IBIC vs VYM
iShares iBonds Oct 2026 Term TIPS ETF vs Vanguard High Dividend Yield ETF
Which is better, IBIC or VYM?
Short Term Bond against Large Cap Value.
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 | IBIC | VYM |
|---|---|---|
| Expense Ratio | 0.10% | 0.04%Best |
| AUM | $74M | $95.8B |
| Dividend Yield | 4.59% | 2.23% |
| Holdings | 3 | 610 |
| Volatility (annualized) | 1.0%Best | 11.0% |
| Max Drawdown | -0.9%Best | -14.5% |
| $10,000 over 3.1 years | $11,691 | $16,270Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Short Term Bond | Large Cap Value |
| Inception | Sep 13, 2023 | Nov 10, 2006 |
Not shown on this pair: YTD Return, 1Y Return, 3Y Return (annualized), 5Y Return (annualized), Top 10 Weight.
The two price series end 22 days apart, so a return over any period would be measuring two different stretches of market. Those rows are withheld. IBIC has data through Oct 15, 2026 and VYM through Nov 6, 2026.
Volatility and max drawdown, and the $10,000 over 3.1 years row, are measured over the window both funds cover: Sep 15, 2023 to Oct 15, 2026 (3.1 years).
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 11.0% compared with 1.0% for IBIC. 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 -0.9% for IBIC 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 0.15. They move largely independently of each other.
Fees and Cost Over Time
IBIC 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, IBIC currently yields 4.59% against 2.23% for VYM.
Holdings Overlap
We hold position weights for 2 holdings in IBIC and 602 in VYM, totalling 98.8% and 100.0% 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 2 positions we hold weights for in IBIC and 602 in VYM, against full books of 3 and 610.
You are not choosing between two funds in isolation.
Whichever of IBIC 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, IBIC or VYM?
IBIC 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 is riskier, IBIC or VYM?
VYM has been the more volatile fund at 11.0% annualized versus 1.0% for IBIC. Worst drawdown: IBIC -0.9% vs VYM -14.5%.
Should I hold both IBIC and VYM?
IBIC and VYM have a monthly-return correlation of 0.15, 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, IBIC or VYM?
IBIC yields 4.59% while VYM yields 2.23%, so IBIC currently pays the higher dividend yield.
Is VYM better than IBIC?
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.