MCSE vs VYM

MCSE vs VYM

Which is better, MCSE or VYM?

Mid Cap Growth against Large Cap Value.

VYM has a lower expense ratio. VYM led over 1Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 51.7%.

Lower Fees: VYMHigher Returns: VYMLess 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

MetricMCSEVYM
Expense Ratio0.59%0.04%Best
AUM$3M$81.6B
Dividend Yield3.77%2.24%
Holdings28613
Volatility (annualized)19.2%11.7%Best
Max Drawdown-25.9%-14.5%Best
$10,000 over 3.2 years$12,200$15,145Best
Top 10 Weight51.7%25.9%Best
Fund FamilyFranklin Templeton Investments (US)Vanguard (US)
CategoryEquityEquity
StyleMid Cap GrowthLarge Cap Value
InceptionOct 31, 2022Nov 10, 2006

Not shown on this pair: YTD Return, 1Y Return, 3Y Return (annualized), 5Y Return (annualized).

The two price series end 239 days apart, so a return over any period would be measuring two different stretches of market. Those rows are withheld. MCSE has data through Jan 8, 2026 and VYM through Sep 4, 2026.

Volatility and max drawdown, and the $10,000 over 3.2 years row, are measured over the window both funds cover: Oct 31, 2022 to Jan 8, 2026 (3.2 years).

Risk: Volatility and Drawdowns

MCSE has been the more volatile fund, with annualized monthly volatility of 19.2% compared with 11.7% 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 -25.9% for MCSE 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 0.64. They move together some of the time, and apart the rest.

Fees and Cost Over Time

MCSE charges 0.59% per year while VYM charges 0.04%. On a $10,000 position that is $59 vs $4 annually, a gap of $55 per year that compounds over a long holding period. On income, MCSE currently yields 3.77% against 2.24% for VYM.

Holdings Overlap

MCSE already in VYM4.8%
VYM already in MCSE1.0%

4.8% of MCSE's money is in holdings VYM also owns. 1.0% of VYM's money is in holdings MCSE also owns.

MCSE and VYM share little of their money.

The two holdings books were reported 214 days apart, MCSE as of Nov 28, 2025 and VYM as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.

1 positions in common, counted across the 26 positions we hold weights for in MCSE and 603 in VYM, against full books of 28 and 613.

What only one of them owns

Our book lists 569 positions for VYM that do not appear in our book for MCSE (96.4% of the fund), and 2 for MCSE that do not appear in VYM (9.8%).

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 MCSEWeight in VYMDifference
LINLinde Plc (united Kingdom)4.82%0.99%3.83%

You are not choosing between two funds in isolation.

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

MCSEVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, MCSE or VYM?

MCSE has an expense ratio of 0.59% while VYM charges 0.04%. VYM is the cheaper option, by $55 a year on a $10,000 investment.

Which is riskier, MCSE or VYM?

MCSE has been the more volatile fund at 19.2% annualized versus 11.7% for VYM. Worst drawdown: MCSE -25.9% vs VYM -14.5%.

Should I hold both MCSE and VYM?

MCSE and VYM have a monthly-return correlation of 0.64, 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 MCSE and VYM?

4.8% of MCSE's money is in holdings VYM also owns. 1.0% of VYM's is in holdings MCSE also owns. They hold 1 positions in common, counted across the 26 positions we hold weights for in MCSE and 603 in VYM.

Which pays a higher dividend, MCSE or VYM?

MCSE yields 3.77% while VYM yields 2.24%, so MCSE currently pays the higher dividend yield.

Is VYM better than MCSE?

VYM has a lower expense ratio. VYM led over 1Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 51.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.