IBTJ vs VYM
iShares iBonds Dec 2029 Term Treasury ETF vs Vanguard High Dividend Yield ETF
Which is better, IBTJ or VYM?
VYM has been ahead.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y 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 | IBTJ | VYM |
|---|---|---|
| Expense Ratio | 0.07% | 0.04%Best |
| AUM | $1.4B | $83.1B |
| Dividend Yield | 3.78% | 2.22% |
| Holdings | 38 | 608 |
| YTD Return | -0.68% | +10.00%Best |
| 1Y Return | +0.22% | +13.75%Best |
| 3Y Return (annualized) | +4.66% | +18.81%Best |
| 5Y Return (annualized) | -0.30% | +11.63%Best |
| Volatility (annualized) | 5.4%Best | 15.2% |
| Max Drawdown | -20.5%Best | -30.4% |
| $10,000 over 5 years | $9,851 | $17,334Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Value |
| Inception | Feb 25, 2020 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Feb 28, 2020 to Oct 2, 2026 (6.6 years).
IBTJ 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 6.6 years both funds cover.
IBTJ vs VYM Performance
iShares iBonds Dec 2029 Term Treasury ETF (IBTJ) 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 IBTJ returned +0.22% while VYM returned +13.75%. Year to date, IBTJ is down 0.68% versus a gain of 10.00% for VYM.
Over three years, IBTJ compounded at +4.66% per year against +18.81% for VYM; over five years the annualized figures are -0.30% and +11.63% respectively. Across the full 7-year window we track, VYM has the edge at +12.99% annualized vs -0.30%.
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 5.4% for IBTJ. 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 -20.5% for IBTJ 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 0.17. They move largely independently of each other.
Fees and Cost Over Time
IBTJ 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, IBTJ currently yields 3.78% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 29 holdings in IBTJ and 557 in VYM, totalling 78.1% 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 29 positions we hold weights for in IBTJ and 557 in VYM, against full books of 38 and 608.
You are not choosing between two funds in isolation.
Whichever of IBTJ 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, IBTJ or VYM?
IBTJ 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, IBTJ or VYM?
Over the past year IBTJ returned +0.22% vs +13.75% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (7 years), IBTJ annualized -0.30% vs +12.99% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBTJ or VYM?
VYM has been the more volatile fund at 15.2% annualized versus 5.4% for IBTJ. Worst drawdown: IBTJ -20.5% vs VYM -30.4%.
Should I hold both IBTJ and VYM?
IBTJ and VYM have a monthly-return correlation of 0.17, 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, IBTJ or VYM?
IBTJ yields 3.78% while VYM yields 2.22%, so IBTJ currently pays the higher dividend yield.
Is VYM better than IBTJ?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.