HYFI vs VYM
AB High Yield ETF vs Vanguard High Dividend Yield ETF
Which is better, HYFI or VYM?
Long Term High Quality against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y 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 | HYFI | VYM |
|---|---|---|
| Expense Ratio | 0.40% | 0.04%Best |
| AUM | $338M | $81.6B |
| Dividend Yield | 6.67% | 2.24% |
| Holdings | 666 | 613 |
| YTD Return | +1.64% | +14.82%Best |
| 1Y Return | +3.83% | +20.84%Best |
| 3Y Return (annualized) | +8.46% | +18.64%Best |
| 5Y Return (annualized) | - | +12.28% |
| Volatility (annualized) | 4.5%Best | 10.9% |
| Max Drawdown | -6.3%Best | -14.5% |
| $10,000 over 3.3 years | $13,018 | $17,359Best |
| Fund Family | AllianceBernstein L.P. | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term High Quality | Large Cap Value |
| Inception | May 15, 2023 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 3.3 years row, are measured over the window both funds cover: May 15, 2023 to Sep 4, 2026 (3.3 years).
HYFI 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 3.3 years both funds cover.
HYFI vs VYM Performance
AB High Yield ETF (HYFI) is an ETF from AllianceBernstein L.P. and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year HYFI returned +3.83% while VYM returned +20.84%. Year to date, HYFI is up 1.64% versus a gain of 14.82% for VYM.
Over three years, HYFI compounded at +8.46% per year against +18.64% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 10.9% compared with 4.5% for HYFI. 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 -6.3% for HYFI and -14.5% 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 0.81. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
HYFI charges 0.40% per year while VYM charges 0.04%. On a $10,000 position that is $40 vs $4 annually, a gap of $36 per year that compounds over a long holding period. On income, HYFI currently yields 6.67% against 2.24% for VYM.
Holdings Overlap
At least 0.9% of VYM's money is in holdings HYFI also owns.
Stated as a floor: for HYFI, our book for it covers 73.3% 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.
1 positions in common, counted across the 436 positions we hold weights for in HYFI and 603 in VYM, against full books of 666 and 613.
Top Shared Holdings
| Stock | Weight in HYFI | Weight in VYM | Difference |
|---|---|---|---|
| CCitigroup Inc V/R /Perp | 0.01% | 0.94% | 0.93% |
You are not choosing between two funds in isolation.
Whichever of HYFI 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, HYFI or VYM?
HYFI has an expense ratio of 0.40% while VYM charges 0.04%. VYM is the cheaper option, by $36 a year on a $10,000 investment.
Which performed better, HYFI or VYM?
Over the past year HYFI returned +3.83% vs +20.84% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HYFI or VYM?
VYM has been the more volatile fund at 10.9% annualized versus 4.5% for HYFI. Worst drawdown: HYFI -6.3% vs VYM -14.5%.
Should I hold both HYFI and VYM?
HYFI and VYM have a monthly-return correlation of 0.81, 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, HYFI or VYM?
HYFI yields 6.67% while VYM yields 2.24%, so HYFI currently pays the higher dividend yield.
Is VYM better than HYFI?
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.