IWY vs VYM

IWY vs VYM

Which is better, IWY or VYM?

Large Cap Growth against Large Cap Value.

VYM has a lower expense ratio. IWY led over 3Y, 5Y and the full window, VYM over 1Y. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 61.9%.

Lower Fees: VYMHigher Returns: splitLess 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

MetricIWYVYM
Expense Ratio0.20%0.04%Best
AUM$15.7B$81.6B
Dividend Yield0.35%2.22%
Holdings105613
YTD Return+2.77%+12.87%Best
1Y Return+5.13%+17.25%Best
3Y Return (annualized)+21.48%Best+17.66%
5Y Return (annualized)+12.53%Best+11.98%
Volatility (annualized)16.0%13.1%Best
Max Drawdown-32.7%Best-35.7%
$10,000 over 5 years$18,044Best$17,608
Top 10 Weight61.9%26.1%Best
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryEquityEquity
StyleLarge Cap GrowthLarge Cap Value
InceptionSep 22, 2009Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Sep 28, 2009 to Sep 15, 2026 (17 years).

IWY 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 17 years both funds cover.

IWY vs VYM Performance

iShares Russell Top 200 Growth ETF (IWY) 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 IWY returned +5.13% while VYM returned +17.25%. Year to date, IWY is up 2.77% versus a gain of 12.87% for VYM.

Over three years, IWY compounded at +21.48% per year against +17.66% for VYM; over five years the annualized figures are +12.53% and +11.98% respectively. Across the full 17-year window we track, IWY has the edge at +15.60% annualized vs +10.11%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IWY has been the more volatile fund, with annualized monthly volatility of 16.0% compared with 13.1% 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 -32.7% for IWY 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 0.75. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

IWY 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, IWY currently yields 0.35% against 2.22% for VYM.

Holdings Overlap

IWY already in VYM12.4%
VYM already in IWY26.7%

12.4% of IWY's money is in holdings VYM also owns. 26.7% of VYM's money is in holdings IWY also owns.

VYM and IWY share little of their money.

28 positions in common, counted across the 102 positions we hold weights for in IWY and 557 in VYM, against full books of 105 and 613.

What only one of them owns

Our book lists 500 positions for VYM that do not appear in our book for IWY (70.4% of the fund), and 73 for IWY that do not appear in VYM (87.5%).

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 IWYWeight in VYMDifference
AVGOBroadcom Inc5.60%7.35%1.75%
CATCaterpillar, Inc.1.26%1.50%0.24%
HDHome Depot Inc/The0.84%1.34%0.50%
ABBVAbbvie Inc.0.13%1.80%1.67%
TXNTexas Instrument Inc0.83%1.02%0.19%
ORCLOracle Corp - Common0.89%0.90%0.01%
BACBank of America Corp.: Financials0.10%1.66%1.56%
KOCoca Cola Co.0.14%1.38%1.24%
AMGNAmgen Inc.0.57%0.78%0.21%
CCitigroup Inc.0.12%0.89%0.77%

26.7% of VYM is already inside IWY.

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

IWYVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IWY or VYM?

IWY 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, IWY or VYM?

Over the past year IWY returned +5.13% vs +17.25% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (17 years), IWY annualized +15.60% vs +10.11% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IWY or VYM?

IWY has been the more volatile fund at 16.0% annualized versus 13.1% for VYM. Worst drawdown: IWY -32.7% vs VYM -35.7%.

Should I hold both IWY and VYM?

IWY and VYM have a monthly-return correlation of 0.75, 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 IWY and VYM?

26.7% of VYM's money is in holdings IWY also owns. 26.7% of VYM's is in holdings IWY also owns. They hold 28 positions in common, counted across the 102 positions we hold weights for in IWY and 557 in VYM.

Which pays a higher dividend, IWY or VYM?

IWY yields 0.35% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.

Is VYM better than IWY?

VYM has a lower expense ratio. IWY led over 3Y, 5Y and the full window, VYM over 1Y. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 61.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.