PHEQ vs VYM
Parametric Hedged Equity ETF vs Vanguard High Dividend Yield ETF
Which is better, PHEQ or VYM?
Large Cap Blend against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 39.9%.
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 | PHEQ | VYM |
|---|---|---|
| Expense Ratio | 0.29% | 0.04%Best |
| AUM | $144M | $81.6B |
| Dividend Yield | 0.92% | 2.22% |
| Holdings | 184 | 613 |
| YTD Return | +8.35% | +12.29%Best |
| 1Y Return | +11.68% | +16.61%Best |
| 3Y Return (annualized) | +14.87% | +17.42%Best |
| 5Y Return (annualized) | - | +12.12% |
| Volatility (annualized) | 6.8%Best | 10.6% |
| Max Drawdown | -12.6%Best | -14.5% |
| $10,000 over 2.9 years | $14,949 | $16,919Best |
| Top 10 Weight | 39.9% | 26.1%Best |
| Fund Family | Parametric | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Oct 16, 2023 | Nov 10, 2006 |
Volatility and max drawdown, and the $10,000 over 2.9 years row, are measured over the window both funds cover: Oct 19, 2023 to Sep 17, 2026 (2.9 years).
PHEQ 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 2.9 years both funds cover.
PHEQ vs VYM Performance
Parametric Hedged Equity ETF (PHEQ) is an ETF from Parametric and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year PHEQ returned +11.68% while VYM returned +16.61%. Year to date, PHEQ is up 8.35% versus a gain of 12.29% for VYM.
Over three years, PHEQ compounded at +14.87% per year against +17.42% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 10.6% compared with 6.8% for PHEQ. 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 -12.6% for PHEQ and -14.5% 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 0.67. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PHEQ charges 0.29% per year while VYM charges 0.04%. On a $10,000 position that is $29 vs $4 annually, a gap of $25 per year that compounds over a long holding period. On income, PHEQ currently yields 0.92% against 2.22% for VYM.
Holdings Overlap
33.0% of PHEQ's money is in holdings VYM also owns. 47.1% of VYM's money is in holdings PHEQ also owns.
The two portfolios partly overlap.
68 positions in common, counted across the 174 positions we hold weights for in PHEQ and 557 in VYM, against full books of 184 and 613.
What only one of them owns
Our book lists 460 positions for VYM that do not appear in our book for PHEQ (50.0% of the fund), and 97 for PHEQ that do not appear in VYM (69.7%).
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 PHEQ | Weight in VYM | Difference |
|---|---|---|---|
| AVGOBroadcom Inc | 2.71% | 7.35% | 4.64% |
| JPMJpmorgan Chase | 1.82% | 3.82% | 2.00% |
| XOMExxon Mobil Corp. | 1.44% | 2.63% | 1.19% |
| JNJJohnson & Johnson - Common | 1.51% | 2.51% | 1.00% |
| CSCOCisco Systems Inc. - Ordinary Shares | 1.12% | 1.86% | 0.74% |
| ABBVAbbvie Inc. | 0.98% | 1.80% | 0.82% |
| BACBank of America Corp.: Financials | 0.93% | 1.66% | 0.73% |
| CVXChevron Corp | 0.95% | 1.48% | 0.53% |
| CATCaterpillar, Inc. | 0.86% | 1.50% | 0.64% |
| UNHUnitedhealth Group Incorporated | 0.78% | 1.52% | 0.74% |
47.1% of VYM is already inside PHEQ.
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, PHEQ or VYM?
PHEQ has an expense ratio of 0.29% while VYM charges 0.04%. VYM is the cheaper option, by $25 a year on a $10,000 investment.
Which performed better, PHEQ or VYM?
Over the past year PHEQ returned +11.68% vs +16.61% 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, PHEQ or VYM?
VYM has been the more volatile fund at 10.6% annualized versus 6.8% for PHEQ. Worst drawdown: PHEQ -12.6% vs VYM -14.5%.
Should I hold both PHEQ and VYM?
PHEQ and VYM have a monthly-return correlation of 0.67, 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 PHEQ and VYM?
47.1% of VYM's money is in holdings PHEQ also owns. 47.1% of VYM's is in holdings PHEQ also owns. They hold 68 positions in common, counted across the 174 positions we hold weights for in PHEQ and 557 in VYM.
Which pays a higher dividend, PHEQ or VYM?
PHEQ yields 0.92% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.
Is VYM better than PHEQ?
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 39.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.