NPFD vs VYM
Nuveen Variable Rate Preferred & Income Fund vs Vanguard High Dividend Yield ETF
Which is better, NPFD or VYM?
Preferred Stock against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window.
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 | NPFD | VYM |
|---|---|---|
| Expense Ratio | 0.83% | 0.04%Best |
| AUM | - | $81.6B |
| Dividend Yield | 9.91% | 2.24% |
| Holdings | 189 | 613 |
| YTD Return | +4.17% | +14.33%Best |
| 1Y Return | +4.50% | +20.01%Best |
| 3Y Return (annualized) | +15.49% | +18.43%Best |
| 5Y Return (annualized) | - | +12.16% |
| Volatility (annualized) | 16.4% | 13.6%Best |
| Max Drawdown | -39.2% | -15.8%Best |
| $10,000 over 4.7 years | $11,174 | $16,757Best |
| Fund Family | Nuveen | Vanguard (US) |
| Category | Allocation/Balanced | Equity |
| Style | Preferred Stock | Large Cap Value |
| Inception | Dec 15, 2021 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 4.7 years row, are measured over the window both funds cover: Dec 16, 2021 to Sep 8, 2026 (4.7 years).
NPFD 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 4.7 years both funds cover.
NPFD vs VYM Performance
Nuveen Variable Rate Preferred & Income Fund (NPFD) is an ETF from Nuveen and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year NPFD returned +4.50% while VYM returned +20.01%. Year to date, NPFD is up 4.17% versus a gain of 14.33% for VYM.
Over three years, NPFD compounded at +15.49% per year against +18.43% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
NPFD has been the more volatile fund, with annualized monthly volatility of 16.4% compared with 13.6% 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 -39.2% for NPFD and -15.8% 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 0.63. They move together some of the time, and apart the rest.
Fees and Cost Over Time
NPFD charges 0.83% per year while VYM charges 0.04%. On a $10,000 position that is $83 vs $4 annually, a gap of $79 per year that compounds over a long holding period. On income, NPFD currently yields 9.91% against 2.24% for VYM.
Holdings Overlap
At least 1.0% of VYM's money is in holdings NPFD also owns.
Only one direction is shown: for NPFD, our book for it lists positions totalling 128.4% of the fund, which is what a leveraged book looks like and is not a denominator we can divide by.
VYM and NPFD share little of their money.
The two holdings books were reported 150 days apart, NPFD as of Jan 31, 2026 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.
2 positions in common, counted across the 149 positions we hold weights for in NPFD and 602 in VYM, against full books of 189 and 613.
You are not choosing between two funds in isolation.
Whichever of NPFD and VYM you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, NPFD or VYM?
NPFD has an expense ratio of 0.83% while VYM charges 0.04%. VYM is the cheaper option, by $79 a year on a $10,000 investment.
Which performed better, NPFD or VYM?
Over the past year NPFD returned +4.50% vs +20.01% 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, NPFD or VYM?
NPFD has been the more volatile fund at 16.4% annualized versus 13.6% for VYM. Worst drawdown: NPFD -39.2% vs VYM -15.8%.
Should I hold both NPFD and VYM?
NPFD and VYM have a monthly-return correlation of 0.63, 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 NPFD and VYM?
At least 1.0% of VYM's money is in holdings NPFD also owns. Our book for NPFD is partial, so the real figure is this or higher. They hold 2 positions in common, counted across the 149 positions we hold weights for in NPFD and 602 in VYM.
Which pays a higher dividend, NPFD or VYM?
NPFD yields 9.91% while VYM yields 2.24%, so NPFD currently pays the higher dividend yield.
Is VYM better than NPFD?
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.