IBBQ vs VYM
Invesco Nasdaq Biotechnology ETF vs Vanguard High Dividend Yield ETF
Which is better, IBBQ or VYM?
Large Cap Growth against Large Cap Value.
VYM has a lower expense ratio. IBBQ led over 1Y and 3Y, VYM over 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 42.1%.
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 | IBBQ | VYM |
|---|---|---|
| Expense Ratio | 0.19% | 0.04%Best |
| AUM | $96M | $81.6B |
| Dividend Yield | 0.79% | 2.24% |
| Holdings | 260 | 613 |
| YTD Return | +28.09%Best | +15.29% |
| 1Y Return | +53.44%Best | +22.23% |
| 3Y Return (annualized) | +22.03%Best | +18.81% |
| 5Y Return (annualized) | +6.71% | +12.14%Best |
| Volatility (annualized) | 17.3% | 13.5%Best |
| Max Drawdown | -37.9% | -15.8%Best |
| $10,000 over 5 years | $13,836 | $17,734Best |
| Top 10 Weight | 42.1% | 25.9%Best |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Value |
| Inception | Jun 11, 2021 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Jun 11, 2021 to Sep 3, 2026 (5.2 years).
IBBQ 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 5.2 years both funds cover.
IBBQ vs VYM Performance
Invesco Nasdaq Biotechnology ETF (IBBQ) is an ETF from Invesco (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year IBBQ returned +53.44% while VYM returned +22.23%. Year to date, IBBQ is up 28.09% versus a gain of 15.29% for VYM.
Over three years, IBBQ compounded at +22.03% per year against +18.81% for VYM; over five years the annualized figures are +6.71% and +12.14% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IBBQ has been the more volatile fund, with annualized monthly volatility of 17.3% compared with 13.5% 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 -37.9% for IBBQ and -15.8% 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 0.54. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IBBQ charges 0.19% per year while VYM charges 0.04%. On a $10,000 position that is $19 vs $4 annually, a gap of $15 per year that compounds over a long holding period. On income, IBBQ currently yields 0.79% against 2.24% for VYM.
Holdings Overlap
17.4% of IBBQ's money is in holdings VYM also owns. 1.5% of VYM's money is in holdings IBBQ also owns.
IBBQ and VYM share little of their money.
3 positions in common, counted across the 255 positions we hold weights for in IBBQ and 603 in VYM, against full books of 260 and 613.
What only one of them owns
Our book lists 567 positions for VYM that do not appear in our book for IBBQ (95.9% of the fund), and 218 for IBBQ that do not appear in VYM (71.9%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of IBBQ 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, IBBQ or VYM?
IBBQ has an expense ratio of 0.19% while VYM charges 0.04%. VYM is the cheaper option, by $15 a year on a $10,000 investment.
Which performed better, IBBQ or VYM?
Over the past year IBBQ returned +53.44% vs +22.23% for VYM, so IBBQ leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBBQ or VYM?
IBBQ has been the more volatile fund at 17.3% annualized versus 13.5% for VYM. Worst drawdown: IBBQ -37.9% vs VYM -15.8%.
Should I hold both IBBQ and VYM?
IBBQ and VYM have a monthly-return correlation of 0.54, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between IBBQ and VYM?
17.4% of IBBQ's money is in holdings VYM also owns. 1.5% of VYM's is in holdings IBBQ also owns. They hold 3 positions in common, counted across the 255 positions we hold weights for in IBBQ and 603 in VYM.
Which pays a higher dividend, IBBQ or VYM?
IBBQ yields 0.79% while VYM yields 2.24%, so VYM currently pays the higher dividend yield.
Is VYM better than IBBQ?
VYM has a lower expense ratio. IBBQ led over 1Y and 3Y, VYM over 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 42.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.