IBGB vs VYM
iShares iBonds Dec 2045 Term Treasury ETF vs Vanguard High Dividend Yield ETF
Which is better, IBGB or VYM?
VYM has been ahead.
VYM has a lower expense ratio. VYM led over 1Y 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 | IBGB | VYM |
|---|---|---|
| Expense Ratio | 0.07% | 0.04%Best |
| AUM | $9M | $81.6B |
| Dividend Yield | 4.76% | 2.22% |
| Holdings | 10 | 613 |
| YTD Return | -2.85% | +12.29%Best |
| 1Y Return | -3.68% | +16.61%Best |
| 3Y Return (annualized) | - | +17.42% |
| 5Y Return (annualized) | - | +12.12% |
| Volatility (annualized) | 7.3%Best | 9.7% |
| Max Drawdown | -7.7%Best | -11.3% |
| $10,000 over 1.5 years | $10,093 | $12,860Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Value |
| Inception | Mar 25, 2025 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 1.5 years row, are measured over the window both funds cover: Mar 26, 2025 to Sep 17, 2026 (1.5 years).
IBGB 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 1.5 years both funds cover.
IBGB vs VYM Performance
iShares iBonds Dec 2045 Term Treasury ETF (IBGB) 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 IBGB returned -3.68% while VYM returned +16.61%. Year to date, IBGB is down 2.85% versus a gain of 12.29% 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 9.7% compared with 7.3% for IBGB. 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 -7.7% for IBGB and -11.3% 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 0.31. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IBGB charges 0.07% per year while VYM charges 0.04%. On a $10,000 position that is $7 vs $4 annually, a gap of $3 per year that compounds over a long holding period. On income, IBGB currently yields 4.76% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 8 holdings in IBGB and 557 in VYM, totalling 82.7% 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 8 positions we hold weights for in IBGB and 557 in VYM, against full books of 10 and 613.
You are not choosing between two funds in isolation.
Whichever of IBGB 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, IBGB or VYM?
IBGB has an expense ratio of 0.07% while VYM charges 0.04%. VYM is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, IBGB or VYM?
Over the past year IBGB returned -3.68% vs +16.61% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), IBGB annualized +0.62% vs +18.26% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBGB or VYM?
VYM has been the more volatile fund at 9.7% annualized versus 7.3% for IBGB. Worst drawdown: IBGB -7.7% vs VYM -11.3%.
Should I hold both IBGB and VYM?
IBGB and VYM have a monthly-return correlation of 0.31, 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, IBGB or VYM?
IBGB yields 4.76% while VYM yields 2.22%, so IBGB currently pays the higher dividend yield.
Is VYM better than IBGB?
VYM has a lower expense ratio. VYM led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.