HLGE vs VYM

HLGE vs VYM
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Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 616 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricHLGEVYMWinner
Expense Ratio0.44%0.04%
AUM$13M$81.6B
Dividend Yield1.34%2.24%
Holdings342616
YTD Return+2.20%+14.66%
1Y Return+5.26%+22.16%
3Y Return (annualized)+12.26%+18.72%
5Y Return (annualized)-+12.18%
Volatility (annualized)16.4%14.6%
Max Drawdown-23.9%-58.8%
Fund FamilyHartford FundsVanguard (US)
CategoryEquityEquity
InceptionMar 16, 2021Nov 10, 2006

HLGE vs VYM Performance

Hartford Longevity Economy ETF (HLGE) is a ETF from Hartford Funds and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year HLGE returned +5.26% while VYM returned +22.16%. Year to date, HLGE is up 2.20% versus a gain of 14.66% for VYM.

Over three years, HLGE compounded at +12.26% per year against +18.72% for VYM. Across the full 4-year window we track, HLGE has the edge at +7.02% annualized vs +7.01%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

HLGE has been the more volatile fund, with annualized monthly volatility of 16.4% 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 -23.9% for HLGE 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 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

HLGE charges 0.44% per year while VYM charges 0.04%. On a $10,000 position that is $44 vs $4 annually, a gap of $40 per year that compounds over a long holding period. On income, HLGE currently yields 1.34% against 2.24% for VYM.

Frequently Asked Questions

Which is cheaper, HLGE or VYM?

HLGE has an expense ratio of 0.44% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $40 per year of difference.

Which performed better, HLGE or VYM?

Over the past year HLGE returned +5.26% vs +22.16% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (4 years), HLGE annualized +7.02% vs +7.01% for VYM. Past performance does not guarantee future results.

Which is riskier, HLGE or VYM?

HLGE has been the more volatile fund at 16.4% annualized versus 14.6% for VYM. Worst drawdown: HLGE -23.9% vs VYM -58.8%.

Should I hold both HLGE and VYM?

HLGE and VYM have a monthly-return correlation of 0.90, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

Which pays a higher dividend, HLGE or VYM?

HLGE yields 1.34% while VYM yields 2.24%, so VYM currently pays the higher dividend yield.

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