VYM vs XYLG

VYM vs XYLG
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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

MetricVYMXYLGWinner
Expense Ratio0.04%0.35%
AUM$81.6B$65M
Dividend Yield2.24%13.11%
Holdings616506
YTD Return+15.34%+10.85%
1Y Return+23.24%+20.53%
3Y Return (annualized)+19.22%+17.22%
5Y Return (annualized)+12.21%+10.21%
Volatility (annualized)14.6%12.1%
Max Drawdown-58.8%-21.3%
Fund FamilyVanguard (US)Global X by mirae Asset
CategoryEquityEquity
InceptionNov 10, 2006Sep 18, 2020

VYM vs XYLG Performance

Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US) and Global X S&P 500 Covered Call & Growth ETF (XYLG) is a ETF from Global X by mirae Asset. Over the past year VYM returned +23.24% while XYLG returned +20.53%. Year to date, VYM is up 15.34% versus a gain of 10.85% for XYLG.

Over three years, VYM compounded at +19.22% per year against +17.22% for XYLG; over five years the annualized figures are +12.21% and +10.21% respectively. Across the full 6-year window we track, XYLG has the edge at +13.16% annualized vs +7.04%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 12.1% for XYLG. 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 -21.3% for XYLG. 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 0.84. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

VYM charges 0.04% per year while XYLG 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 2.24% against 13.11% for XYLG.

Holdings Overlap

34.0%overlap

VYM and XYLG share 238 holdings out of 854 unique holdings combined, representing a 34.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in VYMWeight in XYLGDifference
AVGO7.29%3.03%4.26%
JPM3.38%1.46%1.92%
JNJ2.54%0.94%1.60%
XOMProProPro
CSCOProProPro
CATProProPro
ABBVProProPro
BACProProPro
UNHProProPro
HDProProPro
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Frequently Asked Questions

Which is cheaper, VYM or XYLG?

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

Which performed better, VYM or XYLG?

Over the past year VYM returned +23.24% vs +20.53% for XYLG, so VYM leads on 1-year performance. Over the longest common window we track (6 years), VYM annualized +7.04% vs +13.16% for XYLG. Past performance does not guarantee future results.

Which is riskier, VYM or XYLG?

VYM has been the more volatile fund at 14.6% annualized versus 12.1% for XYLG. Worst drawdown: VYM -58.8% vs XYLG -21.3%.

Should I hold both VYM and XYLG?

VYM and XYLG have a monthly-return correlation of 0.84, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VYM and XYLG?

VYM and XYLG share 238 common holdings with a 34.0% weight overlap. Combined, they hold 854 unique securities.

Which pays a higher dividend, VYM or XYLG?

VYM yields 2.24% while XYLG yields 13.11%, so XYLG currently pays the higher dividend yield.

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