FVD vs VYM
First Trust Value Line Dividend Index Fund vs Vanguard High Dividend Yield ETF
Which is better, FVD or VYM?
VYM has been ahead.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. FVD is less concentrated, with 4.5% of the fund in its ten largest positions against 25.9%.
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 | FVD | VYM |
|---|---|---|
| Expense Ratio | 0.62% | 0.04%Best |
| AUM | $8.2B | $81.6B |
| Dividend Yield | 2.23% | 2.24% |
| Holdings | 498 | 613 |
| YTD Return | +9.77% | +14.82%Best |
| 1Y Return | +10.92% | +20.84%Best |
| 3Y Return (annualized) | +11.67% | +18.64%Best |
| 5Y Return (annualized) | +6.47% | +12.28%Best |
| Volatility (annualized) | 13.4%Best | 14.5% |
| Max Drawdown | -54.1%Best | -58.8% |
| $10,000 over 5 years | $13,682 | $17,845Best |
| Top 10 Weight | 4.5%Best | 25.9% |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Aug 19, 2003 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 4, 2026 (19.8 years).
FVD 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 19.8 years both funds cover.
FVD vs VYM Performance
First Trust Value Line Dividend Index Fund (FVD) is an ETF from First Trust Portfolios (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year FVD returned +10.92% while VYM returned +20.84%. Year to date, FVD is up 9.77% versus a gain of 14.82% for VYM.
Over three years, FVD compounded at +11.67% per year against +18.64% for VYM; over five years the annualized figures are +6.47% and +12.28% respectively. Across the full 20-year window we track, VYM has the edge at +7.00% annualized vs +6.07%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 14.5% compared with 13.4% for FVD. 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 -54.1% for FVD and -58.8% 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
FVD charges 0.62% per year while VYM charges 0.04%. On a $10,000 position that is $62 vs $4 annually, a gap of $58 per year that compounds over a long holding period. On income, FVD currently yields 2.23% against 2.24% for VYM.
Holdings Overlap
64.3% of FVD's money is in holdings VYM also owns. 51.5% of VYM's money is in holdings FVD also owns.
The two portfolios partly overlap.
159 positions in common, counted across the 247 positions we hold weights for in FVD and 603 in VYM, against full books of 498 and 613.
What only one of them owns
Our book lists 414 positions for VYM that do not appear in our book for FVD (46.2% of the fund), and 55 for FVD that do not appear in VYM (22.3%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in FVD | Weight in VYM | Difference |
|---|---|---|---|
| JPMJpmorgan Chase | 0.41% | 3.38% | 2.97% |
| JNJJohnson & Johnson - Common | 0.39% | 2.54% | 2.15% |
| XOMExxon Mobil Corp. | 0.39% | 2.36% | 1.97% |
| CSCOCisco Systems Inc. - Ordinary Shares | 0.43% | 1.93% | 1.50% |
| ABBVAbbvie Inc. | 0.38% | 1.85% | 1.47% |
| BACBank of America Corp.: Financials | 0.41% | 1.56% | 1.15% |
| HDHome Depot Inc/The | 0.42% | 1.46% | 1.04% |
| PGProcter & Gamble Company | 0.40% | 1.42% | 1.02% |
| KOCoca Cola Co. | 0.41% | 1.31% | 0.90% |
| MRKMerck & Company Inc | 0.39% | 1.32% | 0.93% |
64.3% of FVD is already inside VYM.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FVD or VYM?
FVD has an expense ratio of 0.62% while VYM charges 0.04%. VYM is the cheaper option, by $58 a year on a $10,000 investment.
Which performed better, FVD or VYM?
Over the past year FVD returned +10.92% vs +20.84% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), FVD annualized +6.07% vs +7.00% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FVD or VYM?
VYM has been the more volatile fund at 14.5% annualized versus 13.4% for FVD. Worst drawdown: FVD -54.1% vs VYM -58.8%.
Should I hold both FVD and VYM?
FVD and VYM have a monthly-return correlation of 0.94, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between FVD and VYM?
64.3% of FVD's money is in holdings VYM also owns. 51.5% of VYM's is in holdings FVD also owns. They hold 159 positions in common, counted across the 247 positions we hold weights for in FVD and 603 in VYM.
Which pays a higher dividend, FVD or VYM?
FVD yields 2.23% while VYM yields 2.24%, so VYM currently pays the higher dividend yield.
Is VYM better than FVD?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. FVD is less concentrated, with 4.5% of the fund in its ten largest positions against 25.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.