USOY vs VYM

Quick Verdict

VYM has a lower expense ratio. USOY delivered stronger 1-year returns. VYM offers more diversification with 568 holdings.

Lower Fees: VYMHigher Returns: USOYMore Diversified: VYM

Side-by-Side Comparison

MetricUSOYVYMWinner
Expense Ratio1.12%0.04%
AUM$61M$79.0B
Dividend Yield97.34%2.86%
Holdings15568
YTD Return+42.58%+16.78%
1Y Return+39.04%+24.43%
3Y Return (annualized)-+18.60%
5Y Return (annualized)-+12.30%
Volatility (annualized)31.9%14.6%
Max Drawdown-25.5%-58.8%
Fund FamilyDefiance ETFs, LLCVanguard (US)
CategoryAlternativeEquity
InceptionMay 9, 2024Nov 10, 2006

USOY vs VYM Performance

Defiance Oil Enhanced Options Income ETF (USOY) is a ETF from Defiance ETFs, LLC and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year USOY returned +39.04% while VYM returned +24.43%. Year to date, USOY is up 42.58% versus a gain of 16.78% for VYM.

Risk: Volatility and Drawdowns

USOY has been the more volatile fund, with annualized monthly volatility of 31.9% 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 -25.5% for USOY 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 -0.06. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

USOY charges 1.12% per year while VYM charges 0.04%. On a $10,000 position that is $112 vs $4 annually, a gap of $108 per year that compounds over a long holding period. On income, USOY currently yields 97.34% against 2.86% for VYM.

Holdings Overlap

0.0%overlap

USOY and VYM share 0 holdings out of 561 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, USOY or VYM?

USOY has an expense ratio of 1.12% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $108 per year of difference.

Which performed better, USOY or VYM?

Over the past year USOY returned +39.04% vs +24.43% for VYM, so USOY leads on 1-year performance. Over the longest common window we track (2 years), USOY annualized +19.08% vs +7.11% for VYM. Past performance does not guarantee future results.

Which is riskier, USOY or VYM?

USOY has been the more volatile fund at 31.9% annualized versus 14.6% for VYM. Worst drawdown: USOY -25.5% vs VYM -58.8%.

Should I hold both USOY and VYM?

USOY and VYM have a monthly-return correlation of -0.06, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between USOY and VYM?

USOY and VYM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 561 unique securities.

Which pays a higher dividend, USOY or VYM?

USOY yields 97.34% while VYM yields 2.86%, so USOY currently pays the higher dividend yield.

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