OCTZ vs VYM

OCTZ vs VYM
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Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 616 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricOCTZVYMWinner
Expense Ratio0.79%0.04%
AUM$43M$81.6B
Dividend Yield2.04%2.24%
Holdings21616
YTD Return+9.93%+14.95%
1Y Return+10.56%+21.14%
3Y Return (annualized)+14.46%+18.69%
5Y Return (annualized)+9.39%+12.00%
Volatility (annualized)11.4%14.6%
Max Drawdown-15.8%-58.8%
Fund FamilyTrueSharesVanguard (US)
CategoryEquityEquity
InceptionSep 30, 2020Nov 10, 2006

OCTZ vs VYM Performance

Trueshares Structured Outcome (October) ETF (OCTZ) is a ETF from TrueShares and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year OCTZ returned +10.56% while VYM returned +21.14%. Year to date, OCTZ is up 9.93% versus a gain of 14.95% for VYM.

Over three years, OCTZ compounded at +14.46% per year against +18.69% for VYM; over five years the annualized figures are +9.39% and +12.00% respectively. Across the full 6-year window we track, OCTZ has the edge at +12.17% annualized vs +7.01%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 11.4% for OCTZ. 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 -15.8% for OCTZ 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 0.83. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

OCTZ charges 0.79% per year while VYM charges 0.04%. On a $10,000 position that is $79 vs $4 annually, a gap of $75 per year that compounds over a long holding period. On income, OCTZ currently yields 2.04% against 2.24% for VYM.

Holdings Overlap

0.0%overlap

OCTZ and VYM share 0 holdings out of 604 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, OCTZ or VYM?

OCTZ has an expense ratio of 0.79% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $75 per year of difference.

Which performed better, OCTZ or VYM?

Over the past year OCTZ returned +10.56% vs +21.14% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (6 years), OCTZ annualized +12.17% vs +7.01% for VYM. Past performance does not guarantee future results.

Which is riskier, OCTZ or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 11.4% for OCTZ. Worst drawdown: OCTZ -15.8% vs VYM -58.8%.

Should I hold both OCTZ and VYM?

OCTZ and VYM have a monthly-return correlation of 0.83, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between OCTZ and VYM?

OCTZ and VYM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 604 unique securities.

Which pays a higher dividend, OCTZ or VYM?

OCTZ yields 2.04% while VYM yields 2.24%, so VYM currently pays the higher dividend yield.

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