VOE vs VYM

VOE vs VYM

Which is better, VOE or VYM?

Mid Cap Value against Large Cap Value.

VYM has a lower expense ratio. VOE led over 1Y and the full window, VYM over 3Y and 5Y. The two have moved almost in lockstep, correlation 0.94. VOE is less concentrated, with 13.1% of the fund in its ten largest positions against 26.1%.

Lower Fees: VYMHigher Returns: splitLess Concentrated: VOE

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

MetricVOEVYM
Expense Ratio0.05%0.04%Best
AUM$23.9B$81.6B
Dividend Yield1.80%2.22%
Holdings176613
YTD Return+14.09%Best+11.35%
1Y Return+19.17%Best+15.34%
3Y Return (annualized)+16.64%+17.22%Best
5Y Return (annualized)+10.14%+12.30%Best
Volatility (annualized)17.6%14.6%Best
Max Drawdown-63.4%-58.8%Best
$10,000 over 5 years$16,208$17,861Best
Top 10 Weight13.1%Best26.1%
Fund FamilyVanguard (US)Vanguard (US)
CategoryEquityEquity
StyleMid Cap ValueLarge Cap Value
InceptionAug 17, 2006Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 18, 2026 (19.8 years).

VOE 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 19.8 years both funds cover.

VOE vs VYM Performance

Vanguard Morningstar Mid-Cap Value ETF (VOE) is an ETF from Vanguard (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year VOE returned +19.17% while VYM returned +15.34%. Year to date, VOE is up 14.09% versus a gain of 11.35% for VYM.

Over three years, VOE compounded at +16.64% per year against +17.22% for VYM; over five years the annualized figures are +10.14% and +12.30% respectively. Across the full 20-year window we track, VOE has the edge at +7.35% annualized vs +6.82%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOE has been the more volatile fund, with annualized monthly volatility of 17.6% 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 -63.4% for VOE and -58.8% 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

VOE charges 0.05% per year while VYM charges 0.04%. On a $10,000 position that is $5 vs $4 annually, a gap of $1 per year that compounds over a long holding period. On income, VOE currently yields 1.80% against 2.22% for VYM.

Holdings Overlap

VOE already in VYM69.6%
VYM already in VOE19.2%

69.6% of VOE's money is in holdings VYM also owns. 19.2% of VYM's money is in holdings VOE also owns.

The two portfolios partly overlap.

117 positions in common, counted across the 171 positions we hold weights for in VOE and 557 in VYM, against full books of 176 and 613.

What only one of them owns

Our book lists 413 positions for VYM that do not appear in our book for VOE (78.1% of the fund), and 51 for VOE that do not appear in VYM (29.2%).

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

StockWeight in VOEWeight in VYMDifference
VLOValero Energy1.55%0.38%1.17%
MPCMarathon Petroleum Corp1.54%0.38%1.16%
CMICummins Inc.1.46%0.36%1.10%
PSXPhillips 661.41%0.34%1.07%
SLBSchlumberger Nv.1.24%0.30%0.94%
PCARPaccar Inc.1.16%0.28%0.88%
ALLAllstate Corp.1.13%0.27%0.86%
TGTTarget Corp Common Stock Usd.08331.09%0.27%0.82%
HPEHewlett Packard Enterprise Co1.06%0.26%0.80%
CRH:LNCrh Plc - Common1.06%0.26%0.80%

69.6% of VOE 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.

VOEVYM

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Frequently Asked Questions

Which is cheaper, VOE or VYM?

VOE has an expense ratio of 0.05% while VYM charges 0.04%. VYM is the cheaper option, by $1 a year on a $10,000 investment.

Which performed better, VOE or VYM?

Over the past year VOE returned +19.17% vs +15.34% for VYM, so VOE leads on 1-year performance. Over the longest common window we track (20 years), VOE annualized +7.35% vs +6.82% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, VOE or VYM?

VOE has been the more volatile fund at 17.6% annualized versus 14.6% for VYM. Worst drawdown: VOE -63.4% vs VYM -58.8%.

Should I hold both VOE and VYM?

VOE and VYM have a monthly-return correlation of 0.94, 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 VOE and VYM?

69.6% of VOE's money is in holdings VYM also owns. 19.2% of VYM's is in holdings VOE also owns. They hold 117 positions in common, counted across the 171 positions we hold weights for in VOE and 557 in VYM.

Which pays a higher dividend, VOE or VYM?

VOE yields 1.80% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.

Is VYM better than VOE?

VYM has a lower expense ratio. VOE led over 1Y and the full window, VYM over 3Y and 5Y. The two have moved almost in lockstep, correlation 0.94. VOE is less concentrated, with 13.1% of the fund in its ten largest positions against 26.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.