.38% annualized vs +7.07%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 9.0% for FMAR. 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 -14.4% for FMAR 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 0.80. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FMAR charges 0.85% per year while VYM charges 0.04%. On a $10,000 position that is $85 vs $4 annually, a gap of $81 per year that compounds over a long holding period. On income, FMAR currently yields 0.00% against 2.86% for VYM.

Holdings Overlap

0.0%overlap

FMAR and VYM share 0 holdings out of 559 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, FMAR or VYM?

FMAR has an expense ratio of 0.85% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $81 per year of difference.

Which performed better, FMAR or VYM?

Over the past year FMAR returned +17.06% vs +26.12% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (5 years), FMAR annualized +11.38% vs +7.07% for VYM. Past performance does not guarantee future results.

Which is riskier, FMAR or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 9.0% for FMAR. Worst drawdown: FMAR -14.4% vs VYM -58.8%.

Should I hold both FMAR and VYM?

FMAR and VYM have a monthly-return correlation of 0.80, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FMAR and VYM?

FMAR and VYM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 559 unique securities.

Which pays a higher dividend, FMAR or VYM?

FMAR yields 0.00% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.

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