TEQI vs VYM
T. Rowe Price Equity Income ETF vs Vanguard High Dividend Yield ETF
Which is better, TEQI or VYM?
Nearly the same fund. VYM costs less.
VYM has a lower expense ratio. TEQI led over 1Y and the full window, VYM over 3Y and 5Y. The two have moved almost in lockstep, correlation 0.96. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 28.5%.
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 | TEQI | VYM |
|---|---|---|
| Expense Ratio | 0.54% | 0.04%Best |
| AUM | $471M | $81.6B |
| Dividend Yield | 1.46% | 2.22% |
| Holdings | 115 | 613 |
| YTD Return | +14.76%Best | +11.71% |
| 1Y Return | +21.11%Best | +16.24% |
| 3Y Return (annualized) | +16.33% | +17.24%Best |
| 5Y Return (annualized) | +10.66% | +11.86%Best |
| Volatility (annualized) | 15.5% | 13.9%Best |
| Max Drawdown | -17.8% | -15.8%Best |
| $10,000 over 5 years | $16,594 | $17,514Best |
| Top 10 Weight | 28.5% | 26.1%Best |
| Fund Family | T.Rowe Price | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Aug 4, 2020 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Aug 5, 2020 to Sep 16, 2026 (6.1 years).
TEQI 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 6.1 years both funds cover.
TEQI vs VYM Performance
T. Rowe Price Equity Income ETF (TEQI) is an ETF from T.Rowe Price and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year TEQI returned +21.11% while VYM returned +16.24%. Year to date, TEQI is up 14.76% versus a gain of 11.71% for VYM.
Over three years, TEQI compounded at +16.33% per year against +17.24% for VYM; over five years the annualized figures are +10.66% and +11.86% respectively. Across the full 6-year window we track, TEQI has the edge at +14.67% annualized vs +14.44%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TEQI has been the more volatile fund, with annualized monthly volatility of 15.5% compared with 13.9% 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 -17.8% for TEQI 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 0.96. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
TEQI charges 0.54% per year while VYM charges 0.04%. On a $10,000 position that is $54 vs $4 annually, a gap of $50 per year that compounds over a long holding period. On income, TEQI currently yields 1.46% against 2.22% for VYM.
Holdings Overlap
57.7% of TEQI's money is in holdings VYM also owns. 38.5% of VYM's money is in holdings TEQI also owns.
The two portfolios partly overlap.
71 positions in common, counted across the 111 positions we hold weights for in TEQI and 557 in VYM, against full books of 115 and 613.
What only one of them owns
Our book lists 458 positions for VYM that do not appear in our book for TEQI (59.0% of the fund), and 33 for TEQI that do not appear in VYM (34.0%).
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
| Stock | Weight in TEQI | Weight in VYM | Difference |
|---|---|---|---|
| JPMJpmorgan Chase | 1.79% | 3.82% | 2.03% |
| XOMExxon Mobil Corp. | 1.26% | 2.63% | 1.37% |
| JNJJohnson & Johnson - Common | 0.70% | 2.51% | 1.81% |
| CSCOCisco Systems Inc. - Ordinary Shares | 1.00% | 1.86% | 0.86% |
| BACBank of America Corp.: Financials | 1.08% | 1.66% | 0.58% |
| CCitigroup Inc. | 1.63% | 0.89% | 0.74% |
| PGProcter & Gamble Company | 1.13% | 1.37% | 0.24% |
| METMetlife Inc. | 2.25% | 0.21% | 2.04% |
| UNHUnitedhealth Group Incorporated | 0.92% | 1.52% | 0.60% |
| CVXChevron Corp | 0.93% | 1.48% | 0.55% |
57.7% of TEQI 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.
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Frequently Asked Questions
Which is cheaper, TEQI or VYM?
TEQI has an expense ratio of 0.54% while VYM charges 0.04%. VYM is the cheaper option, by $50 a year on a $10,000 investment.
Which performed better, TEQI or VYM?
Over the past year TEQI returned +21.11% vs +16.24% for VYM, so TEQI leads on 1-year performance. Over the longest common window we track (6 years), TEQI annualized +14.67% vs +14.44% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, TEQI or VYM?
TEQI has been the more volatile fund at 15.5% annualized versus 13.9% for VYM. Worst drawdown: TEQI -17.8% vs VYM -15.8%.
Should I hold both TEQI and VYM?
TEQI and VYM have a monthly-return correlation of 0.96, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between TEQI and VYM?
57.7% of TEQI's money is in holdings VYM also owns. 38.5% of VYM's is in holdings TEQI also owns. They hold 71 positions in common, counted across the 111 positions we hold weights for in TEQI and 557 in VYM.
Which pays a higher dividend, TEQI or VYM?
TEQI yields 1.46% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.
Is VYM better than TEQI?
VYM has a lower expense ratio. TEQI led over 1Y and the full window, VYM over 3Y and 5Y. The two have moved almost in lockstep, correlation 0.96. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 28.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.