LIAE vs VYM

Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricLIAEVYMWinner
Expense Ratio0.25%0.04%
AUM$3M$79.0B
Dividend Yield9.74%2.86%
Holdings20568
YTD Return-4.31%+16.16%
1Y Return-2.37%+26.05%
3Y Return (annualized)-+18.43%
5Y Return (annualized)-+12.21%
Volatility (annualized)5.9%14.6%
Max Drawdown-7.0%-58.8%
Fund FamilyStone Ridge Asset ManagementVanguard (US)
CategoryFixed IncomeEquity
InceptionJan 17, 2024Nov 10, 2006

LIAE vs VYM Performance

LifeX 2050 Inflation-Protected Longevity Income ETF (LIAE) is a ETF from Stone Ridge Asset Management and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year LIAE returned -2.37% while VYM returned +26.05%. Year to date, LIAE is down 4.31% versus a gain of 16.16% for VYM.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 5.9% for LIAE. 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 -7.0% for LIAE and -58.8% for VYM. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.49. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

LIAE charges 0.25% per year while VYM charges 0.04%. On a $10,000 position that is $25 vs $4 annually, a gap of $21 per year that compounds over a long holding period. On income, LIAE currently yields 9.74% against 2.86% for VYM.

Holdings Overlap

0.0%overlap

LIAE and VYM share 0 holdings out of 575 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, LIAE or VYM?

LIAE has an expense ratio of 0.25% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $21 per year of difference.

Which performed better, LIAE or VYM?

Over the past year LIAE returned -2.37% vs +26.05% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), LIAE annualized -2.10% vs +7.09% for VYM. Past performance does not guarantee future results.

Which is riskier, LIAE or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 5.9% for LIAE. Worst drawdown: LIAE -7.0% vs VYM -58.8%.

Should I hold both LIAE and VYM?

LIAE and VYM have a monthly-return correlation of 0.49, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LIAE and VYM?

LIAE and VYM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 575 unique securities.

Which pays a higher dividend, LIAE or VYM?

LIAE yields 9.74% while VYM yields 2.86%, so LIAE currently pays the higher dividend yield.

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