SCYB vs VYM

SCYB vs VYM

Which is better, SCYB or VYM?

High Yield Bond against Large Cap Value.

SCYB has a lower expense ratio. VYM led over 1Y, 3Y and the full window.

Lower Fees: SCYBHigher Returns: 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

MetricSCYBVYM
Expense Ratio0.03%Best0.04%
AUM$2.8B$81.6B
Dividend Yield6.89%2.22%
Holdings1,841613
YTD Return+1.73%+13.15%Best
1Y Return+3.58%+17.82%Best
3Y Return (annualized)+7.80%+17.99%Best
5Y Return (annualized)-+12.16%
Volatility (annualized)4.5%Best10.9%
Max Drawdown-4.9%Best-14.5%
$10,000 over 3.2 years$12,683$16,590Best
Fund FamilyCharles Schwab Asset ManagementVanguard (US)
CategoryFixed IncomeEquity
StyleHigh Yield BondLarge Cap Value
InceptionJul 11, 2023Nov 10, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown, and the $10,000 over 3.2 years row, are measured over the window both funds cover: Jul 11, 2023 to Sep 10, 2026 (3.2 years).

SCYB 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 3.2 years both funds cover.

SCYB vs VYM Performance

Schwab High Yield Bond ETF (SCYB) is an ETF from Charles Schwab Asset Management and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year SCYB returned +3.58% while VYM returned +17.82%. Year to date, SCYB is up 1.73% versus a gain of 13.15% for VYM.

Over three years, SCYB compounded at +7.80% per year against +17.99% 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 10.9% compared with 4.5% for SCYB. 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 -4.9% for SCYB 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 0.81. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SCYB 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, SCYB currently yields 6.89% against 2.22% for VYM.

Holdings Overlap

VYM already in SCYB0.1%

At least 0.1% of VYM's money is in holdings SCYB also owns.

Stated as a floor: for SCYB, our book for it covers 76.0% 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 1,430 positions we hold weights for in SCYB and 603 in VYM, against full books of 1,841 and 613.

Top Shared Holdings

StockWeight in SCYBWeight in VYMDifference
MTCHII 5 12/15/27 14Match Group Inc0.04%0.04%0.00%
PFSI 4.25 02/15/29 1Pennymac Financial Services Inc0.04%0.01%0.03%

You are not choosing between two funds in isolation.

Whichever of SCYB and VYM you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

SCYBVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, SCYB or VYM?

SCYB has an expense ratio of 0.03% while VYM charges 0.04%. SCYB is the cheaper option, by $1 a year on a $10,000 investment.

Which performed better, SCYB or VYM?

Over the past year SCYB returned +3.58% vs +17.82% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, SCYB or VYM?

VYM has been the more volatile fund at 10.9% annualized versus 4.5% for SCYB. Worst drawdown: SCYB -4.9% vs VYM -14.5%.

Should I hold both SCYB and VYM?

SCYB 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, SCYB or VYM?

SCYB yields 6.89% while VYM yields 2.22%, so SCYB currently pays the higher dividend yield.

Is VYM better than SCYB?

SCYB 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.