KLIP vs VYM
KraneShares KWEB Covered Call Strategy ETF vs Vanguard High Dividend Yield ETF
Which is better, KLIP or VYM?
Option Writing against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window.
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 | KLIP | VYM |
|---|---|---|
| Expense Ratio | 0.94% | 0.04%Best |
| AUM | $97M | $81.6B |
| Dividend Yield | 29.86% | 2.24% |
| Holdings | 7 | 613 |
| YTD Return | -11.51% | +14.82%Best |
| 1Y Return | -9.65% | +20.84%Best |
| 3Y Return (annualized) | +4.54% | +18.64%Best |
| 5Y Return (annualized) | - | +12.28% |
| Volatility (annualized) | 14.5% | 11.3%Best |
| Max Drawdown | -21.5% | -14.5%Best |
| $10,000 over 3.6 years | $11,924 | $16,225Best |
| Fund Family | KraneShares | Vanguard (US) |
| Category | Alternative | Equity |
| Style | Option Writing | Large Cap Value |
| Inception | Jan 11, 2023 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 3.6 years row, are measured over the window both funds cover: Jan 12, 2023 to Sep 4, 2026 (3.6 years).
KLIP 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 3.6 years both funds cover.
KLIP vs VYM Performance
KraneShares KWEB Covered Call Strategy ETF (KLIP) is an ETF from KraneShares and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year KLIP returned -9.65% while VYM returned +20.84%. Year to date, KLIP is down 11.51% versus a gain of 14.82% for VYM.
Over three years, KLIP compounded at +4.54% per year against +18.64% for VYM. Across the full 4-year window we track, VYM has the edge at +14.39% annualized vs +5.01%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
KLIP has been the more volatile fund, with annualized monthly volatility of 14.5% compared with 11.3% 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 -21.5% for KLIP 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 0.46. They move together some of the time, and apart the rest.
Fees and Cost Over Time
KLIP charges 0.94% per year while VYM charges 0.04%. On a $10,000 position that is $94 vs $4 annually, a gap of $90 per year that compounds over a long holding period. On income, KLIP currently yields 29.86% against 2.24% for VYM.
Holdings Overlap
We hold position weights for 1 holding in KLIP and 603 in VYM, totalling 102.6% 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 1 positions we hold weights for in KLIP and 603 in VYM, against full books of 7 and 613.
You are not choosing between two funds in isolation.
Whichever of KLIP 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, KLIP or VYM?
KLIP has an expense ratio of 0.94% while VYM charges 0.04%. VYM is the cheaper option, by $90 a year on a $10,000 investment.
Which performed better, KLIP or VYM?
Over the past year KLIP returned -9.65% vs +20.84% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (4 years), KLIP annualized +5.01% vs +14.39% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, KLIP or VYM?
KLIP has been the more volatile fund at 14.5% annualized versus 11.3% for VYM. Worst drawdown: KLIP -21.5% vs VYM -14.5%.
Should I hold both KLIP and VYM?
KLIP and VYM have a monthly-return correlation of 0.46, 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, KLIP or VYM?
KLIP yields 29.86% while VYM yields 2.24%, so KLIP currently pays the higher dividend yield.
Is VYM better than KLIP?
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.