ICVT vs VYM
iShares Convertible Bond ETF vs Vanguard High Dividend Yield ETF
Which is better, ICVT or VYM?
Convertibles against Large Cap Value.
VYM has a lower expense ratio. ICVT led over the full window, VYM over 1Y, 3Y and 5Y.
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 | ICVT | VYM |
|---|---|---|
| Expense Ratio | 0.20% | 0.04%Best |
| AUM | $7.8B | $81.6B |
| Dividend Yield | 1.39% | 2.24% |
| Holdings | 377 | 613 |
| YTD Return | +14.00% | +15.29%Best |
| 1Y Return | +21.57% | +22.23%Best |
| 3Y Return (annualized) | +16.58% | +18.81%Best |
| 5Y Return (annualized) | +4.97% | +12.14%Best |
| Volatility (annualized) | 14.6% | 14.0%Best |
| Max Drawdown | -33.3%Best | -35.7% |
| $10,000 over 5 years | $12,745 | $17,734Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Convertible | Equity |
| Style | Convertibles | Large Cap Value |
| Inception | Jun 2, 2015 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jun 4, 2015 to Sep 3, 2026 (11.2 years).
ICVT 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 11.2 years both funds cover.
ICVT vs VYM Performance
iShares Convertible Bond ETF (ICVT) 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 ICVT returned +21.57% while VYM returned +22.23%. Year to date, ICVT is up 14.00% versus a gain of 15.29% for VYM.
Over three years, ICVT compounded at +16.58% per year against +18.81% for VYM; over five years the annualized figures are +4.97% and +12.14% respectively. Across the full 11-year window we track, ICVT has the edge at +10.94% annualized vs +9.58%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ICVT has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 14.0% for VYM. 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 -33.3% for ICVT and -35.7% 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 0.66. They move together some of the time, and apart the rest.
Fees and Cost Over Time
ICVT charges 0.20% per year while VYM charges 0.04%. On a $10,000 position that is $20 vs $4 annually, a gap of $16 per year that compounds over a long holding period. On income, ICVT currently yields 1.39% against 2.24% for VYM.
Holdings Overlap
We hold position weights for 128 holdings in ICVT and 603 in VYM, totalling 36.8% 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 128 positions we hold weights for in ICVT and 603 in VYM, against full books of 377 and 613.
You are not choosing between two funds in isolation.
Whichever of ICVT 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, ICVT or VYM?
ICVT has an expense ratio of 0.20% while VYM charges 0.04%. VYM is the cheaper option, by $16 a year on a $10,000 investment.
Which performed better, ICVT or VYM?
Over the past year ICVT returned +21.57% vs +22.23% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (11 years), ICVT annualized +10.94% vs +9.58% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ICVT or VYM?
ICVT has been the more volatile fund at 14.6% annualized versus 14.0% for VYM. Worst drawdown: ICVT -33.3% vs VYM -35.7%.
Should I hold both ICVT and VYM?
ICVT and VYM have a monthly-return correlation of 0.66, 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, ICVT or VYM?
ICVT yields 1.39% while VYM yields 2.24%, so VYM currently pays the higher dividend yield.
Is VYM better than ICVT?
VYM has a lower expense ratio. ICVT led over the full window, VYM over 1Y, 3Y and 5Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.