HYD vs VYM
VanEck High Yield Muni ETF vs Vanguard High Dividend Yield ETF
Which is better, HYD or VYM?
Municipal Bond 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 | HYD | VYM |
|---|---|---|
| Expense Ratio | 0.32% | 0.04%Best |
| AUM | $4.5B | $81.6B |
| Dividend Yield | 4.36% | 2.24% |
| Holdings | 2,102 | 613 |
| YTD Return | -3.30% | +14.82%Best |
| 1Y Return | +0.67% | +20.84%Best |
| 3Y Return (annualized) | +2.72% | +18.64%Best |
| 5Y Return (annualized) | -1.36% | +12.28%Best |
| Volatility (annualized) | 63.0% | 13.4%Best |
| Max Drawdown | -56.8% | -35.7%Best |
| $10,000 over 5 years | $9,338 | $17,845Best |
| Fund Family | VanEck | Vanguard (US) |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Value |
| Inception | Feb 4, 2009 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Feb 5, 2009 to Sep 4, 2026 (17.6 years).
HYD 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 17.6 years both funds cover.
HYD vs VYM Performance
VanEck High Yield Muni ETF (HYD) is an ETF from VanEck and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year HYD returned +0.67% while VYM returned +20.84%. Year to date, HYD is down 3.30% versus a gain of 14.82% for VYM.
Over three years, HYD compounded at +2.72% per year against +18.64% for VYM; over five years the annualized figures are -1.36% and +12.28% respectively. Across the full 18-year window we track, VYM has the edge at +11.30% annualized vs +4.62%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
HYD has been the more volatile fund, with annualized monthly volatility of 63.0% compared with 13.4% 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 -56.8% for HYD and -35.7% 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 0.09. They move largely independently of each other.
Fees and Cost Over Time
HYD charges 0.32% per year while VYM charges 0.04%. On a $10,000 position that is $32 vs $4 annually, a gap of $28 per year that compounds over a long holding period. On income, HYD currently yields 4.36% against 2.24% for VYM.
Holdings Overlap
We hold position weights for 494 holdings in HYD and 603 in VYM, totalling 35.9% and 99.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 494 positions we hold weights for in HYD and 603 in VYM, against full books of 2,102 and 613.
You are not choosing between two funds in isolation.
Whichever of HYD 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, HYD or VYM?
HYD has an expense ratio of 0.32% while VYM charges 0.04%. VYM is the cheaper option, by $28 a year on a $10,000 investment.
Which performed better, HYD or VYM?
Over the past year HYD returned +0.67% vs +20.84% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (18 years), HYD annualized +4.62% vs +11.30% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HYD or VYM?
HYD has been the more volatile fund at 63.0% annualized versus 13.4% for VYM. Worst drawdown: HYD -56.8% vs VYM -35.7%.
Should I hold both HYD and VYM?
HYD and VYM have a monthly-return correlation of 0.09, 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, HYD or VYM?
HYD yields 4.36% while VYM yields 2.24%, so HYD currently pays the higher dividend yield.
Is VYM better than HYD?
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.