VYM vs XHS
Vanguard High Dividend Yield ETF vs State Street SPDR S&P Health Care Services ETF
Which is better, VYM or XHS?
Large Cap Value against Mid Cap Blend.
VYM has a lower expense ratio. VYM led over 5Y, XHS over 1Y, 3Y and the full window. XHS is less concentrated, with 23.2% of the fund in its ten largest positions against 26.1%.
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 | VYM | XHS |
|---|---|---|
| Expense Ratio | 0.04%Best | 0.35% |
| AUM | $81.6B | $214M |
| Dividend Yield | 2.22% | 0.20% |
| Holdings | 613 | 61 |
| YTD Return | +11.71% | +28.92%Best |
| 1Y Return | +16.24% | +42.48%Best |
| 3Y Return (annualized) | +17.24% | +18.14%Best |
| 5Y Return (annualized) | +11.86%Best | +5.20% |
| Volatility (annualized) | 13.0%Best | 19.4% |
| Max Drawdown | -35.7%Best | -39.4% |
| $10,000 over 5 years | $17,514Best | $12,885 |
| Top 10 Weight | 26.1% | 23.2%Best |
| Fund Family | Vanguard (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Mid Cap Blend |
| Inception | Nov 10, 2006 | Sep 28, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Sep 29, 2011 to Sep 16, 2026 (15 years).
VYM vs XHS 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 15 years both funds cover.
VYM vs XHS Performance
Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US) and State Street SPDR S&P Health Care Services ETF (XHS) is an ETF from State Street Investment Management. Over the past year VYM returned +16.24% while XHS returned +42.48%. Year to date, VYM is up 11.71% versus a gain of 28.92% for XHS.
Over three years, VYM compounded at +17.24% per year against +18.14% for XHS; over five years the annualized figures are +11.86% and +5.20% respectively. Across the full 15-year window we track, XHS has the edge at +12.28% annualized vs +10.67%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XHS has been the more volatile fund, with annualized monthly volatility of 19.4% compared with 13.0% 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 -35.7% for VYM and -39.4% for XHS. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.67. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VYM charges 0.04% per year while XHS charges 0.35%. On a $10,000 position that is $4 vs $35 annually, a gap of $31 per year that compounds over a long holding period. On income, VYM currently yields 2.22% against 0.20% for XHS.
Holdings Overlap
3.2% of VYM's money is in holdings XHS also owns. 13.7% of XHS's money is in holdings VYM also owns.
XHS and VYM share little of their money.
8 positions in common, counted across the 557 positions we hold weights for in VYM and 60 in XHS, against full books of 613 and 61.
What only one of them owns
Measured across the 557 and 60 positions we hold weights for.
VYM holds 520 positions XHS does not, 93.9% of the fund.
Largest: AVGO 7.35%, JPM 3.82%, XOM 2.63%, JNJ 2.51%, CSCO 1.86%
Top Shared Holdings
| Stock | Weight in VYM | Weight in XHS | Difference |
|---|---|---|---|
| UNHUnitedhealth Group, Inc. | 1.52% | 1.57% | 0.05% |
| CVSCvs Corp | 0.54% | 1.57% | 1.03% |
| DGXQuest Diagnostics Inc | 0.10% | 1.93% | 1.83% |
| CAHCardinal Health Inc. | 0.22% | 1.78% | 1.56% |
| CHEChemed Corp | 0.03% | 1.96% | 1.93% |
| ELVElevance Health Inc | 0.32% | 1.59% | 1.27% |
| HUMHumana Inc. | 0.18% | 1.72% | 1.54% |
| CICigna Corp. | 0.30% | 1.53% | 1.23% |
You are not choosing between two funds in isolation.
Whichever of VYM and XHS 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, VYM or XHS?
VYM has an expense ratio of 0.04% while XHS charges 0.35%. VYM is the cheaper option, by $31 a year on a $10,000 investment.
Which performed better, VYM or XHS?
Over the past year VYM returned +16.24% vs +42.48% for XHS, so XHS leads on 1-year performance. Over the longest common window we track (15 years), VYM annualized +10.67% vs +12.28% for XHS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VYM or XHS?
XHS has been the more volatile fund at 19.4% annualized versus 13.0% for VYM. Worst drawdown: VYM -35.7% vs XHS -39.4%.
Should I hold both VYM and XHS?
VYM and XHS have a monthly-return correlation of 0.67, 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 VYM and XHS?
13.7% of XHS's money is in holdings VYM also owns. 13.7% of XHS's is in holdings VYM also owns. They hold 8 positions in common, counted across the 557 positions we hold weights for in VYM and 60 in XHS.
Which pays a higher dividend, VYM or XHS?
VYM yields 2.22% while XHS yields 0.20%, so VYM currently pays the higher dividend yield.
Is XHS better than VYM?
VYM has a lower expense ratio. VYM led over 5Y, XHS over 1Y, 3Y and the full window. XHS is less concentrated, with 23.2% 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.