RMT vs VYM
Royce Micro-Cap Trust Inc. vs Vanguard High Dividend Yield ETF
Which is better, RMT or VYM?
Small Cap Blend against Large Cap Value.
VYM has a lower expense ratio. RMT led over 1Y and 3Y, VYM over 5Y and the full window. RMT is less concentrated, with 14.9% of the fund in its ten largest positions against 25.9%.
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 | RMT | VYM |
|---|---|---|
| Expense Ratio | 1.35% | 0.04%Best |
| AUM | $477M | $81.6B |
| Dividend Yield | 5.27% | 2.22% |
| Holdings | 171 | 613 |
| YTD Return | +31.65%Best | +13.91% |
| 1Y Return | +38.57%Best | +17.57% |
| 3Y Return (annualized) | +24.98%Best | +18.12% |
| 5Y Return (annualized) | +11.45% | +12.17%Best |
| Volatility (annualized) | 24.2% | 14.5%Best |
| Max Drawdown | -80.4% | -58.8%Best |
| $10,000 over 5 years | $17,195 | $17,758Best |
| Top 10 Weight | 14.9%Best | 25.9% |
| Fund Family | Franklin Templeton Investments (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Value |
| Inception | Dec 14, 1993 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 11, 2026 (19.8 years).
RMT 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.
RMT vs VYM Performance
Royce Micro-Cap Trust Inc. (RMT) is an ETF from Franklin Templeton Investments (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year RMT returned +38.57% while VYM returned +17.57%. Year to date, RMT is up 31.65% versus a gain of 13.91% for VYM.
Over three years, RMT compounded at +24.98% per year against +18.12% for VYM; over five years the annualized figures are +11.45% and +12.17% respectively. Across the full 20-year window we track, VYM has the edge at +6.95% annualized vs +1.50%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
RMT has been the more volatile fund, with annualized monthly volatility of 24.2% compared with 14.5% 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 -80.4% for RMT 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 0.81. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
RMT charges 1.35% per year while VYM charges 0.04%. On a $10,000 position that is $135 vs $4 annually, a gap of $131 per year that compounds over a long holding period. On income, RMT currently yields 5.27% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 169 holdings in RMT and 603 in VYM, totalling 102.3% 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 169 positions we hold weights for in RMT and 603 in VYM, against full books of 171 and 613.
What only one of them owns
Our book lists 568 positions for VYM that do not appear in our book for RMT (97.5% of the fund), and 148 for RMT that do not appear in VYM (91.8%).
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.
You are not choosing between two funds in isolation.
Whichever of RMT 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, RMT or VYM?
RMT has an expense ratio of 1.35% while VYM charges 0.04%. VYM is the cheaper option, by $131 a year on a $10,000 investment.
Which performed better, RMT or VYM?
Over the past year RMT returned +38.57% vs +17.57% for VYM, so RMT leads on 1-year performance. Over the longest common window we track (20 years), RMT annualized +1.50% vs +6.95% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, RMT or VYM?
RMT has been the more volatile fund at 24.2% annualized versus 14.5% for VYM. Worst drawdown: RMT -80.4% vs VYM -58.8%.
Should I hold both RMT and VYM?
RMT and VYM have a monthly-return correlation of 0.81, 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, RMT or VYM?
RMT yields 5.27% while VYM yields 2.22%, so RMT currently pays the higher dividend yield.
Is VYM better than RMT?
VYM has a lower expense ratio. RMT led over 1Y and 3Y, VYM over 5Y and the full window. RMT is less concentrated, with 14.9% of the fund in its ten largest positions against 25.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.