VUSE vs VYM

VUSE vs VYM

Which is better, VUSE or VYM?

Mid Cap Value against Large Cap Value.

VYM has a lower expense ratio. VUSE led over the full window, VYM over 1Y, 3Y and 5Y. The two have moved almost in lockstep, correlation 0.90. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 27.4%.

Lower Fees: VYMHigher Returns: splitLess Concentrated: VYM

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

MetricVUSEVYM
Expense Ratio0.50%0.04%Best
AUM$679M$81.6B
Dividend Yield0.45%2.22%
Holdings128613
YTD Return+9.43%+11.35%Best
1Y Return+8.28%+15.34%Best
3Y Return (annualized)+15.39%+17.22%Best
5Y Return (annualized)+12.19%+12.30%Best
Volatility (annualized)17.2%13.5%Best
Max Drawdown-45.5%-35.7%Best
$10,000 over 5 years$17,773$17,861Best
Top 10 Weight27.4%26.1%Best
Fund FamilyVident FinancialVanguard (US)
CategoryEquityEquity
StyleMid Cap ValueLarge Cap Value
InceptionJan 22, 2014Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Jan 22, 2014 to Sep 18, 2026 (12.7 years).

VUSE 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 12.7 years both funds cover.

VUSE vs VYM Performance

Vident US Equity Strategy ETF (VUSE) is an ETF from Vident Financial and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year VUSE returned +8.28% while VYM returned +15.34%. Year to date, VUSE is up 9.43% versus a gain of 11.35% for VYM.

Over three years, VUSE compounded at +15.39% per year against +17.22% for VYM; over five years the annualized figures are +12.19% and +12.30% respectively. Across the full 13-year window we track, VUSE has the edge at +9.17% annualized vs +9.14%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VUSE has been the more volatile fund, with annualized monthly volatility of 17.2% compared with 13.5% 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 -45.5% for VUSE 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 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

VUSE charges 0.50% per year while VYM charges 0.04%. On a $10,000 position that is $50 vs $4 annually, a gap of $46 per year that compounds over a long holding period. On income, VUSE currently yields 0.45% against 2.22% for VYM.

Holdings Overlap

VUSE already in VYM21.0%
VYM already in VUSE22.7%

21.0% of VUSE's money is in holdings VYM also owns. 22.7% of VYM's money is in holdings VUSE also owns.

VYM and VUSE share little of their money.

24 positions in common, counted across the 123 positions we hold weights for in VUSE and 557 in VYM, against full books of 128 and 613.

What only one of them owns

Our book lists 504 positions for VYM that do not appear in our book for VUSE (74.4% of the fund), and 98 for VUSE that do not appear in VYM (78.3%).

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 VUSEWeight in VYMDifference
AVGOBroadcom Inc2.57%7.35%4.78%
JPMJpmorgan Chase2.51%3.82%1.31%
JNJJohnson & Johnson - Common2.53%2.51%0.02%
XOMExxon Mobil Corp.1.21%2.63%1.42%
KOCoca Cola Co.0.96%1.38%0.42%
PMPhilip Morris International Inc.0.99%1.21%0.22%
NEMNewmont Corp Common1.19%0.41%0.78%
BMYBristol-Myers Squibb Co.1.01%0.54%0.47%
PGRProgressive Corporation0.99%0.50%0.49%
MOAltria Group Inc1.02%0.46%0.56%

22.7% of VYM is already inside VUSE.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

VUSEVYM

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Frequently Asked Questions

Which is cheaper, VUSE or VYM?

VUSE has an expense ratio of 0.50% while VYM charges 0.04%. VYM is the cheaper option, by $46 a year on a $10,000 investment.

Which performed better, VUSE or VYM?

Over the past year VUSE returned +8.28% vs +15.34% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (13 years), VUSE annualized +9.17% vs +9.14% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, VUSE or VYM?

VUSE has been the more volatile fund at 17.2% annualized versus 13.5% for VYM. Worst drawdown: VUSE -45.5% vs VYM -35.7%.

Should I hold both VUSE and VYM?

VUSE and VYM have a monthly-return correlation of 0.90, 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 VUSE and VYM?

22.7% of VYM's money is in holdings VUSE also owns. 22.7% of VYM's is in holdings VUSE also owns. They hold 24 positions in common, counted across the 123 positions we hold weights for in VUSE and 557 in VYM.

Which pays a higher dividend, VUSE or VYM?

VUSE yields 0.45% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.

Is VYM better than VUSE?

VYM has a lower expense ratio. VUSE led over the full window, VYM over 1Y, 3Y and 5Y. The two have moved almost in lockstep, correlation 0.90. VYM is less concentrated, with 26.1% of the fund in its ten largest positions against 27.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.