VYM vs YCS

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

MetricVYMYCSWinner
Expense Ratio0.04%0.95%
AUM$79.0B$32M
Dividend Yield2.86%0.00%
Holdings5684
YTD Return+16.10%+7.04%
1Y Return+25.99%+23.63%
3Y Return (annualized)+18.29%+16.39%
5Y Return (annualized)+12.35%+23.20%
Volatility (annualized)14.6%19.4%
Max Drawdown-58.8%-49.6%
Fund FamilyVanguard (US)ProShares
CategoryEquityAlternative
InceptionNov 10, 2006Nov 24, 2008

VYM vs YCS Performance

Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US) and ProShares UltraShort Yen ETF (YCS) is a ETF from ProShares. Over the past year VYM returned +25.99% while YCS returned +23.63%. Year to date, VYM is up 16.10% versus a gain of 7.04% for YCS.

Over three years, VYM compounded at +18.29% per year against +16.39% for YCS; over five years the annualized figures are +12.35% and +23.20% respectively. Across the full 18-year window we track, VYM has the edge at +7.08% annualized vs +6.44%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

YCS has been the more volatile fund, with annualized monthly volatility of 19.4% 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 -49.6% for YCS. 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 -0.05. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VYM charges 0.04% per year while YCS charges 0.95%. On a $10,000 position that is $4 vs $95 annually, a gap of $91 per year that compounds over a long holding period. On income, VYM currently yields 2.86% against 0.00% for YCS.

Holdings Overlap

0.0%overlap

VYM and YCS share 0 holdings out of 559 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 YCS?

VYM has an expense ratio of 0.04% while YCS charges 0.95%. VYM is the cheaper option. On a $10,000 investment, that is $91 per year of difference.

Which performed better, VYM or YCS?

Over the past year VYM returned +25.99% vs +23.63% for YCS, so VYM leads on 1-year performance. Over the longest common window we track (18 years), VYM annualized +7.08% vs +6.44% for YCS. Past performance does not guarantee future results.

Which is riskier, VYM or YCS?

YCS has been the more volatile fund at 19.4% annualized versus 14.6% for VYM. Worst drawdown: VYM -58.8% vs YCS -49.6%.

Should I hold both VYM and YCS?

VYM and YCS have a monthly-return correlation of -0.05, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VYM and YCS?

VYM and YCS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 559 unique securities.

Which pays a higher dividend, VYM or YCS?

VYM yields 2.86% while YCS yields 0.00%, so VYM currently pays the higher dividend yield.

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