NIE vs VYM
Virtus Equity & Convertible Income Fund vs Vanguard High Dividend Yield ETF
Which is better, NIE or VYM?
Equity-oriented Balanced against Large Cap Value.
VYM has a lower expense ratio. NIE led over 3Y, VYM over 1Y, 5Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 28.3%.
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
| Metric | NIE | VYM |
|---|---|---|
| Expense Ratio | 1.07% | 0.04%Best |
| AUM | $793M | $81.6B |
| Dividend Yield | 9.01% | 2.22% |
| Holdings | 196 | 613 |
| YTD Return | +7.39% | +12.29%Best |
| 1Y Return | +12.73% | +16.61%Best |
| 3Y Return (annualized) | +18.09%Best | +17.42% |
| 5Y Return (annualized) | +9.01% | +12.12%Best |
| Volatility (annualized) | 17.6% | 14.6%Best |
| Max Drawdown | -63.8% | -58.8%Best |
| $10,000 over 5 years | $15,393 | $17,718Best |
| Top 10 Weight | 28.3% | 26.1%Best |
| Fund Family | Virtus Investment Partners | Vanguard (US) |
| Category | Allocation/Balanced | Equity |
| Style | Equity-oriented Balanced | Large Cap Value |
| Inception | Feb 27, 2007 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Feb 23, 2007 to Sep 17, 2026 (19.6 years).
NIE 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 19.6 years both funds cover.
NIE vs VYM Performance
Virtus Equity & Convertible Income Fund (NIE) is an ETF from Virtus Investment Partners and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year NIE returned +12.73% while VYM returned +16.61%. Year to date, NIE is up 7.39% versus a gain of 12.29% for VYM.
Over three years, NIE compounded at +18.09% per year against +17.42% for VYM; over five years the annualized figures are +9.01% and +12.12% respectively. Across the full 20-year window we track, VYM has the edge at +6.75% annualized vs +3.44%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
NIE has been the more volatile fund, with annualized monthly volatility of 17.6% compared with 14.6% 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 -63.8% for NIE and -58.8% 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 0.70. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
NIE charges 1.07% per year while VYM charges 0.04%. On a $10,000 position that is $107 vs $4 annually, a gap of $103 per year that compounds over a long holding period. On income, NIE currently yields 9.01% against 2.22% for VYM.
Holdings Overlap
24.1% of NIE's money is in holdings VYM also owns. 38.7% of VYM's money is in holdings NIE also owns.
The two portfolios partly overlap.
The two holdings books were reported 154 days apart, NIE as of Feb 27, 2026 and VYM as of Jul 31, 2026, so some of the difference between them is the time between the two reports rather than the funds.
40 positions in common, counted across the 161 positions we hold weights for in NIE and 557 in VYM, against full books of 196 and 613.
What only one of them owns
Our book lists 488 positions for VYM that do not appear in our book for NIE (58.3% of the fund), and 116 for NIE that do not appear in VYM (70.5%).
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
| Stock | Weight in NIE | Weight in VYM | Difference |
|---|---|---|---|
| AVGOBroadcom Inc | 1.84% | 7.35% | 5.51% |
| JPMJpmorgan Chase | 0.74% | 3.82% | 3.08% |
| JNJJohnson & Johnson - Common | 1.33% | 2.51% | 1.18% |
| XOMExxon Mobil Corp. | 0.83% | 2.63% | 1.80% |
| CATCaterpillar, Inc. | 1.51% | 1.50% | 0.01% |
| MRKMerck & Company Inc | 1.02% | 1.31% | 0.29% |
| KOCoca-Cola Co. (The) | 0.95% | 1.38% | 0.43% |
| ABBVAbbvie Inc. | 0.37% | 1.80% | 1.43% |
| CSCOCisco Systems Inc. - Ordinary Shares | 0.27% | 1.86% | 1.59% |
| UNHUnitedhealth Group Incorporated | 0.35% | 1.52% | 1.17% |
38.7% of VYM is already inside NIE.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, NIE or VYM?
NIE has an expense ratio of 1.07% while VYM charges 0.04%. VYM is the cheaper option, by $103 a year on a $10,000 investment.
Which performed better, NIE or VYM?
Over the past year NIE returned +12.73% vs +16.61% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), NIE annualized +3.44% vs +6.75% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, NIE or VYM?
NIE has been the more volatile fund at 17.6% annualized versus 14.6% for VYM. Worst drawdown: NIE -63.8% vs VYM -58.8%.
Should I hold both NIE and VYM?
NIE and VYM have a monthly-return correlation of 0.70, 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 NIE and VYM?
38.7% of VYM's money is in holdings NIE also owns. 38.7% of VYM's is in holdings NIE also owns. They hold 40 positions in common, counted across the 161 positions we hold weights for in NIE and 557 in VYM.
Which pays a higher dividend, NIE or VYM?
NIE yields 9.01% while VYM yields 2.22%, so NIE currently pays the higher dividend yield.
Is VYM better than NIE?
VYM has a lower expense ratio. NIE led over 3Y, VYM over 1Y, 5Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 28.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.