KCE vs VYM
State Street SPDR S&P Capital Markets ETF vs Vanguard High Dividend Yield ETF
Which is better, KCE or VYM?
Large Cap Blend against Large Cap Value.
VYM has a lower expense ratio. KCE led over 3Y, VYM over 1Y, 5Y and the full window. KCE is less concentrated, with 17.9% of the fund in its ten largest positions against 25.8%.
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 | KCE | VYM |
|---|---|---|
| Expense Ratio | 0.35% | 0.04%Best |
| AUM | $442M | $95.8B |
| Dividend Yield | 1.74% | 2.23% |
| Holdings | 135 | 610 |
| YTD Return | +7.71% | +14.91%Best |
| 1Y Return | +11.31% | +18.73%Best |
| 3Y Return (annualized) | +25.66%Best | +20.11% |
| 5Y Return (annualized) | +10.41% | +11.36%Best |
| Volatility (annualized) | 23.3% | 14.6%Best |
| Max Drawdown | -74.4% | -58.8%Best |
| $10,000 over 5 years | $16,407 | $17,126Best |
| Top 10 Weight | 17.9%Best | 25.8% |
| Fund Family | State Street Investment Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Nov 8, 2005 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Nov 10, 2026 (20 years).
KCE 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 20 years both funds cover.
KCE vs VYM Performance
State Street SPDR S&P Capital Markets ETF (KCE) is an ETF from State Street Investment Management and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year KCE returned +11.31% while VYM returned +18.73%. Year to date, KCE is up 7.71% versus a gain of 14.91% for VYM.
Over three years, KCE compounded at +25.66% per year against +20.11% for VYM; over five years the annualized figures are +10.41% and +11.36% respectively. Across the full 20-year window we track, VYM has the edge at +6.94% annualized vs +5.08%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
KCE has been the more volatile fund, with annualized monthly volatility of 23.3% compared with 14.6% 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 -74.4% for KCE 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 0.81. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
KCE charges 0.35% per year while VYM charges 0.04%. On a $10,000 position that is $35 vs $4 annually, a gap of $31 per year that compounds over a long holding period. On income, KCE currently yields 1.74% against 2.23% for VYM.
Holdings Overlap
52.0% of KCE's money is in holdings VYM also owns. 5.9% of VYM's money is in holdings KCE also owns.
The two portfolios partly overlap.
The two holdings books were reported 46 days apart, KCE as of Oct 16, 2026 and VYM as of Aug 31, 2026, so some of the difference between them is the time between the two reports rather than the funds.
34 positions in common, counted across the 67 positions we hold weights for in KCE and 602 in VYM, against full books of 135 and 610.
What only one of them owns
Our book lists 543 positions for VYM that do not appear in our book for KCE (92.7% of the fund), and 33 for KCE that do not appear in VYM (48.0%).
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.
Top Shared Holdings
| Stock | Weight in KCE | Weight in VYM | Difference |
|---|---|---|---|
| GSGoldman Sachs Group Inc/The | 1.47% | 1.12% | 0.35% |
| BLKBlackrock Inc | 1.73% | 0.71% | 1.02% |
| MSMorgan Stanley | 1.45% | 0.96% | 0.49% |
| CMECme Group Inc. | 1.79% | 0.42% | 1.37% |
| BKBank Of New York Mellon Corp | 1.46% | 0.45% | 1.01% |
| MSCIMsci Inc. Class A | 1.74% | 0.16% | 1.58% |
| NDAQNasdaq Inc | 1.68% | 0.18% | 1.50% |
| BXBlackstone Group Inc. Class A | 1.42% | 0.43% | 0.99% |
| FDSFactset Research Systems Inc. | 1.79% | 0.05% | 1.74% |
| MKTXMarketaxess Holdings Inc?.? | 1.74% | 0.02% | 1.72% |
52.0% of KCE 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.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, KCE or VYM?
KCE has an expense ratio of 0.35% while VYM charges 0.04%. VYM is the cheaper option, by $31 a year on a $10,000 investment.
Which performed better, KCE or VYM?
Over the past year KCE returned +11.31% vs +18.73% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), KCE annualized +5.08% vs +6.94% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, KCE or VYM?
KCE has been the more volatile fund at 23.3% annualized versus 14.6% for VYM. Worst drawdown: KCE -74.4% vs VYM -58.8%.
Should I hold both KCE and VYM?
KCE and VYM have a monthly-return correlation of 0.81, 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 KCE and VYM?
52.0% of KCE's money is in holdings VYM also owns. 5.9% of VYM's is in holdings KCE also owns. They hold 34 positions in common, counted across the 67 positions we hold weights for in KCE and 602 in VYM.
Which pays a higher dividend, KCE or VYM?
KCE yields 1.74% while VYM yields 2.23%, so VYM currently pays the higher dividend yield.
Is VYM better than KCE?
VYM has a lower expense ratio. KCE led over 3Y, VYM over 1Y, 5Y and the full window. KCE is less concentrated, with 17.9% of the fund in its ten largest positions against 25.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.