IDU vs VYM

IDU vs VYM

Which is better, IDU 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 52.2%.

Lower Fees: VYMHigher Returns: VYMLess Concentrated: VYM

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

MetricIDUVYM
Expense Ratio0.38%0.04%Best
AUM$1.3B$81.6B
Dividend Yield2.34%2.22%
Holdings49613
YTD Return-6.30%+9.71%Best
1Y Return-5.81%+13.77%Best
3Y Return (annualized)+11.38%+17.30%Best
5Y Return (annualized)+7.17%+11.45%Best
Volatility (annualized)14.5%Best14.6%
Max Drawdown-49.6%Best-58.8%
$10,000 over 5 years$14,137$17,195Best
Top 10 Weight52.2%26.1%Best
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Value
InceptionJun 12, 2000Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 24, 2026 (19.9 years).

IDU 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 19.9 years both funds cover.

IDU vs VYM Performance

iShares US Utilities ETF (IDU) 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 IDU returned -5.81% while VYM returned +13.77%. Year to date, IDU is down 6.30% versus a gain of 9.71% for VYM.

Over three years, IDU compounded at +11.38% per year against +17.30% for VYM; over five years the annualized figures are +7.17% and +11.45% respectively. Across the full 20-year window we track, VYM has the edge at +6.73% annualized vs +5.01%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 14.5% for IDU. 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 -49.6% for IDU and -58.8% 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 0.57. They move together some of the time, and apart the rest.

Fees and Cost Over Time

IDU charges 0.38% per year while VYM charges 0.04%. On a $10,000 position that is $38 vs $4 annually, a gap of $34 per year that compounds over a long holding period. On income, IDU currently yields 2.34% against 2.22% for VYM.

Holdings Overlap

IDU already in VYM82.2%
VYM already in IDU5.5%

82.2% of IDU's money is in holdings VYM also owns. 5.5% of VYM's money is in holdings IDU also owns.

Most of IDU is already inside VYM. Owning both mostly buys the same companies twice.

35 positions in common, counted across the 46 positions we hold weights for in IDU and 557 in VYM, against full books of 49 and 613.

What only one of them owns

Our book lists 493 positions for VYM that do not appear in our book for IDU (91.6% of the fund), and 9 for IDU that do not appear in VYM (16.6%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

Top Shared Holdings

StockWeight in IDUWeight in VYMDifference
NEENextera Energy Inc11.10%0.74%10.36%
SOSouthern Co.6.41%0.43%5.98%
DUKDuke Energy Corp6.03%0.40%5.63%
WMWaste Mgmt5.26%0.34%4.92%
AEPAmerican Electric Power Co Inc4.31%0.28%4.03%
DDominion Energy Inc.3.75%0.25%3.50%
SRESempra Common Stock3.45%0.24%3.21%
ETREntergy Corp.3.14%0.20%2.94%
XELXcel Energy Inc.3.05%0.20%2.85%
EXCExelon2.89%0.19%2.70%

82.2% of IDU is already inside VYM.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

IDUVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IDU or VYM?

IDU has an expense ratio of 0.38% while VYM charges 0.04%. VYM is the cheaper option, by $34 a year on a $10,000 investment.

Which performed better, IDU or VYM?

Over the past year IDU returned -5.81% vs +13.77% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), IDU annualized +5.01% vs +6.73% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IDU or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 14.5% for IDU. Worst drawdown: IDU -49.6% vs VYM -58.8%.

Should I hold both IDU and VYM?

IDU and VYM have a monthly-return correlation of 0.57, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between IDU and VYM?

82.2% of IDU's money is in holdings VYM also owns. 5.5% of VYM's is in holdings IDU also owns. They hold 35 positions in common, counted across the 46 positions we hold weights for in IDU and 557 in VYM.

Which pays a higher dividend, IDU or VYM?

IDU yields 2.34% while VYM yields 2.22%, so IDU currently pays the higher dividend yield.

Is VYM better than IDU?

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 52.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.