OBND vs VYM

OBND vs VYM

Which is better, OBND or VYM?

Allocation/Balanced against Large Cap Value.

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y 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

MetricOBNDVYM
Expense Ratio0.55%0.04%Best
AUM$32M$81.6B
Dividend Yield6.40%2.22%
Holdings420613
YTD Return-3.40%+11.35%Best
1Y Return-2.58%+15.34%Best
3Y Return (annualized)+4.95%+17.22%Best
5Y Return (annualized)+1.22%+12.30%Best
Volatility (annualized)6.3%Best13.8%
Max Drawdown-15.9%-15.8%Best
$10,000 over 5 years$10,625$17,861Best
Fund FamilyState Street Investment ManagementVanguard (US)
CategoryAllocation/BalancedEquity
StyleAllocation/BalancedLarge Cap Value
InceptionSep 27, 2021Nov 10, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Sep 28, 2021 to Sep 18, 2026 (5 years).

OBND 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 5 years both funds cover.

OBND vs VYM Performance

State Street Loomis Sayles Opportunistic Bond ETF (OBND) is an ETF from State Street Investment Management and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year OBND returned -2.58% while VYM returned +15.34%. Year to date, OBND is down 3.40% versus a gain of 11.35% for VYM.

Over three years, OBND compounded at +4.95% per year against +17.22% for VYM; over five years the annualized figures are +1.22% and +12.30% respectively.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 13.8% compared with 6.3% for OBND. 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 -15.9% for OBND 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 0.70. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

OBND charges 0.55% per year while VYM charges 0.04%. On a $10,000 position that is $55 vs $4 annually, a gap of $51 per year that compounds over a long holding period. On income, OBND currently yields 6.40% against 2.22% for VYM.

Holdings Overlap

VYM already in OBND0.4%

At least 0.4% of VYM's money is in holdings OBND also owns.

Stated as a floor: for OBND, our book for it covers 8.1% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

We cannot see either book well enough to say how much of this pair is duplicated.

1 positions in common, counted across the 19 positions we hold weights for in OBND and 557 in VYM, against full books of 420 and 613.

Top Shared Holdings

StockWeight in OBNDWeight in VYMDifference
BXBlackstone Group Inc. Class A0.05%0.39%0.34%

You are not choosing between two funds in isolation.

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

OBNDVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, OBND or VYM?

OBND has an expense ratio of 0.55% while VYM charges 0.04%. VYM is the cheaper option, by $51 a year on a $10,000 investment.

Which performed better, OBND or VYM?

Over the past year OBND returned -2.58% vs +15.34% 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, OBND or VYM?

VYM has been the more volatile fund at 13.8% annualized versus 6.3% for OBND. Worst drawdown: OBND -15.9% vs VYM -15.8%.

Should I hold both OBND and VYM?

OBND 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.

Which pays a higher dividend, OBND or VYM?

OBND yields 6.40% while VYM yields 2.22%, so OBND currently pays the higher dividend yield.

Is VYM better than OBND?

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.