SMMV vs VYM

SMMV vs VYM

Which is better, SMMV or VYM?

Small Cap Blend against Large Cap Value.

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. SMMV is less concentrated, with 12.5% of the fund in its ten largest positions against 25.9%.

Lower Fees: VYMHigher Returns: VYMLess Concentrated: SMMV

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

MetricSMMVVYM
Expense Ratio0.20%0.04%Best
AUM$288M$81.6B
Dividend Yield1.65%2.22%
Holdings369613
YTD Return+7.79%+13.15%Best
1Y Return+9.55%+17.82%Best
3Y Return (annualized)+13.05%+17.99%Best
5Y Return (annualized)+5.90%+12.16%Best
Volatility (annualized)13.7%Best14.3%
Max Drawdown-38.8%-35.7%Best
$10,000 over 5 years$13,319$17,750Best
Top 10 Weight12.5%Best25.9%
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryEquityEquity
StyleSmall Cap BlendLarge Cap Value
InceptionSep 7, 2016Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2016 to Sep 10, 2026 (10 years).

SMMV 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 10 years both funds cover.

SMMV vs VYM Performance

iShares MSCI USA Small-Cap Minimum Volatility Factor ETF (SMMV) is an ETF from iShares by BlackRock (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year SMMV returned +9.55% while VYM returned +17.82%. Year to date, SMMV is up 7.79% versus a gain of 13.15% for VYM.

Over three years, SMMV compounded at +13.05% per year against +17.99% for VYM; over five years the annualized figures are +5.90% and +12.16% respectively. Across the full 10-year window we track, VYM has the edge at +10.23% annualized vs +7.65%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.3% compared with 13.7% for SMMV. 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 -38.8% for SMMV and -35.7% 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 0.88. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SMMV charges 0.20% per year while VYM charges 0.04%. On a $10,000 position that is $20 vs $4 annually, a gap of $16 per year that compounds over a long holding period. On income, SMMV currently yields 1.65% against 2.22% for VYM.

Holdings Overlap

SMMV already in VYM30.3%
VYM already in SMMV1.8%

30.3% of SMMV's money is in holdings VYM also owns. 1.8% of VYM's money is in holdings SMMV also owns.

The two portfolios partly overlap.

76 positions in common, counted across the 349 positions we hold weights for in SMMV and 603 in VYM, against full books of 369 and 613.

What only one of them owns

Our book lists 495 positions for VYM that do not appear in our book for SMMV (95.7% of the fund), and 258 for SMMV that do not appear in VYM (65.8%).

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.

Top Shared Holdings

StockWeight in SMMVWeight in VYMDifference
PNWPinnacle West Capital Corp.1.42%0.05%1.37%
THGHanover Insurance Group Inc1.21%0.03%1.18%
IDAIdacorp Inc1.19%0.03%1.16%
OGEOge Energy Corp.1.13%0.04%1.09%
SCIService Corp International1.12%0.04%1.08%
CHEChemed Corp1.07%0.03%1.04%
FCFSFirstcash Inc0.97%0.04%0.93%
INGRIngredion Inc0.89%0.02%0.87%
SIGISelective Insurance Group Inc0.83%0.02%0.81%
RLIRli Corp0.80%0.02%0.78%

30.3% of SMMV 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.

SMMVVYM

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Frequently Asked Questions

Which is cheaper, SMMV or VYM?

SMMV has an expense ratio of 0.20% while VYM charges 0.04%. VYM is the cheaper option, by $16 a year on a $10,000 investment.

Which performed better, SMMV or VYM?

Over the past year SMMV returned +9.55% vs +17.82% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (10 years), SMMV annualized +7.65% vs +10.23% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, SMMV or VYM?

VYM has been the more volatile fund at 14.3% annualized versus 13.7% for SMMV. Worst drawdown: SMMV -38.8% vs VYM -35.7%.

Should I hold both SMMV and VYM?

SMMV and VYM have a monthly-return correlation of 0.88, 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 SMMV and VYM?

30.3% of SMMV's money is in holdings VYM also owns. 1.8% of VYM's is in holdings SMMV also owns. They hold 76 positions in common, counted across the 349 positions we hold weights for in SMMV and 603 in VYM.

Which pays a higher dividend, SMMV or VYM?

SMMV yields 1.65% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.

Is VYM better than SMMV?

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. SMMV is less concentrated, with 12.5% 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.