UDOW vs VYM

UDOW vs VYM

Which is better, UDOW or VYM?

Multi Alternative against Large Cap Value.

VYM has a lower expense ratio. UDOW led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95.

Lower Fees: VYMHigher Returns: UDOW

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

MetricUDOWVYM
Expense Ratio0.95%0.04%Best
AUM$849M$81.6B
Dividend Yield1.07%2.22%
Holdings42613
YTD Return+18.98%Best+13.91%
1Y Return+33.36%Best+17.57%
3Y Return (annualized)+34.03%Best+18.12%
5Y Return (annualized)+14.25%Best+12.17%
Volatility (annualized)43.8%13.2%Best
Max Drawdown-80.3%-35.7%Best
$10,000 over 5 years$19,466Best$17,758
Fund FamilyProSharesVanguard (US)
CategoryAlternativeEquity
StyleMulti AlternativeLarge Cap Value
InceptionFeb 9, 2010Nov 10, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Feb 11, 2010 to Sep 11, 2026 (16.6 years).

UDOW 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

UDOW vs VYM Performance

ProShares UltraPro Dow30 (UDOW) is an ETF from ProShares and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year UDOW returned +33.36% while VYM returned +17.57%. Year to date, UDOW is up 18.98% versus a gain of 13.91% for VYM.

Over three years, UDOW compounded at +34.03% per year against +18.12% for VYM; over five years the annualized figures are +14.25% and +12.17% respectively. Across the full 17-year window we track, UDOW has the edge at +25.72% annualized vs +10.41%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

UDOW has been the more volatile fund, with annualized monthly volatility of 43.8% 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 -80.3% for UDOW 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

UDOW charges 0.95% per year while VYM charges 0.04%. On a $10,000 position that is $95 vs $4 annually, a gap of $91 per year that compounds over a long holding period. On income, UDOW currently yields 1.07% against 2.22% for VYM.

Holdings Overlap

VYM already in UDOW22.0%

At least 22.0% of VYM's money is in holdings UDOW also owns.

Stated as a floor: for UDOW, our book for it covers 60.8% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

VYM and UDOW share little of their money.

17 positions in common, counted across the 30 positions we hold weights for in UDOW and 603 in VYM, against full books of 42 and 613.

Top Shared Holdings

StockWeight in UDOWWeight in VYMDifference
CATCaterpillar, Inc.4.82%2.01%2.81%
JPMJpmorgan Chase & Co.1.99%3.38%1.39%
JNJJohnson & Johnson1.43%2.54%1.11%
UNHUnitedhealth Group Inc.2.28%1.56%0.72%
HDHome Depot Inc/The1.95%1.46%0.49%
AMGNAmgen Inc.2.26%0.75%1.51%
CSCOCisco Systems Inc. - Ordinary Shares0.67%1.93%1.26%
TRVTravelers Cos., Inc.2.12%0.29%1.83%
IBMInternational Business Machines Corp.1.31%1.10%0.21%
MCDMcdonald'S Corp1.52%0.80%0.72%

22.0% of VYM is already inside UDOW.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

UDOWVYM

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, UDOW or VYM?

UDOW has an expense ratio of 0.95% while VYM charges 0.04%. VYM is the cheaper option, by $91 a year on a $10,000 investment.

Which performed better, UDOW or VYM?

Over the past year UDOW returned +33.36% vs +17.57% for VYM, so UDOW leads on 1-year performance. Over the longest common window we track (17 years), UDOW annualized +25.72% vs +10.41% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, UDOW or VYM?

UDOW has been the more volatile fund at 43.8% annualized versus 13.2% for VYM. Worst drawdown: UDOW -80.3% vs VYM -35.7%.

Should I hold both UDOW and VYM?

UDOW and VYM have a monthly-return correlation of 0.95, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between UDOW and VYM?

At least 22.0% of VYM's money is in holdings UDOW also owns. Our book for UDOW is partial, so the real figure is this or higher. They hold 17 positions in common, counted across the 30 positions we hold weights for in UDOW and 603 in VYM.

Which pays a higher dividend, UDOW or VYM?

UDOW yields 1.07% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.

Is VYM better than UDOW?

VYM has a lower expense ratio. UDOW led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. Which one suits a particular account depends on what it is for. This is information, not a recommendation.