HIX vs VYM
Western Asset High Income Fund II Inc. vs Vanguard High Dividend Yield ETF
Which is better, HIX or VYM?
Long Term High Quality 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 | HIX | VYM |
|---|---|---|
| Expense Ratio | 3.82% | 0.04%Best |
| AUM | $363M | $81.6B |
| Dividend Yield | 14.59% | 2.24% |
| Holdings | 431 | 613 |
| YTD Return | +2.30% | +14.82%Best |
| 1Y Return | +3.70% | +20.84%Best |
| 3Y Return (annualized) | +6.05% | +18.64%Best |
| 5Y Return (annualized) | -0.07% | +12.28%Best |
| Volatility (annualized) | 19.2% | 14.5%Best |
| Max Drawdown | -67.6% | -58.8%Best |
| $10,000 over 5 years | $9,965 | $17,845Best |
| Fund Family | Franklin Templeton Investments (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term High Quality | Large Cap Value |
| Inception | May 22, 1998 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 4, 2026 (19.8 years).
HIX 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.
HIX vs VYM Performance
Western Asset High Income Fund II Inc. (HIX) 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 HIX returned +3.70% while VYM returned +20.84%. Year to date, HIX is up 2.30% versus a gain of 14.82% for VYM.
Over three years, HIX compounded at +6.05% per year against +18.64% for VYM; over five years the annualized figures are -0.07% and +12.28% respectively. Across the full 20-year window we track, VYM has the edge at +7.00% annualized vs -1.68%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
HIX has been the more volatile fund, with annualized monthly volatility of 19.2% compared with 14.5% 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 -67.6% for HIX 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 0.62. They move together some of the time, and apart the rest.
Fees and Cost Over Time
HIX charges 3.82% per year while VYM charges 0.04%. On a $10,000 position that is $382 vs $4 annually, a gap of $378 per year that compounds over a long holding period. On income, HIX currently yields 14.59% against 2.24% for VYM.
Holdings Overlap
At least 0.9% of VYM's money is in holdings HIX also owns.
Stated as a floor: for HIX, our book for it covers 79.3% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
The two holdings books were reported 242 days apart, HIX as of Oct 31, 2025 and VYM as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.
1 positions in common, counted across the 288 positions we hold weights for in HIX and 603 in VYM, against full books of 431 and 613.
Top Shared Holdings
| Stock | Weight in HIX | Weight in VYM | Difference |
|---|---|---|---|
| CCitigroup Inc 6.875 11/73 6.88 2173-11-15 | 0.10% | 0.94% | 0.84% |
You are not choosing between two funds in isolation.
Whichever of HIX 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, HIX or VYM?
HIX has an expense ratio of 3.82% while VYM charges 0.04%. VYM is the cheaper option, by $378 a year on a $10,000 investment.
Which performed better, HIX or VYM?
Over the past year HIX returned +3.70% vs +20.84% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), HIX annualized -1.68% vs +7.00% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HIX or VYM?
HIX has been the more volatile fund at 19.2% annualized versus 14.5% for VYM. Worst drawdown: HIX -67.6% vs VYM -58.8%.
Should I hold both HIX and VYM?
HIX and VYM have a monthly-return correlation of 0.62, 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, HIX or VYM?
HIX yields 14.59% while VYM yields 2.24%, so HIX currently pays the higher dividend yield.
Is VYM better than HIX?
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.