VYM vs XPAY

VYM vs XPAY
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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

MetricVYMXPAYWinner
Expense Ratio0.04%0.49%
AUM$81.6B$177M
Dividend Yield2.24%21.06%
Holdings61616
YTD Return+14.66%+11.80%
1Y Return+22.16%+19.97%
3Y Return (annualized)+18.72%-
5Y Return (annualized)+12.18%-
Volatility (annualized)14.6%13.3%
Max Drawdown-58.8%-18.2%
Fund FamilyVanguard (US)Roundhill Investments
CategoryEquityEquity
InceptionNov 10, 2006Oct 31, 2024

VYM vs XPAY Performance

Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US) and Roundhill S&P 500 Target 20 Managed Distribution ETF (XPAY) is a ETF from Roundhill Investments. Over the past year VYM returned +22.16% while XPAY returned +19.97%. Year to date, VYM is up 14.66% versus a gain of 11.80% for XPAY.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 13.3% for XPAY. 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 -58.8% for VYM and -18.2% for XPAY. 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 0.74. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

VYM charges 0.04% per year while XPAY charges 0.49%. On a $10,000 position that is $4 vs $49 annually, a gap of $45 per year that compounds over a long holding period. On income, VYM currently yields 2.24% against 21.06% for XPAY.

Holdings Overlap

0.0%overlap

VYM and XPAY share 0 holdings out of 604 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, VYM or XPAY?

VYM has an expense ratio of 0.04% while XPAY charges 0.49%. VYM is the cheaper option. On a $10,000 investment, that is $45 per year of difference.

Which performed better, VYM or XPAY?

Over the past year VYM returned +22.16% vs +19.97% for XPAY, so VYM leads on 1-year performance. Over the longest common window we track (2 years), VYM annualized +7.01% vs +18.13% for XPAY. Past performance does not guarantee future results.

Which is riskier, VYM or XPAY?

VYM has been the more volatile fund at 14.6% annualized versus 13.3% for XPAY. Worst drawdown: VYM -58.8% vs XPAY -18.2%.

Should I hold both VYM and XPAY?

VYM and XPAY have a monthly-return correlation of 0.74, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VYM and XPAY?

VYM and XPAY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 604 unique securities.

Which pays a higher dividend, VYM or XPAY?

VYM yields 2.24% while XPAY yields 21.06%, so XPAY currently pays the higher dividend yield.

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