TMFG vs VYM
Motley Fool Global Opportunities ETF vs Vanguard High Dividend Yield ETF
Which is better, TMFG or VYM?
Large Cap Growth against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 46.8%.
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 | TMFG | VYM |
|---|---|---|
| Expense Ratio | 0.85% | 0.04%Best |
| AUM | $350M | $81.6B |
| Dividend Yield | 0.26% | 2.22% |
| Holdings | 46 | 613 |
| YTD Return | +1.92% | +11.47%Best |
| 1Y Return | +1.43% | +15.94%Best |
| 3Y Return (annualized) | +11.82% | +18.03%Best |
| 5Y Return (annualized) | - | +12.35% |
| Volatility (annualized) | 17.2% | 13.7%Best |
| Max Drawdown | -33.7% | -15.8%Best |
| $10,000 over 4.8 years | $11,692 | $16,754Best |
| Top 10 Weight | 46.8% | 26.1%Best |
| Fund Family | Motley Fool Asset Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Value |
| Inception | Jun 17, 2014 | Nov 10, 2006 |
Volatility and max drawdown, and the $10,000 over 4.8 years row, are measured over the window both funds cover: Dec 13, 2021 to Sep 21, 2026 (4.8 years).
TMFG 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 4.8 years both funds cover.
TMFG vs VYM Performance
Motley Fool Global Opportunities ETF (TMFG) is an ETF from Motley Fool Asset Management and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year TMFG returned +1.43% while VYM returned +15.94%. Year to date, TMFG is up 1.92% versus a gain of 11.47% for VYM.
Over three years, TMFG compounded at +11.82% per year against +18.03% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TMFG has been the more volatile fund, with annualized monthly volatility of 17.2% compared with 13.7% 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 -33.7% for TMFG 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 0.75. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
TMFG charges 0.85% per year while VYM charges 0.04%. On a $10,000 position that is $85 vs $4 annually, a gap of $81 per year that compounds over a long holding period. On income, TMFG currently yields 0.26% against 2.22% for VYM.
Holdings Overlap
5.1% of TMFG's money is in holdings VYM also owns. 0.3% of VYM's money is in holdings TMFG also owns.
TMFG and VYM share little of their money.
2 positions in common, counted across the 40 positions we hold weights for in TMFG and 557 in VYM, against full books of 46 and 613.
What only one of them owns
Our book lists 526 positions for VYM that do not appear in our book for TMFG (96.8% of the fund), and 20 for TMFG that do not appear in VYM (54.0%).
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.
You are not choosing between two funds in isolation.
Whichever of TMFG 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, TMFG or VYM?
TMFG has an expense ratio of 0.85% while VYM charges 0.04%. VYM is the cheaper option, by $81 a year on a $10,000 investment.
Which performed better, TMFG or VYM?
Over the past year TMFG returned +1.43% vs +15.94% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, TMFG or VYM?
TMFG has been the more volatile fund at 17.2% annualized versus 13.7% for VYM. Worst drawdown: TMFG -33.7% vs VYM -15.8%.
Should I hold both TMFG and VYM?
TMFG and VYM have a monthly-return correlation of 0.75, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between TMFG and VYM?
5.1% of TMFG's money is in holdings VYM also owns. 0.3% of VYM's is in holdings TMFG also owns. They hold 2 positions in common, counted across the 40 positions we hold weights for in TMFG and 557 in VYM.
Which pays a higher dividend, TMFG or VYM?
TMFG yields 0.26% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.
Is VYM better than TMFG?
VYM has a lower expense ratio. VYM led over 1Y, 3Y and the full window. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 46.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.