VGHY vs VYM
Vanguard High-Yield Active ETF vs Vanguard High Dividend Yield ETF
Which is better, VGHY or VYM?
High Yield Bond against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y.
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 | VGHY | VYM |
|---|---|---|
| Expense Ratio | 0.22% | 0.04%Best |
| AUM | $307M | $81.6B |
| Dividend Yield | 5.01% | 2.22% |
| Holdings | 608 | 613 |
| YTD Return | -2.28% | +13.15%Best |
| 1Y Return | -0.55% | +17.82%Best |
| 3Y Return (annualized) | - | +17.99% |
| 5Y Return (annualized) | - | +12.16% |
| Volatility (annualized) | 2.7%Best | 9.7% |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | High Yield Bond | Large Cap Value |
| Inception | Aug 27, 2025 | Nov 10, 2006 |
Not shown on this pair: Max Drawdown, $10,000 over the window, Top 10 Weight.
VGHY 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.
VGHY vs VYM Performance
Vanguard High-Yield Active ETF (VGHY) is an ETF from Vanguard (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year VGHY returned -0.55% while VYM returned +17.82%. Year to date, VGHY is down 2.28% versus a gain of 13.15% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 9.7% compared with 2.7% for VGHY. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
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
VGHY charges 0.22% per year while VYM charges 0.04%. On a $10,000 position that is $22 vs $4 annually, a gap of $18 per year that compounds over a long holding period. On income, VGHY currently yields 5.01% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 26 holdings in VGHY and 603 in VYM, totalling 3.4% and 99.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 26 positions we hold weights for in VGHY and 603 in VYM, against full books of 608 and 613.
You are not choosing between two funds in isolation.
Whichever of VGHY 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, VGHY or VYM?
VGHY has an expense ratio of 0.22% while VYM charges 0.04%. VYM is the cheaper option, by $18 a year on a $10,000 investment.
Which performed better, VGHY or VYM?
Over the past year VGHY returned -0.55% vs +17.82% 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, VGHY or VYM?
VYM has been the more volatile fund at 9.7% annualized versus 2.7% for VGHY.
Should I hold both VGHY and VYM?
VGHY 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.
Which pays a higher dividend, VGHY or VYM?
VGHY yields 5.01% while VYM yields 2.22%, so VGHY currently pays the higher dividend yield.
Is VYM better than VGHY?
VYM has a lower expense ratio. VYM led over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.