MZZ vs VYM

MZZ vs VYM

Which is better, MZZ or VYM?

Opposite sides of the same exposure.

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. The two move opposite each other, correlation -0.85, so holding both offsets the exposure while paying both fees.

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

MetricMZZVYM
Expense Ratio0.95%0.04%Best
AUM$4M$81.6B
Dividend Yield5.56%2.22%
Holdings4613
YTD Return-15.46%+11.35%Best
1Y Return-16.80%+15.34%Best
3Y Return (annualized)-21.16%+17.22%Best
5Y Return (annualized)-16.19%+12.30%Best
Volatility (annualized)35.2%14.6%Best
Max Drawdown--58.8%
$10,000 over 5 years$4,135$17,861Best
Fund FamilyProSharesVanguard (US)
CategoryAlternativeEquity
StyleTrading-Inverse EquityLarge Cap Value
InceptionJul 11, 2006Nov 10, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 18, 2026 (19.8 years).

MZZ 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 19.8 years both funds cover.

MZZ vs VYM Performance

ProShares UltraShort MidCap 400 (MZZ) is an ETF from ProShares and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year MZZ returned -16.80% while VYM returned +15.34%. Year to date, MZZ is down 15.46% versus a gain of 11.35% for VYM.

Over three years, MZZ compounded at -21.16% per year against +17.22% for VYM; over five years the annualized figures are -16.19% and +12.30% respectively. Across the full 20-year window we track, VYM has the edge at +6.82% annualized vs -27.08%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

MZZ has been the more volatile fund, with annualized monthly volatility of 35.2% compared with 14.6% for VYM. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The two funds' monthly returns correlate at -0.85. They move opposite each other. Holding both offsets the exposure rather than spreading it, while paying both funds' fees.

Fees and Cost Over Time

MZZ charges 0.95% per year while VYM charges 0.04%. On a $10,000 position that is $95 vs $4 annually, a gap of $91 per year that compounds over a long holding period. On income, MZZ currently yields 5.56% against 2.22% for VYM.

You are not choosing between two funds in isolation.

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

MZZVYM

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Frequently Asked Questions

Which is cheaper, MZZ or VYM?

MZZ has an expense ratio of 0.95% while VYM charges 0.04%. VYM is the cheaper option, by $91 a year on a $10,000 investment.

Which performed better, MZZ or VYM?

Over the past year MZZ returned -16.80% vs +15.34% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), MZZ annualized -27.08% vs +6.82% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, MZZ or VYM?

MZZ has been the more volatile fund at 35.2% annualized versus 14.6% for VYM.

Should I hold both MZZ and VYM?

MZZ and VYM have a monthly-return correlation of -0.85, so they move opposite each other. Holding both offsets the exposure rather than spreading it, and pays both funds' fees on the way. This is information, not a recommendation.

Which pays a higher dividend, MZZ or VYM?

MZZ yields 5.56% while VYM yields 2.22%, so MZZ currently pays the higher dividend yield.

Is VYM better than MZZ?

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. The two move opposite each other, correlation -0.85, so holding both offsets the exposure while paying both fees. Which one suits a particular account depends on what it is for. This is information, not a recommendation.