INCE vs VYM
Franklin Income Equity Focus ETF vs Vanguard High Dividend Yield ETF
Quick Verdict
VYM has a lower expense ratio. INCE delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.
Side-by-Side Comparison
| Metric | INCE | VYM | Winner |
|---|---|---|---|
| Expense Ratio | 0.29% | 0.04% | |
| AUM | $132M | $79.0B | |
| Dividend Yield | 4.82% | 2.86% | |
| Holdings | 82 | 568 | |
| YTD Return | +16.39% | +16.16% | |
| 1Y Return | +26.41% | +26.05% | |
| 3Y Return (annualized) | +16.73% | +18.43% | |
| 5Y Return (annualized) | +10.89% | +12.21% | |
| Volatility (annualized) | 13.8% | 14.6% | |
| Max Drawdown | -34.1% | -58.8% | |
| Fund Family | Franklin Templeton Investments (US) | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Sep 20, 2016 | Nov 10, 2006 |
INCE vs VYM Performance
Franklin Income Equity Focus ETF (INCE) is a ETF from Franklin Templeton Investments (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year INCE returned +26.41% while VYM returned +26.05%. Year to date, INCE is up 16.39% versus a gain of 16.16% for VYM.
Over three years, INCE compounded at +16.73% per year against +18.43% for VYM; over five years the annualized figures are +10.89% and +12.21% respectively. Across the full 10-year window we track, INCE has the edge at +12.56% annualized vs +7.09%. 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 13.8% for INCE. 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 -34.1% for INCE and -58.8% for VYM. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.
The two funds' monthly returns correlate at 0.93. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
INCE charges 0.29% per year while VYM charges 0.04%. On a $10,000 position that is $29 vs $4 annually, a gap of $25 per year that compounds over a long holding period. On income, INCE currently yields 4.82% against 2.86% for VYM.
Holdings Overlap
INCE and VYM share 34 holdings out of 571 unique holdings combined, representing a 26.3% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, INCE or VYM?
INCE has an expense ratio of 0.29% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $25 per year of difference.
Which performed better, INCE or VYM?
Over the past year INCE returned +26.41% vs +26.05% for VYM, so INCE leads on 1-year performance. Over the longest common window we track (10 years), INCE annualized +12.56% vs +7.09% for VYM. Past performance does not guarantee future results.
Which is riskier, INCE or VYM?
VYM has been the more volatile fund at 14.6% annualized versus 13.8% for INCE. Worst drawdown: INCE -34.1% vs VYM -58.8%.
Should I hold both INCE and VYM?
INCE and VYM have a monthly-return correlation of 0.93, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.
What is the holdings overlap between INCE and VYM?
INCE and VYM share 34 common holdings with a 26.3% weight overlap. Combined, they hold 571 unique securities.
Which pays a higher dividend, INCE or VYM?
INCE yields 4.82% while VYM yields 2.86%, so INCE currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.