ITM vs VYM

ITM vs VYM

Which is better, ITM or VYM?

Municipal Bond against Large Cap Value.

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VYMHigher Returns: 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

MetricITMVYM
Expense Ratio0.18%0.04%Best
AUM$2.2B$81.6B
Dividend Yield3.01%2.24%
Holdings1,378613
YTD Return-3.92%+14.82%Best
1Y Return-0.15%+20.84%Best
3Y Return (annualized)+2.25%+18.64%Best
5Y Return (annualized)-0.53%+12.28%Best
Volatility (annualized)24.6%14.8%Best
Max Drawdown-46.2%Best-57.3%
$10,000 over 5 years$9,738$17,845Best
Fund FamilyVanEckVanguard (US)
CategoryTax PreferredEquity
StyleMunicipal BondLarge Cap Value
InceptionDec 4, 2007Nov 10, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Dec 6, 2007 to Sep 4, 2026 (18.7 years).

ITM 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 18.7 years both funds cover.

ITM vs VYM Performance

VanEck Intermediate Muni ETF (ITM) is an ETF from VanEck and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year ITM returned -0.15% while VYM returned +20.84%. Year to date, ITM is down 3.92% versus a gain of 14.82% for VYM.

Over three years, ITM compounded at +2.25% per year against +18.64% for VYM; over five years the annualized figures are -0.53% and +12.28% respectively. Across the full 19-year window we track, VYM has the edge at +7.09% annualized vs +3.11%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

ITM has been the more volatile fund, with annualized monthly volatility of 24.6% compared with 14.8% 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 -46.2% for ITM and -57.3% 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 0.09. They move largely independently of each other.

Fees and Cost Over Time

ITM charges 0.18% per year while VYM charges 0.04%. On a $10,000 position that is $18 vs $4 annually, a gap of $14 per year that compounds over a long holding period. On income, ITM currently yields 3.01% against 2.24% for VYM.

Holdings Overlap

We hold position weights for 394 holdings in ITM and 603 in VYM, totalling 33.0% 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 394 positions we hold weights for in ITM and 603 in VYM, against full books of 1,378 and 613.

You are not choosing between two funds in isolation.

Whichever of ITM and VYM you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

ITMVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, ITM or VYM?

ITM has an expense ratio of 0.18% while VYM charges 0.04%. VYM is the cheaper option, by $14 a year on a $10,000 investment.

Which performed better, ITM or VYM?

Over the past year ITM returned -0.15% vs +20.84% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (19 years), ITM annualized +3.11% vs +7.09% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, ITM or VYM?

ITM has been the more volatile fund at 24.6% annualized versus 14.8% for VYM. Worst drawdown: ITM -46.2% vs VYM -57.3%.

Should I hold both ITM and VYM?

ITM and VYM have a monthly-return correlation of 0.09, 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, ITM or VYM?

ITM yields 3.01% while VYM yields 2.24%, so ITM currently pays the higher dividend yield.

Is VYM better than ITM?

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.