FSSL vs VYM
FS Specialty Lending Fund vs Vanguard High Dividend Yield ETF
Which is better, FSSL or VYM?
High Yield Bond against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y.
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 | FSSL | VYM |
|---|---|---|
| Expense Ratio | 6.98% | 0.04%Best |
| AUM | $1.3B | $95.8B |
| Dividend Yield | 10.40% | 2.23% |
| Holdings | 161 | 610 |
| YTD Return | -6.82% | +11.84%Best |
| 1Y Return | -1.47% | +16.77%Best |
| 3Y Return (annualized) | - | +18.83% |
| 5Y Return (annualized) | - | +10.75% |
| Volatility (annualized) | 16.6% | 12.5%Best |
| Fund Family | FS Specialty Lending Fund | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | High Yield Bond | Large Cap Value |
| Inception | Jul 18, 2011 | Nov 10, 2006 |
Not shown on this pair: Max Drawdown, $10,000 over the window, Top 10 Weight.
FSSL 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
FSSL vs VYM Performance
FS Specialty Lending Fund (FSSL) is an ETF from FS Specialty Lending Fund and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year FSSL returned -1.47% while VYM returned +16.77%. Year to date, FSSL is down 6.82% versus a gain of 11.84% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FSSL has been the more volatile fund, with annualized monthly volatility of 16.6% compared with 12.5% for VYM. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The two funds' monthly returns correlate at -0.38. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FSSL charges 6.98% per year while VYM charges 0.04%. On a $10,000 position that is $698 vs $4 annually, a gap of $694 per year that compounds over a long holding period. On income, FSSL currently yields 10.40% against 2.23% for VYM.
Holdings Overlap
We hold position weights for 8 holdings in FSSL and 602 in VYM, totalling 9.7% 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 62 days apart, FSSL as of Jun 30, 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 8 positions we hold weights for in FSSL and 602 in VYM, against full books of 161 and 610.
You are not choosing between two funds in isolation.
Whichever of FSSL 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, FSSL or VYM?
FSSL has an expense ratio of 6.98% while VYM charges 0.04%. VYM is the cheaper option, by $694 a year on a $10,000 investment.
Which performed better, FSSL or VYM?
Over the past year FSSL returned -1.47% vs +16.77% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FSSL or VYM?
FSSL has been the more volatile fund at 16.6% annualized versus 12.5% for VYM.
Should I hold both FSSL and VYM?
FSSL and VYM have a monthly-return correlation of -0.38, 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, FSSL or VYM?
FSSL yields 10.40% while VYM yields 2.23%, so FSSL currently pays the higher dividend yield.
Is VYM better than FSSL?
VYM has a lower expense ratio. VYM led over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.