EQAL vs VYM

Quick Verdict

VYM has a lower expense ratio. VYM delivered stronger 1-year returns. EQAL offers more diversification with 951 holdings.

Lower Fees: VYMHigher Returns: VYMMore Diversified: EQAL

Side-by-Side Comparison

MetricEQALVYMWinner
Expense Ratio0.20%0.04%
AUM$816M$79.0B
Dividend Yield1.69%2.86%
Holdings992568
YTD Return+12.67%+13.24%
1Y Return+21.20%+23.76%
3Y Return (annualized)+12.80%+16.97%
5Y Return (annualized)+7.33%+12.26%
Volatility (annualized)17.2%14.6%
Max Drawdown-40.9%-58.8%
Fund FamilyInvesco (US)Vanguard (US)
CategoryEquityEquity
InceptionDec 23, 2014Nov 10, 2006

EQAL vs VYM Performance

Invesco Russell 1000 Equal Weight ETF (EQAL) is a ETF from Invesco (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year EQAL returned +21.20% while VYM returned +23.76%. Year to date, EQAL is up 12.67% versus a gain of 13.24% for VYM.

Over three years, EQAL compounded at +12.80% per year against +16.97% for VYM; over five years the annualized figures are +7.33% and +12.26% respectively. Across the full 12-year window we track, EQAL has the edge at +8.46% annualized vs +6.96%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

EQAL has been the more volatile fund, with annualized monthly volatility of 17.2% 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 -40.9% for EQAL and -58.8% for VYM. 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

EQAL charges 0.20% per year while VYM charges 0.04%. On a $10,000 position that is $20 vs $4 annually, a gap of $16 per year that compounds over a long holding period. On income, EQAL currently yields 1.69% against 2.86% for VYM.

Holdings Overlap

25.1%overlap

EQAL and VYM share 320 holdings out of 1189 unique holdings combined, representing a 25.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in EQALWeight in VYMDifference
AVGO0.06%6.47%6.41%
JPM0.06%3.36%3.30%
XOM0.22%2.83%2.61%
JNJProProPro
WMTProProPro
ABBVProProPro
PGProProPro
CSCOProProPro
CVXProProPro
HDProProPro
See all 10 holdings EQAL shares with VYM
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Frequently Asked Questions

Which is cheaper, EQAL or VYM?

EQAL has an expense ratio of 0.20% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $16 per year of difference.

Which performed better, EQAL or VYM?

Over the past year EQAL returned +21.20% vs +23.76% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (12 years), EQAL annualized +8.46% vs +6.96% for VYM. Past performance does not guarantee future results.

Which is riskier, EQAL or VYM?

EQAL has been the more volatile fund at 17.2% annualized versus 14.6% for VYM. Worst drawdown: EQAL -40.9% vs VYM -58.8%.

Should I hold both EQAL and VYM?

EQAL and VYM have a monthly-return correlation of 0.94, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between EQAL and VYM?

EQAL and VYM share 320 common holdings with a 25.1% weight overlap. Combined, they hold 1189 unique securities.

Which pays a higher dividend, EQAL or VYM?

EQAL yields 1.69% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.

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