PYZ vs VYM

PYZ vs VYM

Which is better, PYZ or VYM?

Small Cap Blend against Large Cap Value.

VYM has a lower expense ratio. PYZ led over the full window, VYM over 1Y, 3Y and 5Y. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 40.2%.

Lower Fees: VYMHigher Returns: splitLess Concentrated: 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

MetricPYZVYM
Expense Ratio0.60%0.04%Best
AUM$74M$81.6B
Dividend Yield0.48%2.22%
Holdings44613
YTD Return+4.88%+10.96%Best
1Y Return+10.85%+15.42%Best
3Y Return (annualized)+15.52%+17.78%Best
5Y Return (annualized)+8.19%+12.05%Best
Volatility (annualized)24.1%14.6%Best
Max Drawdown-65.7%-58.8%Best
$10,000 over 5 years$14,823$17,663Best
Top 10 Weight40.2%26.1%Best
Fund FamilyInvesco (US)Vanguard (US)
CategoryEquityEquity
StyleSmall Cap BlendLarge Cap Value
InceptionOct 12, 2006Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 22, 2026 (19.8 years).

PYZ 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 19.8 years both funds cover.

PYZ vs VYM Performance

Invesco Dorsey Wright Basic Materials Momentum ETF (PYZ) is an ETF from Invesco (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year PYZ returned +10.85% while VYM returned +15.42%. Year to date, PYZ is up 4.88% versus a gain of 10.96% for VYM.

Over three years, PYZ compounded at +15.52% per year against +17.78% for VYM; over five years the annualized figures are +8.19% and +12.05% respectively. Across the full 20-year window we track, PYZ has the edge at +8.04% annualized vs +6.80%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PYZ has been the more volatile fund, with annualized monthly volatility of 24.1% 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 -65.7% for PYZ 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 0.85. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PYZ charges 0.60% per year while VYM charges 0.04%. On a $10,000 position that is $60 vs $4 annually, a gap of $56 per year that compounds over a long holding period. On income, PYZ currently yields 0.48% against 2.22% for VYM.

Holdings Overlap

PYZ already in VYM36.1%
VYM already in PYZ2.3%

36.1% of PYZ's money is in holdings VYM also owns. 2.3% of VYM's money is in holdings PYZ also owns.

The two portfolios partly overlap.

15 positions in common, counted across the 43 positions we hold weights for in PYZ and 557 in VYM, against full books of 44 and 613.

What only one of them owns

Measured across the 43 and 557 positions we hold weights for.

VYM holds 513 positions PYZ does not, 94.7% of the fund.

Largest: AVGO 7.35%, JPM 3.82%, XOM 2.63%, JNJ 2.51%, CSCO 1.86%

Top Shared Holdings

StockWeight in PYZWeight in VYMDifference
NEMNewmont Corp Common3.37%0.41%2.96%
NUENucor Corp.3.46%0.23%3.23%
APDAir Products & Chemicals Inc.3.18%0.26%2.92%
CFCf Industries Holdings Inc.3.20%0.08%3.12%
LINLinde Plc Ordinary Shares2.30%0.90%1.40%
DDDupont De Nemours Inc Npv2.83%0.08%2.75%
RSReliance Steel & Aluminum Co.2.72%0.08%2.64%
NEUNewmarket Corp2.77%0.02%2.75%
SXTSensient Technologies Corp2.43%0.02%2.41%
ALBAlbemarle Corp.2.13%0.06%2.07%

36.1% of PYZ is already inside VYM.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

PYZVYM

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Frequently Asked Questions

Which is cheaper, PYZ or VYM?

PYZ has an expense ratio of 0.60% while VYM charges 0.04%. VYM is the cheaper option, by $56 a year on a $10,000 investment.

Which performed better, PYZ or VYM?

Over the past year PYZ returned +10.85% vs +15.42% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), PYZ annualized +8.04% vs +6.80% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PYZ or VYM?

PYZ has been the more volatile fund at 24.1% annualized versus 14.6% for VYM. Worst drawdown: PYZ -65.7% vs VYM -58.8%.

Should I hold both PYZ and VYM?

PYZ and VYM have a monthly-return correlation of 0.85, 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 PYZ and VYM?

36.1% of PYZ's money is in holdings VYM also owns. 2.3% of VYM's is in holdings PYZ also owns. They hold 15 positions in common, counted across the 43 positions we hold weights for in PYZ and 557 in VYM.

Which pays a higher dividend, PYZ or VYM?

PYZ yields 0.48% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.

Is VYM better than PYZ?

VYM has a lower expense ratio. PYZ led over the full window, VYM over 1Y, 3Y and 5Y. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 40.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.