IBDZ vs VYM
iShares iBonds Dec 2034 Term Corporate ETF vs Vanguard High Dividend Yield ETF
Which is better, IBDZ or VYM?
Long Term Bond against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y and the full window. IBDZ is less concentrated, with 8.2% of the fund in its ten largest positions against 25.9%.
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 | IBDZ | VYM |
|---|---|---|
| Expense Ratio | 0.10% | 0.04%Best |
| AUM | $860M | $81.6B |
| Dividend Yield | 4.92% | 2.24% |
| Holdings | 374 | 613 |
| YTD Return | -0.58% | +15.29%Best |
| 1Y Return | +1.79% | +22.23%Best |
| 3Y Return (annualized) | - | +18.81% |
| 5Y Return (annualized) | - | +12.14% |
| Volatility (annualized) | 4.4%Best | 9.9% |
| Max Drawdown | -5.6%Best | -14.5% |
| $10,000 over 2.3 years | $11,286 | $14,730Best |
| Top 10 Weight | 8.2%Best | 25.9% |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term Bond | Large Cap Value |
| Inception | May 22, 2024 | Nov 10, 2006 |
Volatility and max drawdown, and the $10,000 over 2.3 years row, are measured over the window both funds cover: May 24, 2024 to Sep 3, 2026 (2.3 years).
IBDZ 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 2.3 years both funds cover.
IBDZ vs VYM Performance
iShares iBonds Dec 2034 Term Corporate ETF (IBDZ) 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 IBDZ returned +1.79% while VYM returned +22.23%. Year to date, IBDZ is down 0.58% versus a gain of 15.29% 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 9.9% compared with 4.4% for IBDZ. 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 -5.6% for IBDZ 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 0.58. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IBDZ charges 0.10% per year while VYM charges 0.04%. On a $10,000 position that is $10 vs $4 annually, a gap of $6 per year that compounds over a long holding period. On income, IBDZ currently yields 4.92% against 2.24% for VYM.
Holdings Overlap
We hold position weights for 367 holdings in IBDZ and 603 in VYM, totalling 98.4% 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 367 positions we hold weights for in IBDZ and 603 in VYM, against full books of 374 and 613.
What only one of them owns
Measured across the 367 and 603 positions we hold weights for.
VYM holds 569 positions IBDZ does not, 97.4% of the fund.
Largest: AVGO 7.29%, JPM 3.38%, JNJ 2.54%, XOM 2.36%, CAT 2.01%
You are not choosing between two funds in isolation.
Whichever of IBDZ 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, IBDZ or VYM?
IBDZ has an expense ratio of 0.10% while VYM charges 0.04%. VYM is the cheaper option, by $6 a year on a $10,000 investment.
Which performed better, IBDZ or VYM?
Over the past year IBDZ returned +1.79% vs +22.23% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), IBDZ annualized +5.40% vs +18.34% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBDZ or VYM?
VYM has been the more volatile fund at 9.9% annualized versus 4.4% for IBDZ. Worst drawdown: IBDZ -5.6% vs VYM -14.5%.
Should I hold both IBDZ and VYM?
IBDZ and VYM have a monthly-return correlation of 0.58, 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, IBDZ or VYM?
IBDZ yields 4.92% while VYM yields 2.24%, so IBDZ currently pays the higher dividend yield.
Is VYM better than IBDZ?
VYM has a lower expense ratio. VYM led over 1Y and the full window. IBDZ is less concentrated, with 8.2% of the fund in its ten largest positions against 25.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.