HYI vs VXUS
Western Asset High Yield Defined Opportunity Fund Inc. vs Vanguard Total International Stock ETF
Which is better, HYI or VXUS?
High Yield Bond against Large Cap Blend.
VXUS has a lower expense ratio. VXUS 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 | HYI | VXUS |
|---|---|---|
| Expense Ratio | 0.96% | 0.05%Best |
| AUM | $145M | $158.1B |
| Dividend Yield | 10.04% | 2.51% |
| Holdings | 258 | 8,747 |
| YTD Return | -1.81% | +14.48%Best |
| 1Y Return | -5.89% | +22.28%Best |
| 3Y Return (annualized) | +5.57% | +20.00%Best |
| 5Y Return (annualized) | +0.56% | +8.91%Best |
| Volatility (annualized) | 12.3%Best | 15.0% |
| Max Drawdown | -48.2% | -39.9%Best |
| $10,000 over 5 years | $10,283 | $15,323Best |
| Fund Family | Franklin Templeton Investments (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | High Yield Bond | Large Cap Blend |
| Inception | Oct 27, 2010 | Jan 26, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jan 28, 2011 to Sep 11, 2026 (15.6 years).
HYI vs VXUS 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 15.6 years both funds cover.
HYI vs VXUS Performance
Western Asset High Yield Defined Opportunity Fund Inc. (HYI) is an ETF from Franklin Templeton Investments (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year HYI returned -5.89% while VXUS returned +22.28%. Year to date, HYI is down 1.81% versus a gain of 14.48% for VXUS.
Over three years, HYI compounded at +5.57% per year against +20.00% for VXUS; over five years the annualized figures are +0.56% and +8.91% respectively. Across the full 16-year window we track, VXUS has the edge at +4.82% annualized vs -0.59%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VXUS has been the more volatile fund, with annualized monthly volatility of 15.0% compared with 12.3% for HYI. 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 -48.2% for HYI and -39.9% for VXUS. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.71. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
HYI charges 0.96% per year while VXUS charges 0.05%. On a $10,000 position that is $96 vs $5 annually, a gap of $91 per year that compounds over a long holding period. On income, HYI currently yields 10.04% against 2.51% for VXUS.
Holdings Overlap
We hold position weights for 191 holdings in HYI and 8,091 in VXUS, totalling 80.1% and 87.7% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 1 positions appear in both.
The two holdings books were reported 151 days apart, HYI as of Jan 30, 2026 and VXUS 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 191 positions we hold weights for in HYI and 8,091 in VXUS, against full books of 258 and 8,747.
Top Shared Holdings
| Stock | Weight in HYI | Weight in VXUS | Difference |
|---|---|---|---|
| 2007:HKCountry Garden Holdings Co Ltd | 0.00% | 0.00% | 0.00% |
You are not choosing between two funds in isolation.
Whichever of HYI and VXUS 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, HYI or VXUS?
HYI has an expense ratio of 0.96% while VXUS charges 0.05%. VXUS is the cheaper option, by $91 a year on a $10,000 investment.
Which performed better, HYI or VXUS?
Over the past year HYI returned -5.89% vs +22.28% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (16 years), HYI annualized -0.59% vs +4.82% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HYI or VXUS?
VXUS has been the more volatile fund at 15.0% annualized versus 12.3% for HYI. Worst drawdown: HYI -48.2% vs VXUS -39.9%.
Should I hold both HYI and VXUS?
HYI and VXUS have a monthly-return correlation of 0.71, 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, HYI or VXUS?
HYI yields 10.04% while VXUS yields 2.51%, so HYI currently pays the higher dividend yield.
Is VXUS better than HYI?
VXUS has a lower expense ratio. VXUS 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.