TFLR vs VYM
T. Rowe Price Floating Rate ETF vs Vanguard High Dividend Yield ETF
Which is better, TFLR or VYM?
Bank Loan against Large Cap Value.
VYM 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 | TFLR | VYM |
|---|---|---|
| Expense Ratio | 0.61% | 0.04%Best |
| AUM | $765M | $81.6B |
| Dividend Yield | 6.63% | 2.22% |
| Holdings | 347 | 613 |
| YTD Return | +3.12% | +13.91%Best |
| 1Y Return | +5.15% | +17.57%Best |
| 3Y Return (annualized) | +7.06% | +18.12%Best |
| 5Y Return (annualized) | - | +12.17% |
| Volatility (annualized) | 2.5%Best | 11.3% |
| Max Drawdown | -4.0%Best | -14.5% |
| $10,000 over 3.8 years | $13,224 | $16,519Best |
| Fund Family | T.Rowe Price | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Bank Loan | Large Cap Value |
| Inception | Nov 16, 2022 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 3.8 years row, are measured over the window both funds cover: Nov 17, 2022 to Sep 11, 2026 (3.8 years).
TFLR 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 3.8 years both funds cover.
TFLR vs VYM Performance
T. Rowe Price Floating Rate ETF (TFLR) is an ETF from T.Rowe Price and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year TFLR returned +5.15% while VYM returned +17.57%. Year to date, TFLR is up 3.12% versus a gain of 13.91% for VYM.
Over three years, TFLR compounded at +7.06% per year against +18.12% for VYM. Across the full 4-year window we track, VYM has the edge at +14.12% annualized vs +7.63%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 11.3% compared with 2.5% for TFLR. 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 -4.0% for TFLR 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 0.45. They move together some of the time, and apart the rest.
Fees and Cost Over Time
TFLR charges 0.61% per year while VYM charges 0.04%. On a $10,000 position that is $61 vs $4 annually, a gap of $57 per year that compounds over a long holding period. On income, TFLR currently yields 6.63% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 171 holdings in TFLR and 603 in VYM, totalling 53.3% and 99.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
The two holdings books were reported 91 days apart, TFLR as of Mar 31, 2026 and VYM as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.
0 positions in common, counted across the 171 positions we hold weights for in TFLR and 603 in VYM, against full books of 347 and 613.
You are not choosing between two funds in isolation.
Whichever of TFLR 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, TFLR or VYM?
TFLR has an expense ratio of 0.61% while VYM charges 0.04%. VYM is the cheaper option, by $57 a year on a $10,000 investment.
Which performed better, TFLR or VYM?
Over the past year TFLR returned +5.15% vs +17.57% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (4 years), TFLR annualized +7.63% vs +14.12% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, TFLR or VYM?
VYM has been the more volatile fund at 11.3% annualized versus 2.5% for TFLR. Worst drawdown: TFLR -4.0% vs VYM -14.5%.
Should I hold both TFLR and VYM?
TFLR and VYM have a monthly-return correlation of 0.45, 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, TFLR or VYM?
TFLR yields 6.63% while VYM yields 2.22%, so TFLR currently pays the higher dividend yield.
Is VYM better than TFLR?
VYM 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.