VBIL vs VYM

Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricVBILVYMWinner
Expense Ratio0.06%0.04%
AUM$9.4B$79.0B
Dividend Yield3.65%2.86%
Holdings28568
YTD Return+1.84%+15.80%
1Y Return+3.52%+26.12%
3Y Return (annualized)-+18.25%
5Y Return (annualized)-+12.51%
Volatility (annualized)0.7%14.6%
Max Drawdown-0.3%-58.8%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionFeb 7, 2025Nov 10, 2006

VBIL vs VYM Performance

Vanguard 0-3 Month Treasury Bill ETF (VBIL) is a ETF from Vanguard (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year VBIL returned +3.52% while VYM returned +26.12%. Year to date, VBIL is up 1.84% versus a gain of 15.80% for VYM.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 0.7% for VBIL. 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 -0.3% for VBIL 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 -0.10. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VBIL charges 0.06% per year while VYM charges 0.04%. On a $10,000 position that is $6 vs $4 annually, a gap of $2 per year that compounds over a long holding period. On income, VBIL currently yields 3.65% against 2.86% for VYM.

Holdings Overlap

0.0%overlap

VBIL and VYM share 0 holdings out of 560 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, VBIL or VYM?

VBIL has an expense ratio of 0.06% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $2 per year of difference.

Which performed better, VBIL or VYM?

Over the past year VBIL returned +3.52% vs +26.12% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), VBIL annualized +4.61% vs +7.07% for VYM. Past performance does not guarantee future results.

Which is riskier, VBIL or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 0.7% for VBIL. Worst drawdown: VBIL -0.3% vs VYM -58.8%.

Should I hold both VBIL and VYM?

VBIL and VYM have a monthly-return correlation of -0.10, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VBIL and VYM?

VBIL and VYM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 560 unique securities.

Which pays a higher dividend, VBIL or VYM?

VBIL yields 3.65% while VYM yields 2.86%, so VBIL currently pays the higher dividend yield.

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