FTXN vs VYM

Quick Verdict

VYM has a lower expense ratio. FTXN delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.

Lower Fees: VYMHigher Returns: FTXNMore Diversified: VYM

Side-by-Side Comparison

MetricFTXNVYMWinner
Expense Ratio0.60%0.04%
AUM$162M$79.0B
Dividend Yield2.13%2.86%
Holdings44568
YTD Return+35.51%+16.16%
1Y Return+44.88%+26.05%
3Y Return (annualized)+11.47%+18.43%
5Y Return (annualized)+21.35%+12.21%
Volatility (annualized)32.3%14.6%
Max Drawdown-74.4%-58.8%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryEquityEquity
InceptionSep 20, 2016Nov 10, 2006

FTXN vs VYM Performance

First Trust Nasdaq Oil & Gas ETF (FTXN) 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 FTXN returned +44.88% while VYM returned +26.05%. Year to date, FTXN is up 35.51% versus a gain of 16.16% for VYM.

Over three years, FTXN compounded at +11.47% per year against +18.43% for VYM; over five years the annualized figures are +21.35% and +12.21% respectively. Across the full 10-year window we track, FTXN has the edge at +8.25% annualized vs +7.09%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FTXN has been the more volatile fund, with annualized monthly volatility of 32.3% 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 -74.4% for FTXN 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 0.69. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FTXN charges 0.60% per year while VYM charges 0.04%. On a $10,000 position that is $60 vs $4 annually, a gap of $56 per year that compounds over a long holding period. On income, FTXN currently yields 2.13% against 2.86% for VYM.

Holdings Overlap

9.1%overlap

FTXN and VYM share 32 holdings out of 569 unique holdings combined, representing a 9.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FTXNWeight in VYMDifference
XOM6.94%2.83%4.11%
CVX7.07%1.53%5.54%
COP7.32%0.62%6.70%
EOGProProPro
OXYProProPro
MPCProProPro
VLOProProPro
FANGProProPro
DVNProProPro
WMBProProPro
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Frequently Asked Questions

Which is cheaper, FTXN or VYM?

FTXN has an expense ratio of 0.60% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $56 per year of difference.

Which performed better, FTXN or VYM?

Over the past year FTXN returned +44.88% vs +26.05% for VYM, so FTXN leads on 1-year performance. Over the longest common window we track (10 years), FTXN annualized +8.25% vs +7.09% for VYM. Past performance does not guarantee future results.

Which is riskier, FTXN or VYM?

FTXN has been the more volatile fund at 32.3% annualized versus 14.6% for VYM. Worst drawdown: FTXN -74.4% vs VYM -58.8%.

Should I hold both FTXN and VYM?

FTXN and VYM have a monthly-return correlation of 0.69, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FTXN and VYM?

FTXN and VYM share 32 common holdings with a 9.1% weight overlap. Combined, they hold 569 unique securities.

Which pays a higher dividend, FTXN or VYM?

FTXN yields 2.13% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.

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