ITDG vs VYM
iShares LifePath Target Date 2055 ETF vs Vanguard High Dividend Yield ETF
Which is better, ITDG or VYM?
Target Date against Large Cap Value.
VYM has a lower expense ratio. ITDG led over 3Y and the full window, VYM over 1Y.
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 | ITDG | VYM |
|---|---|---|
| Expense Ratio | 0.12% | 0.04%Best |
| AUM | $62M | $81.6B |
| Dividend Yield | 1.40% | 2.22% |
| Holdings | 8 | 613 |
| YTD Return | +11.81% | +12.87%Best |
| 1Y Return | +16.78% | +17.25%Best |
| 3Y Return (annualized) | +22.47%Best | +17.66% |
| 5Y Return (annualized) | - | +11.98% |
| Volatility (annualized) | 11.6% | 10.5%Best |
| Max Drawdown | -16.6% | -14.5%Best |
| $10,000 over 2.9 years | $18,001Best | $17,025 |
| Top 10 Weight | - | 26.1% |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Allocation/Balanced | Equity |
| Style | Target Date | Large Cap Value |
| Inception | Oct 17, 2023 | Nov 10, 2006 |
Volatility and max drawdown, and the $10,000 over 2.9 years row, are measured over the window both funds cover: Oct 19, 2023 to Sep 15, 2026 (2.9 years).
ITDG 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 2.9 years both funds cover.
ITDG vs VYM Performance
iShares LifePath Target Date 2055 ETF (ITDG) 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 ITDG returned +16.78% while VYM returned +17.25%. Year to date, ITDG is up 11.81% versus a gain of 12.87% for VYM.
Over three years, ITDG compounded at +22.47% per year against +17.66% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ITDG has been the more volatile fund, with annualized monthly volatility of 11.6% compared with 10.5% 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 -16.6% for ITDG and -14.5% 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 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ITDG charges 0.12% per year while VYM charges 0.04%. On a $10,000 position that is $12 vs $4 annually, a gap of $8 per year that compounds over a long holding period. On income, ITDG currently yields 1.40% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 7 holdings in ITDG 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 7 positions we hold weights for in ITDG and 557 in VYM, against full books of 8 and 613.
What only one of them owns
Our book lists 528 positions for VYM that do not appear in our book for ITDG (97.1% of the fund), and 7 for ITDG that do not appear in VYM (100.0%).
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.
You are not choosing between two funds in isolation.
Whichever of ITDG 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, ITDG or VYM?
ITDG has an expense ratio of 0.12% while VYM charges 0.04%. VYM is the cheaper option, by $8 a year on a $10,000 investment.
Which performed better, ITDG or VYM?
Over the past year ITDG returned +16.78% vs +17.25% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ITDG or VYM?
ITDG has been the more volatile fund at 11.6% annualized versus 10.5% for VYM. Worst drawdown: ITDG -16.6% vs VYM -14.5%.
Should I hold both ITDG and VYM?
ITDG and VYM have a monthly-return correlation of 0.83, 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, ITDG or VYM?
ITDG yields 1.40% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.
Is VYM better than ITDG?
VYM has a lower expense ratio. ITDG led over 3Y and the full window, VYM over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.