PFD vs VYM
Flaherty & Crumrine Preferred Income Fund Inc vs Vanguard High Dividend Yield ETF
Which is better, PFD or VYM?
Preferred Stock against Large Cap Value.
VYM led over 1Y, 3Y, 5Y 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 | PFD | VYM |
|---|---|---|
| Expense Ratio | - | 0.04% |
| AUM | $152M | $95.8B |
| Dividend Yield | 7.10% | 2.23% |
| Holdings | 270 | 610 |
| YTD Return | -5.34% | +11.84%Best |
| 1Y Return | -3.60% | +16.77%Best |
| 3Y Return (annualized) | +11.24% | +18.83%Best |
| 5Y Return (annualized) | -2.40% | +10.75%Best |
| Volatility (annualized) | 21.9% | 14.6%Best |
| Max Drawdown | -84.0% | -58.8%Best |
| $10,000 over 5 years | $8,856 | $16,662Best |
| Fund Family | Flaherty & Crumrine | Vanguard (US) |
| Category | Allocation/Balanced | Equity |
| Style | Preferred Stock | Large Cap Value |
| Inception | Jan 31, 1991 | Nov 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 Nov 6, 2026 (20 years).
PFD 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 20 years both funds cover.
PFD vs VYM Performance
Flaherty & Crumrine Preferred Income Fund Inc (PFD) is an ETF from Flaherty & Crumrine and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year PFD returned -3.60% while VYM returned +16.77%. Year to date, PFD is down 5.34% versus a gain of 11.84% for VYM.
Over three years, PFD compounded at +11.24% per year against +18.83% for VYM; over five years the annualized figures are -2.40% and +10.75% respectively. Across the full 20-year window we track, VYM has the edge at +6.80% annualized vs -0.31%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PFD has been the more volatile fund, with annualized monthly volatility of 21.9% 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 -84.0% for PFD 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 0.43. They move together some of the time, and apart the rest.
Holdings Overlap
At least 2.4% of VYM's money is in holdings PFD also owns.
Only one direction is shown: for PFD, our book for it lists positions totalling 125.6% of the fund, which is what a leveraged book looks like and is not a denominator we can divide by.
VYM and PFD share little of their money.
6 positions in common, counted across the 204 positions we hold weights for in PFD and 602 in VYM, against full books of 270 and 610.
Top Shared Holdings
| Stock | Weight in PFD | Weight in VYM | Difference |
|---|---|---|---|
| FITBFifth Third Bancorp 6.875 04/01/2174 6.875 | 1.89% | 0.20% | 1.69% |
| GSGoldman Sachs Group Inc 6.5 Perpetl 2/10/2175 | 0.42% | 1.12% | 0.70% |
| CCitigroup Inc V/R /Perp | 0.31% | 0.90% | 0.59% |
| FHNFt Real Estate Secs /pfd//res/ | 0.72% | 0.05% | 0.67% |
| MTBM&T Bank Corporation 6.35 12/15/2173 6.35 2173-12-15 | 0.35% | 0.14% | 0.21% |
| WAFDWashington Sr A 4.875 Pfd | 0.19% | 0.01% | 0.18% |
You are not choosing between two funds in isolation.
Whichever of PFD 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 performed better, PFD or VYM?
Over the past year PFD returned -3.60% vs +16.77% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), PFD annualized -0.31% vs +6.80% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PFD or VYM?
PFD has been the more volatile fund at 21.9% annualized versus 14.6% for VYM. Worst drawdown: PFD -84.0% vs VYM -58.8%.
Should I hold both PFD and VYM?
PFD and VYM have a monthly-return correlation of 0.43, 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 PFD and VYM?
At least 2.4% of VYM's money is in holdings PFD also owns. Our book for PFD is partial, so the real figure is this or higher. They hold 6 positions in common, counted across the 204 positions we hold weights for in PFD and 602 in VYM.
Which pays a higher dividend, PFD or VYM?
PFD yields 7.10% while VYM yields 2.23%, so PFD currently pays the higher dividend yield.
Is VYM better than PFD?
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.