IBTG vs VYM
iShares iBonds Dec 2026 Term Treasury ETF vs Vanguard High Dividend Yield ETF
Which is better, IBTG or VYM?
VYM has been ahead.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 83.8%.
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 | IBTG | VYM |
|---|---|---|
| Expense Ratio | 0.07% | 0.04%Best |
| AUM | $2.0B | $83.1B |
| Dividend Yield | 3.89% | 2.22% |
| Holdings | 17 | 608 |
| YTD Return | +2.59% | +9.22%Best |
| 1Y Return | +3.64% | +12.81%Best |
| 3Y Return (annualized) | +4.77% | +18.21%Best |
| 5Y Return (annualized) | +1.06% | +11.39%Best |
| Volatility (annualized) | 3.3%Best | 15.2% |
| Max Drawdown | -13.9%Best | -30.4% |
| $10,000 over 5 years | $10,541 | $17,149Best |
| Top 10 Weight | 83.8% | 26.1%Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Value |
| Inception | Feb 25, 2020 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Feb 28, 2020 to Oct 1, 2026 (6.6 years).
IBTG 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
IBTG vs VYM Performance
iShares iBonds Dec 2026 Term Treasury ETF (IBTG) 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 IBTG returned +3.64% while VYM returned +12.81%. Year to date, IBTG is up 2.59% versus a gain of 9.22% for VYM.
Over three years, IBTG compounded at +4.77% per year against +18.21% for VYM; over five years the annualized figures are +1.06% and +11.39% respectively. Across the full 7-year window we track, VYM has the edge at +12.87% annualized vs +1.03%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 15.2% compared with 3.3% for IBTG. 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 -13.9% for IBTG and -30.4% 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 0.05. They move largely independently of each other.
Fees and Cost Over Time
IBTG 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, IBTG currently yields 3.89% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 16 holdings in IBTG and 557 in VYM, totalling 100.0% 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 16 positions we hold weights for in IBTG and 557 in VYM, against full books of 17 and 608.
What only one of them owns
Measured across the 16 and 557 positions we hold weights for.
VYM holds 528 positions IBTG does not, 97.1% of the fund.
Largest: AVGO 7.35%, JPM 3.82%, XOM 2.63%, JNJ 2.51%, CSCO 1.86%
You are not choosing between two funds in isolation.
Whichever of IBTG 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, IBTG or VYM?
IBTG 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, IBTG or VYM?
Over the past year IBTG returned +3.64% vs +12.81% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (7 years), IBTG annualized +1.03% vs +12.87% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBTG or VYM?
VYM has been the more volatile fund at 15.2% annualized versus 3.3% for IBTG. Worst drawdown: IBTG -13.9% vs VYM -30.4%.
Should I hold both IBTG and VYM?
IBTG and VYM have a monthly-return correlation of 0.05, 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, IBTG or VYM?
IBTG yields 3.89% while VYM yields 2.22%, so IBTG currently pays the higher dividend yield.
Is VYM better than IBTG?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 83.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.