TMF vs VYM
Direxion Daily 20+ Year Treasury Bull 3X ETF vs Vanguard High Dividend Yield ETF
Which is better, TMF or VYM?
Trading-Leveraged Debt against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y 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 | TMF | VYM |
|---|---|---|
| Expense Ratio | 0.90% | 0.04%Best |
| AUM | $2.2B | $81.6B |
| Dividend Yield | 4.69% | 2.22% |
| Holdings | 14 | 613 |
| YTD Return | -18.78% | +11.35%Best |
| 1Y Return | -24.05% | +15.34%Best |
| 3Y Return (annualized) | -16.76% | +17.22%Best |
| 5Y Return (annualized) | -35.73% | +12.30%Best |
| Volatility (annualized) | 40.6% | 13.2%Best |
| Max Drawdown | -93.7% | -35.7%Best |
| $10,000 over 5 years | $1,097 | $17,861Best |
| Fund Family | Direxion Shares ETF Trust | Vanguard (US) |
| Category | Alternative | Equity |
| Style | Trading-Leveraged Debt | Large Cap Value |
| Inception | Apr 16, 2009 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Apr 16, 2009 to Sep 18, 2026 (17.4 years).
TMF 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 17.4 years both funds cover.
TMF vs VYM Performance
Direxion Daily 20+ Year Treasury Bull 3X ETF (TMF) is an ETF from Direxion Shares ETF Trust and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year TMF returned -24.05% while VYM returned +15.34%. Year to date, TMF is down 18.78% versus a gain of 11.35% for VYM.
Over three years, TMF compounded at -16.76% per year against +17.22% for VYM; over five years the annualized figures are -35.73% and +12.30% respectively. Across the full 17-year window we track, VYM has the edge at +11.04% annualized vs -8.11%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TMF has been the more volatile fund, with annualized monthly volatility of 40.6% 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 -93.7% for TMF 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 -0.12. They move largely independently of each other.
Fees and Cost Over Time
TMF charges 0.90% per year while VYM charges 0.04%. On a $10,000 position that is $90 vs $4 annually, a gap of $86 per year that compounds over a long holding period. On income, TMF currently yields 4.69% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 4 holdings in TMF and 557 in VYM, totalling 98.3% and 99.2% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 4 positions we hold weights for in TMF and 557 in VYM, against full books of 14 and 613.
You are not choosing between two funds in isolation.
Whichever of TMF 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, TMF or VYM?
TMF has an expense ratio of 0.90% while VYM charges 0.04%. VYM is the cheaper option, by $86 a year on a $10,000 investment.
Which performed better, TMF or VYM?
Over the past year TMF returned -24.05% vs +15.34% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (17 years), TMF annualized -8.11% vs +11.04% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, TMF or VYM?
TMF has been the more volatile fund at 40.6% annualized versus 13.2% for VYM. Worst drawdown: TMF -93.7% vs VYM -35.7%.
Should I hold both TMF and VYM?
TMF and VYM have a monthly-return correlation of -0.12, 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, TMF or VYM?
TMF yields 4.69% while VYM yields 2.22%, so TMF currently pays the higher dividend yield.
Is VYM better than TMF?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.