REIT vs VYM
ALPS Active REIT ETF vs Vanguard High Dividend Yield ETF
Which is better, REIT or VYM?
All Cap Blend against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 55.2%.
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 | REIT | VYM |
|---|---|---|
| Expense Ratio | 0.68% | 0.04%Best |
| AUM | $57M | $81.6B |
| Dividend Yield | 2.66% | 2.24% |
| Holdings | 30 | 613 |
| YTD Return | +15.83%Best | +14.33% |
| 1Y Return | +15.41% | +20.01%Best |
| 3Y Return (annualized) | +10.84% | +18.43%Best |
| 5Y Return (annualized) | +3.50% | +12.16%Best |
| Volatility (annualized) | 17.9% | 13.4%Best |
| Max Drawdown | -29.3% | -15.8%Best |
| $10,000 over 5 years | $11,877 | $17,750Best |
| Top 10 Weight | 55.2% | 25.9%Best |
| Fund Family | ALPS Advisors | Vanguard (US) |
| Category | Equity | Equity |
| Style | All Cap Blend | Large Cap Value |
| Inception | Feb 24, 2021 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Feb 26, 2021 to Sep 8, 2026 (5.5 years).
REIT 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 5.5 years both funds cover.
REIT vs VYM Performance
ALPS Active REIT ETF (REIT) is an ETF from ALPS Advisors and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year REIT returned +15.41% while VYM returned +20.01%. Year to date, REIT is up 15.83% versus a gain of 14.33% for VYM.
Over three years, REIT compounded at +10.84% per year against +18.43% for VYM; over five years the annualized figures are +3.50% and +12.16% respectively. Across the full 6-year window we track, VYM has the edge at +13.51% annualized vs +7.31%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
REIT has been the more volatile fund, with annualized monthly volatility of 17.9% compared with 13.4% 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 -29.3% for REIT and -15.8% 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 0.79. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
REIT charges 0.68% per year while VYM charges 0.04%. On a $10,000 position that is $68 vs $4 annually, a gap of $64 per year that compounds over a long holding period. On income, REIT currently yields 2.66% against 2.24% for VYM.
Holdings Overlap
We hold position weights for 29 holdings in REIT and 602 in VYM, totalling 98.7% and 99.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 29 positions we hold weights for in REIT and 602 in VYM, against full books of 30 and 613.
What only one of them owns
Measured across the 29 and 602 positions we hold weights for.
VYM holds 569 positions REIT does not, 97.2% of the fund.
Largest: AVGO 7.29%, JPM 3.38%, JNJ 2.54%, XOM 2.36%, CAT 2.01%
You are not choosing between two funds in isolation.
Whichever of REIT 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, REIT or VYM?
REIT has an expense ratio of 0.68% while VYM charges 0.04%. VYM is the cheaper option, by $64 a year on a $10,000 investment.
Which performed better, REIT or VYM?
Over the past year REIT returned +15.41% vs +20.01% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (6 years), REIT annualized +7.31% vs +13.51% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, REIT or VYM?
REIT has been the more volatile fund at 17.9% annualized versus 13.4% for VYM. Worst drawdown: REIT -29.3% vs VYM -15.8%.
Should I hold both REIT and VYM?
REIT and VYM have a monthly-return correlation of 0.79, 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, REIT or VYM?
REIT yields 2.66% while VYM yields 2.24%, so REIT currently pays the higher dividend yield.
Is VYM better than REIT?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 55.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.