SCMB vs VYM
Schwab Municipal Bond ETF vs Vanguard High Dividend Yield ETF
Which is better, SCMB or VYM?
Municipal Bond against Large Cap Value.
SCMB has a lower expense ratio. VYM led over 1Y, 3Y 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 | SCMB | VYM |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.04% |
| AUM | $4.1B | $81.6B |
| Dividend Yield | 3.60% | 2.22% |
| Holdings | 6,809 | 613 |
| YTD Return | -2.64% | +10.96%Best |
| 1Y Return | -1.22% | +15.42%Best |
| 3Y Return (annualized) | +2.70% | +17.78%Best |
| 5Y Return (annualized) | - | +12.05% |
| Volatility (annualized) | 6.1%Best | 11.7% |
| Max Drawdown | -6.1%Best | -14.5% |
| $10,000 over 3.9 years | $11,078 | $18,263Best |
| Fund Family | Charles Schwab Investment Mangement | Vanguard (US) |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Value |
| Inception | Oct 11, 2022 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 3.9 years row, are measured over the window both funds cover: Oct 12, 2022 to Sep 22, 2026 (3.9 years).
SCMB 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 3.9 years both funds cover.
SCMB vs VYM Performance
Schwab Municipal Bond ETF (SCMB) is an ETF from Charles Schwab Investment Mangement and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year SCMB returned -1.22% while VYM returned +15.42%. Year to date, SCMB is down 2.64% versus a gain of 10.96% for VYM.
Over three years, SCMB compounded at +2.70% per year against +17.78% for VYM. Across the full 4-year window we track, VYM has the edge at +16.70% annualized vs +2.66%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 11.7% compared with 6.1% for SCMB. 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 -6.1% for SCMB 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 0.66. They move together some of the time, and apart the rest.
Fees and Cost Over Time
SCMB charges 0.03% per year while VYM charges 0.04%. On a $10,000 position that is $3 vs $4 annually, a gap of $1 per year that compounds over a long holding period. On income, SCMB currently yields 3.60% against 2.22% for VYM.
Holdings Overlap
At least 1.5% of VYM's money is in holdings SCMB also owns.
Stated as a floor: for SCMB, our book for it covers 1.6% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
VYM and SCMB share little of their money.
4 positions in common, counted across the 39 positions we hold weights for in SCMB and 557 in VYM, against full books of 6,809 and 613.
You are not choosing between two funds in isolation.
Whichever of SCMB 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, SCMB or VYM?
SCMB has an expense ratio of 0.03% while VYM charges 0.04%. SCMB is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, SCMB or VYM?
Over the past year SCMB returned -1.22% vs +15.42% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (4 years), SCMB annualized +2.66% vs +16.70% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCMB or VYM?
VYM has been the more volatile fund at 11.7% annualized versus 6.1% for SCMB. Worst drawdown: SCMB -6.1% vs VYM -14.5%.
Should I hold both SCMB and VYM?
SCMB and VYM have a monthly-return correlation of 0.66, 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 SCMB and VYM?
At least 1.5% of VYM's money is in holdings SCMB also owns. Our book for SCMB is partial, so the real figure is this or higher. They hold 4 positions in common, counted across the 39 positions we hold weights for in SCMB and 557 in VYM.
Which pays a higher dividend, SCMB or VYM?
SCMB yields 3.60% while VYM yields 2.22%, so SCMB currently pays the higher dividend yield.
Is VYM better than SCMB?
SCMB has a lower expense ratio. VYM led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.