VYM vs YANG

Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: VYM

Side-by-Side Comparison

MetricVYMYANGWinner
Expense Ratio0.04%1.03%
AUM$79.0B$92M
Dividend Yield2.86%2.24%
Holdings5687
YTD Return+15.80%+22.99%
1Y Return+26.12%-1.75%
3Y Return (annualized)+18.25%-45.05%
5Y Return (annualized)+12.51%-38.48%
Volatility (annualized)14.6%66.2%
Max Drawdown-58.8%-100.0%
Fund FamilyVanguard (US)Direxion Shares ETF Trust
CategoryEquityAlternative
InceptionNov 10, 2006Dec 3, 2009

VYM vs YANG Performance

Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US) and Direxion Daily FTSE China Bear 3X ETF (YANG) is a ETF from Direxion Shares ETF Trust. Over the past year VYM returned +26.12% while YANG returned -1.75%. Year to date, VYM is up 15.80% versus a gain of 22.99% for YANG.

Over three years, VYM compounded at +18.25% per year against -45.05% for YANG; over five years the annualized figures are +12.51% and -38.48% respectively. Across the full 17-year window we track, VYM has the edge at +7.07% annualized vs -38.38%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

YANG has been the more volatile fund, with annualized monthly volatility of 66.2% 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 -58.8% for VYM and -100.0% for YANG. 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 -0.37. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VYM charges 0.04% per year while YANG charges 1.03%. On a $10,000 position that is $4 vs $103 annually, a gap of $99 per year that compounds over a long holding period. On income, VYM currently yields 2.86% against 2.24% for YANG.

Holdings Overlap

0.0%overlap

VYM and YANG share 0 holdings out of 561 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 YANG?

VYM has an expense ratio of 0.04% while YANG charges 1.03%. VYM is the cheaper option. On a $10,000 investment, that is $99 per year of difference.

Which performed better, VYM or YANG?

Over the past year VYM returned +26.12% vs -1.75% for YANG, so VYM leads on 1-year performance. Over the longest common window we track (17 years), VYM annualized +7.07% vs -38.38% for YANG. Past performance does not guarantee future results.

Which is riskier, VYM or YANG?

YANG has been the more volatile fund at 66.2% annualized versus 14.6% for VYM. Worst drawdown: VYM -58.8% vs YANG -100.0%.

Should I hold both VYM and YANG?

VYM and YANG have a monthly-return correlation of -0.37, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VYM and YANG?

VYM and YANG share 0 common holdings with a 0.0% weight overlap. Combined, they hold 561 unique securities.

Which pays a higher dividend, VYM or YANG?

VYM yields 2.86% while YANG yields 2.24%, so VYM currently pays the higher dividend yield.

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