TMFC vs VYM
TMFC vs VYM
Motley Fool 100 Index ETF vs Vanguard High Dividend Yield ETF
Quick Verdict
VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.
Side-by-Side Comparison
| Metric | TMFC | VYM | Winner |
|---|---|---|---|
| Expense Ratio | 0.50% | 0.04% | |
| AUM | $2.0B | $79.0B | |
| Dividend Yield | 0.11% | 2.86% | |
| Holdings | 103 | 568 | |
| YTD Return | +12.43% | +15.80% | |
| 1Y Return | +21.39% | +26.12% | |
| 3Y Return (annualized) | +25.46% | +18.25% | |
| 5Y Return (annualized) | +14.62% | +12.51% | |
| Volatility (annualized) | 18.8% | 14.6% | |
| Max Drawdown | -33.1% | -58.8% | |
| Fund Family | Motley Fool Asset Management | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Jan 29, 2018 | Nov 10, 2006 |
TMFC vs VYM Performance
Motley Fool 100 Index ETF (TMFC) is a ETF from Motley Fool Asset Management and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year TMFC returned +21.39% while VYM returned +26.12%. Year to date, TMFC is up 12.43% versus a gain of 15.80% for VYM.
Over three years, TMFC compounded at +25.46% per year against +18.25% for VYM; over five years the annualized figures are +14.62% and +12.51% respectively. Across the full 9-year window we track, TMFC has the edge at +18.21% annualized vs +7.07%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TMFC has been the more volatile fund, with annualized monthly volatility of 18.8% compared with 14.6% 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 -33.1% for TMFC and -58.8% for VYM. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.
The two funds' monthly returns correlate at 0.70. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
TMFC charges 0.50% per year while VYM charges 0.04%. On a $10,000 position that is $50 vs $4 annually, a gap of $46 per year that compounds over a long holding period. On income, TMFC currently yields 0.11% against 2.86% for VYM.
Holdings Overlap
TMFC and VYM share 8 holdings out of 651 unique holdings combined, representing a 9.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in TMFC | Weight in VYM | Difference |
|---|---|---|---|
| AVGO | 5.72% | 6.47% | 0.75% |
| IBM | 2.39% | 0.98% | 1.41% |
| GILD | 2.12% | 0.81% | 1.31% |
| BMY | Pro | Pro | Pro |
| LMT | Pro | Pro | Pro |
| EBAY | Pro | Pro | Pro |
| HAS | Pro | Pro | Pro |
| WSM | Pro | Pro | Pro |
See all 8 holdings TMFC shares with VYM Exact weights in each fund and the difference, for every overlapping position. X-ray my whole portfolio$99/yr Pro · 7-day refund | |||
Frequently Asked Questions
Which is cheaper, TMFC or VYM?
TMFC has an expense ratio of 0.50% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $46 per year of difference.
Which performed better, TMFC or VYM?
Over the past year TMFC returned +21.39% vs +26.12% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (9 years), TMFC annualized +18.21% vs +7.07% for VYM. Past performance does not guarantee future results.
Which is riskier, TMFC or VYM?
TMFC has been the more volatile fund at 18.8% annualized versus 14.6% for VYM. Worst drawdown: TMFC -33.1% vs VYM -58.8%.
Should I hold both TMFC and VYM?
TMFC and VYM have a monthly-return correlation of 0.70, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between TMFC and VYM?
TMFC and VYM share 8 common holdings with a 9.0% weight overlap. Combined, they hold 651 unique securities.
Which pays a higher dividend, TMFC or VYM?
TMFC yields 0.11% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.