PSQO vs VYM
Palmer Square Credit Opportunities ETF vs Vanguard High Dividend Yield ETF
Which is better, PSQO or VYM?
Investment Grade Bond against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y 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 | PSQO | VYM |
|---|---|---|
| Expense Ratio | 0.52% | 0.04%Best |
| AUM | $294M | $81.6B |
| Dividend Yield | 4.50% | 2.22% |
| Holdings | 448 | 613 |
| YTD Return | +2.96% | +13.91%Best |
| 1Y Return | +4.96% | +17.57%Best |
| 3Y Return (annualized) | - | +18.12% |
| 5Y Return (annualized) | - | +12.17% |
| Volatility (annualized) | 1.2%Best | 10.4% |
| Max Drawdown | -0.8%Best | -14.5% |
| $10,000 over 2 years | $11,240 | $13,755Best |
| Fund Family | Palmer Square Capital Management | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Investment Grade Bond | Large Cap Value |
| Inception | Sep 11, 2024 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2 years row, are measured over the window both funds cover: Sep 12, 2024 to Sep 11, 2026 (2 years).
PSQO 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 years both funds cover.
PSQO vs VYM Performance
Palmer Square Credit Opportunities ETF (PSQO) is an ETF from Palmer Square Capital Management and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year PSQO returned +4.96% while VYM returned +17.57%. Year to date, PSQO is up 2.96% versus a gain of 13.91% 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 10.4% compared with 1.2% for PSQO. 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 -0.8% for PSQO 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 0.56. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PSQO charges 0.52% per year while VYM charges 0.04%. On a $10,000 position that is $52 vs $4 annually, a gap of $48 per year that compounds over a long holding period. On income, PSQO currently yields 4.50% against 2.22% for VYM.
Holdings Overlap
At least 0.2% of VYM's money is in holdings PSQO also owns.
Stated as a floor: for PSQO, our book for it covers 29.4% 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.
2 positions in common, counted across the 154 positions we hold weights for in PSQO and 603 in VYM, against full books of 448 and 613.
You are not choosing between two funds in isolation.
Whichever of PSQO 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, PSQO or VYM?
PSQO has an expense ratio of 0.52% while VYM charges 0.04%. VYM is the cheaper option, by $48 a year on a $10,000 investment.
Which performed better, PSQO or VYM?
Over the past year PSQO returned +4.96% vs +17.57% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), PSQO annualized +6.02% vs +17.28% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PSQO or VYM?
VYM has been the more volatile fund at 10.4% annualized versus 1.2% for PSQO. Worst drawdown: PSQO -0.8% vs VYM -14.5%.
Should I hold both PSQO and VYM?
PSQO and VYM have a monthly-return correlation of 0.56, 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, PSQO or VYM?
PSQO yields 4.50% while VYM yields 2.22%, so PSQO currently pays the higher dividend yield.
Is VYM better than PSQO?
VYM has a lower expense ratio. VYM led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.