VLUE vs VYM
iShares MSCI USA Value Factor ETF vs Vanguard High Dividend Yield ETF
Which is better, VLUE or VYM?
VLUE has been ahead.
VYM has a lower expense ratio. VLUE led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 43.0%.
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 | VLUE | VYM |
|---|---|---|
| Expense Ratio | 0.15% | 0.04%Best |
| AUM | $9.6B | $81.6B |
| Dividend Yield | 1.39% | 2.22% |
| Holdings | 156 | 613 |
| YTD Return | +46.45%Best | +13.91% |
| 1Y Return | +68.83%Best | +17.57% |
| 3Y Return (annualized) | +32.30%Best | +18.12% |
| 5Y Return (annualized) | +17.40%Best | +12.17% |
| Volatility (annualized) | 18.8% | 13.3%Best |
| Max Drawdown | -39.5% | -35.7%Best |
| $10,000 over 5 years | $22,302Best | $17,758 |
| Top 10 Weight | 43.0% | 25.9%Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Apr 16, 2013 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Apr 18, 2013 to Sep 11, 2026 (13.4 years).
VLUE 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 13.4 years both funds cover.
VLUE vs VYM Performance
iShares MSCI USA Value Factor ETF (VLUE) is an ETF from iShares by BlackRock (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year VLUE returned +68.83% while VYM returned +17.57%. Year to date, VLUE is up 46.45% versus a gain of 13.91% for VYM.
Over three years, VLUE compounded at +32.30% per year against +18.12% for VYM; over five years the annualized figures are +17.40% and +12.17% respectively. Across the full 13-year window we track, VLUE has the edge at +12.30% annualized vs +9.80%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VLUE has been the more volatile fund, with annualized monthly volatility of 18.8% compared with 13.3% 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 -39.5% for VLUE 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 0.85. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VLUE charges 0.15% per year while VYM charges 0.04%. On a $10,000 position that is $15 vs $4 annually, a gap of $11 per year that compounds over a long holding period. On income, VLUE currently yields 1.39% against 2.22% for VYM.
Holdings Overlap
57.1% of VLUE's money is in holdings VYM also owns. 22.6% of VYM's money is in holdings VLUE also owns.
The two portfolios partly overlap.
90 positions in common, counted across the 152 positions we hold weights for in VLUE and 603 in VYM, against full books of 156 and 613.
What only one of them owns
Our book lists 479 positions for VYM that do not appear in our book for VLUE (75.0% of the fund), and 59 for VLUE that do not appear in VYM (42.6%).
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.
Top Shared Holdings
| Stock | Weight in VLUE | Weight in VYM | Difference |
|---|---|---|---|
| CSCOCisco Systems Inc. - Ordinary Shares | 4.72% | 1.93% | 2.79% |
| BACBank Of America Corp. | 2.17% | 1.56% | 0.61% |
| VZVerizon Communications, Inc. | 2.87% | 0.74% | 2.13% |
| TAt&t, Inc. | 2.47% | 0.58% | 1.89% |
| CCitigroup Inc. | 1.62% | 0.94% | 0.68% |
| QCOMQualcomm Inc. | 1.51% | 0.81% | 0.70% |
| WFCWells Fargo & Co. | 1.24% | 1.05% | 0.19% |
| FFord Motor Co. | 2.00% | 0.23% | 1.77% |
| CMCSAComcast Corp. Class A | 1.78% | 0.36% | 1.42% |
| PFEPfizer, Inc. | 1.57% | 0.57% | 1.00% |
57.1% of VLUE is already inside VYM.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
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Frequently Asked Questions
Which is cheaper, VLUE or VYM?
VLUE has an expense ratio of 0.15% while VYM charges 0.04%. VYM is the cheaper option, by $11 a year on a $10,000 investment.
Which performed better, VLUE or VYM?
Over the past year VLUE returned +68.83% vs +17.57% for VYM, so VLUE leads on 1-year performance. Over the longest common window we track (13 years), VLUE annualized +12.30% vs +9.80% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VLUE or VYM?
VLUE has been the more volatile fund at 18.8% annualized versus 13.3% for VYM. Worst drawdown: VLUE -39.5% vs VYM -35.7%.
Should I hold both VLUE and VYM?
VLUE and VYM have a monthly-return correlation of 0.85, 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 VLUE and VYM?
57.1% of VLUE's money is in holdings VYM also owns. 22.6% of VYM's is in holdings VLUE also owns. They hold 90 positions in common, counted across the 152 positions we hold weights for in VLUE and 603 in VYM.
Which pays a higher dividend, VLUE or VYM?
VLUE yields 1.39% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.
Is VYM better than VLUE?
VYM has a lower expense ratio. VLUE led over 1Y, 3Y, 5Y and the full window. VYM is less concentrated, with 25.9% of the fund in its ten largest positions against 43.0%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.