TLTD vs VYM
Northern Trust Morningstar Developed Markets ex-US Factor Tilt ETF vs Vanguard High Dividend Yield ETF
Which is better, TLTD or VYM?
Each has led over a different period.
VYM has a lower expense ratio. TLTD led over 1Y and 3Y, VYM over 5Y and the full window. TLTD is less concentrated, with 7.1% of the fund in its ten largest positions against 26.1%.
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 | TLTD | VYM |
|---|---|---|
| Expense Ratio | 0.39% | 0.04%Best |
| AUM | $691M | $81.6B |
| Dividend Yield | 3.18% | 2.22% |
| Holdings | 2,408 | 613 |
| YTD Return | +10.65%Best | +10.23% |
| 1Y Return | +18.69%Best | +14.28% |
| 3Y Return (annualized) | +21.33%Best | +17.50% |
| 5Y Return (annualized) | +10.24% | +11.60%Best |
| Volatility (annualized) | 15.1% | 13.2%Best |
| Max Drawdown | -44.6% | -35.7%Best |
| $10,000 over 5 years | $16,282 | $17,311Best |
| Top 10 Weight | 7.1%Best | 26.1% |
| Fund Family | Northern Trust Asset Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Sep 25, 2012 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Sep 28, 2012 to Sep 23, 2026 (14 years).
TLTD 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 14 years both funds cover.
TLTD vs VYM Performance
Northern Trust Morningstar Developed Markets ex-US Factor Tilt ETF (TLTD) is an ETF from Northern Trust Asset Management and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year TLTD returned +18.69% while VYM returned +14.28%. Year to date, TLTD is up 10.65% versus a gain of 10.23% for VYM.
Over three years, TLTD compounded at +21.33% per year against +17.50% for VYM; over five years the annualized figures are +10.24% and +11.60% respectively. Across the full 14-year window we track, VYM has the edge at +9.74% annualized vs +6.73%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TLTD has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 13.2% 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 -44.6% for TLTD 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 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
TLTD charges 0.39% per year while VYM charges 0.04%. On a $10,000 position that is $39 vs $4 annually, a gap of $35 per year that compounds over a long holding period. On income, TLTD currently yields 3.18% against 2.22% for VYM.
Holdings Overlap
0.1% of VYM's money is in holdings TLTD also owns.
We cannot see either book well enough to say how much of this pair is duplicated.
3 positions in common, counted across the 2,228 positions we hold weights for in TLTD and 557 in VYM, against full books of 2,408 and 613.
What only one of them owns
Our book lists 526 positions for VYM that do not appear in our book for TLTD (96.9% of the fund), and 19 for TLTD that do not appear in VYM (1.4%).
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.
You are not choosing between two funds in isolation.
Whichever of TLTD 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, TLTD or VYM?
TLTD has an expense ratio of 0.39% while VYM charges 0.04%. VYM is the cheaper option, by $35 a year on a $10,000 investment.
Which performed better, TLTD or VYM?
Over the past year TLTD returned +18.69% vs +14.28% for VYM, so TLTD leads on 1-year performance. Over the longest common window we track (14 years), TLTD annualized +6.73% vs +9.74% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, TLTD or VYM?
TLTD has been the more volatile fund at 15.1% annualized versus 13.2% for VYM. Worst drawdown: TLTD -44.6% vs VYM -35.7%.
Should I hold both TLTD and VYM?
TLTD and VYM have a monthly-return correlation of 0.83, 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, TLTD or VYM?
TLTD yields 3.18% while VYM yields 2.22%, so TLTD currently pays the higher dividend yield.
Is VYM better than TLTD?
VYM has a lower expense ratio. TLTD led over 1Y and 3Y, VYM over 5Y and the full window. TLTD is less concentrated, with 7.1% of the fund in its ten largest positions against 26.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.