HYDB vs VYM
iShares High Yield Systematic Bond ETF vs Vanguard High Dividend Yield ETF
Which is better, HYDB or VYM?
High Yield 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 | HYDB | VYM |
|---|---|---|
| Expense Ratio | 0.35% | 0.04%Best |
| AUM | $1.6B | $81.6B |
| Dividend Yield | 6.96% | 2.22% |
| Holdings | 254 | 613 |
| YTD Return | -3.25% | +13.08%Best |
| 1Y Return | -2.64% | +17.46%Best |
| 3Y Return (annualized) | +6.56% | +17.73%Best |
| 5Y Return (annualized) | +3.22% | +12.22%Best |
| Volatility (annualized) | 7.7%Best | 14.8% |
| Max Drawdown | -21.6%Best | -35.7% |
| $10,000 over 5 years | $11,717 | $17,797Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | High Yield Bond | Large Cap Value |
| Inception | Jul 11, 2017 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jul 13, 2017 to Sep 14, 2026 (9.2 years).
HYDB 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 9.2 years both funds cover.
HYDB vs VYM Performance
iShares High Yield Systematic Bond ETF (HYDB) is an ETF from iShares by BlackRock (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year HYDB returned -2.64% while VYM returned +17.46%. Year to date, HYDB is down 3.25% versus a gain of 13.08% for VYM.
Over three years, HYDB compounded at +6.56% per year against +17.73% for VYM; over five years the annualized figures are +3.22% and +12.22% respectively. Across the full 9-year window we track, VYM has the edge at +10.10% annualized vs +4.74%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 14.8% compared with 7.7% for HYDB. 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 -21.6% for HYDB 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 0.77. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
HYDB charges 0.35% per year while VYM charges 0.04%. On a $10,000 position that is $35 vs $4 annually, a gap of $31 per year that compounds over a long holding period. On income, HYDB currently yields 6.96% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 186 holdings in HYDB and 557 in VYM, totalling 74.9% and 99.2% 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 186 positions we hold weights for in HYDB and 557 in VYM, against full books of 254 and 613.
You are not choosing between two funds in isolation.
Whichever of HYDB 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, HYDB or VYM?
HYDB has an expense ratio of 0.35% while VYM charges 0.04%. VYM is the cheaper option, by $31 a year on a $10,000 investment.
Which performed better, HYDB or VYM?
Over the past year HYDB returned -2.64% vs +17.46% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (9 years), HYDB annualized +4.74% vs +10.10% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HYDB or VYM?
VYM has been the more volatile fund at 14.8% annualized versus 7.7% for HYDB. Worst drawdown: HYDB -21.6% vs VYM -35.7%.
Should I hold both HYDB and VYM?
HYDB and VYM have a monthly-return correlation of 0.77, 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, HYDB or VYM?
HYDB yields 6.96% while VYM yields 2.22%, so HYDB currently pays the higher dividend yield.
Is VYM better than HYDB?
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.