VSDA vs VYM

VSDA vs VYM
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Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 616 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricVSDAVYMWinner
Expense Ratio0.35%0.04%
AUM$251M$81.6B
Dividend Yield2.47%2.24%
Holdings77616
YTD Return+15.99%+16.42%
1Y Return+14.91%+24.22%
3Y Return (annualized)+12.47%+19.03%
5Y Return (annualized)+7.92%+12.21%
Volatility (annualized)15.1%14.6%
Max Drawdown-32.2%-58.8%
Fund FamilyVictory Capital Management Inc.Vanguard (US)
CategoryEquityEquity
InceptionApr 18, 2017Nov 10, 2006

VSDA vs VYM Performance

VictoryShares Dividend Accelerator ETF (VSDA) is a ETF from Victory Capital Management Inc. and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year VSDA returned +14.91% while VYM returned +24.22%. Year to date, VSDA is up 15.99% versus a gain of 16.42% for VYM.

Over three years, VSDA compounded at +12.47% per year against +19.03% for VYM; over five years the annualized figures are +7.92% and +12.21% respectively. Across the full 9-year window we track, VSDA has the edge at +11.28% annualized vs +7.10%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VSDA has been the more volatile fund, with annualized monthly volatility of 15.1% 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 -32.2% for VSDA 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

VSDA charges 0.35% per year while VYM charges 0.04%. On a $10,000 position that is $35 vs $4 annually, a gap of $31 per year that compounds over a long holding period. On income, VSDA currently yields 2.47% against 2.24% for VYM.

Holdings Overlap

18.4%overlap

VSDA and VYM share 51 holdings out of 627 unique holdings combined, representing a 18.4% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in VSDAWeight in VYMDifference
XOM1.62%2.36%0.74%
CVX2.45%1.28%1.17%
JNJ1.03%2.54%1.51%
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Frequently Asked Questions

Which is cheaper, VSDA or VYM?

VSDA has an expense ratio of 0.35% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $31 per year of difference.

Which performed better, VSDA or VYM?

Over the past year VSDA returned +14.91% vs +24.22% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (9 years), VSDA annualized +11.28% vs +7.10% for VYM. Past performance does not guarantee future results.

Which is riskier, VSDA or VYM?

VSDA has been the more volatile fund at 15.1% annualized versus 14.6% for VYM. Worst drawdown: VSDA -32.2% vs VYM -58.8%.

Should I hold both VSDA and VYM?

VSDA and VYM have a monthly-return correlation of 0.92, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between VSDA and VYM?

VSDA and VYM share 51 common holdings with a 18.4% weight overlap. Combined, they hold 627 unique securities.

Which pays a higher dividend, VSDA or VYM?

VSDA yields 2.47% while VYM yields 2.24%, so VSDA currently pays the higher dividend yield.

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