MGOV vs VYM

MGOV vs VYM

Which is better, MGOV or VYM?

VYM has been ahead.

VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window.

Lower Fees: VYMHigher Returns: 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

MetricMGOVVYM
Expense Ratio0.49%0.04%Best
AUM$101M$81.6B
Dividend Yield4.88%2.22%
Holdings206613
YTD Return-1.04%+13.91%Best
1Y Return-0.59%+17.57%Best
3Y Return (annualized)+4.43%+18.12%Best
5Y Return (annualized)-+12.17%
Volatility (annualized)6.4%Best10.8%
Max Drawdown-6.1%Best-14.5%
$10,000 over 3.1 years$11,337$16,222Best
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryFixed IncomeEquity
Style-Large Cap Value
InceptionAug 2, 2023Nov 10, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown, and the $10,000 over 3.1 years row, are measured over the window both funds cover: Aug 3, 2023 to Sep 11, 2026 (3.1 years).

MGOV 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 3.1 years both funds cover.

MGOV vs VYM Performance

First Trust Intermediate Government Opportunities ETF (MGOV) is an ETF from First Trust Portfolios (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year MGOV returned -0.59% while VYM returned +17.57%. Year to date, MGOV is down 1.04% versus a gain of 13.91% for VYM.

Over three years, MGOV compounded at +4.43% per year against +18.12% for VYM.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 10.8% compared with 6.4% for MGOV. 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 -6.1% for MGOV 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

MGOV charges 0.49% per year while VYM charges 0.04%. On a $10,000 position that is $49 vs $4 annually, a gap of $45 per year that compounds over a long holding period. On income, MGOV currently yields 4.88% against 2.22% for VYM.

Holdings Overlap

We hold position weights for 74 holdings in MGOV and 603 in VYM, totalling 48.1% 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 74 positions we hold weights for in MGOV and 603 in VYM, against full books of 206 and 613.

You are not choosing between two funds in isolation.

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

MGOVVYM

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Frequently Asked Questions

Which is cheaper, MGOV or VYM?

MGOV has an expense ratio of 0.49% while VYM charges 0.04%. VYM is the cheaper option, by $45 a year on a $10,000 investment.

Which performed better, MGOV or VYM?

Over the past year MGOV returned -0.59% vs +17.57% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, MGOV or VYM?

VYM has been the more volatile fund at 10.8% annualized versus 6.4% for MGOV. Worst drawdown: MGOV -6.1% vs VYM -14.5%.

Should I hold both MGOV and VYM?

MGOV 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.

Which pays a higher dividend, MGOV or VYM?

MGOV yields 4.88% while VYM yields 2.22%, so MGOV currently pays the higher dividend yield.

Is VYM better than MGOV?

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.