MUNY vs VYM
Vanguard New York Tax-Exempt Bond ETF vs Vanguard High Dividend Yield ETF
Quick Verdict
VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.
Side-by-Side Comparison
| Metric | MUNY | VYM | Winner |
|---|---|---|---|
| Expense Ratio | 0.09% | 0.04% | |
| AUM | $447M | $79.0B | |
| Dividend Yield | 3.11% | 2.86% | |
| Holdings | 3,016 | 568 | |
| YTD Return | -1.12% | +15.80% | |
| 1Y Return | +3.09% | +26.12% | |
| 3Y Return (annualized) | - | +18.25% | |
| 5Y Return (annualized) | - | +12.51% | |
| Volatility (annualized) | 4.3% | 14.6% | |
| Max Drawdown | -3.2% | -58.8% | |
| Fund Family | Vanguard (US) | Vanguard (US) | |
| Category | Tax Preferred | Equity | |
| Inception | May 20, 2025 | Nov 10, 2006 |
MUNY vs VYM Performance
Vanguard New York Tax-Exempt Bond ETF (MUNY) is a ETF from Vanguard (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year MUNY returned +3.09% while VYM returned +26.12%. Year to date, MUNY is down 1.12% versus a gain of 15.80% for VYM.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 4.3% for MUNY. 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 -3.2% for MUNY 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 0.51. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
MUNY charges 0.09% per year while VYM charges 0.04%. On a $10,000 position that is $9 vs $4 annually, a gap of $5 per year that compounds over a long holding period. On income, MUNY currently yields 3.11% against 2.86% for VYM.
Holdings Overlap
MUNY and VYM share 0 holdings out of 908 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, MUNY or VYM?
MUNY has an expense ratio of 0.09% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $5 per year of difference.
Which performed better, MUNY or VYM?
Over the past year MUNY returned +3.09% vs +26.12% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (1 years), MUNY annualized +3.50% vs +7.07% for VYM. Past performance does not guarantee future results.
Which is riskier, MUNY or VYM?
VYM has been the more volatile fund at 14.6% annualized versus 4.3% for MUNY. Worst drawdown: MUNY -3.2% vs VYM -58.8%.
Should I hold both MUNY and VYM?
MUNY and VYM have a monthly-return correlation of 0.51, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between MUNY and VYM?
MUNY and VYM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 908 unique securities.
Which pays a higher dividend, MUNY or VYM?
MUNY yields 3.11% while VYM yields 2.86%, so MUNY currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.