FAS vs VYM

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

MetricFASVYMWinner
Expense Ratio0.88%0.04%
AUM$2.4B$79.0B
Dividend Yield9.50%2.86%
Holdings88568
YTD Return+9.22%+15.45%
1Y Return+25.61%+26.05%
3Y Return (annualized)+41.63%+17.96%
5Y Return (annualized)+13.53%+12.54%
Volatility (annualized)57.6%14.6%
Max Drawdown-94.8%-58.8%
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
InceptionNov 6, 2008Nov 10, 2006

FAS vs VYM Performance

Direxion Daily Financial Bull 3X ETF (FAS) is a ETF from Direxion Shares ETF Trust and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year FAS returned +25.61% while VYM returned +26.05%. Year to date, FAS is up 9.22% versus a gain of 15.45% for VYM.

Over three years, FAS compounded at +41.63% per year against +17.96% for VYM; over five years the annualized figures are +13.53% and +12.54% respectively. Across the full 18-year window we track, FAS has the edge at +11.11% annualized vs +7.06%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FAS has been the more volatile fund, with annualized monthly volatility of 57.6% 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 -94.8% for FAS 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 0.89. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FAS charges 0.88% per year while VYM charges 0.04%. On a $10,000 position that is $88 vs $4 annually, a gap of $84 per year that compounds over a long holding period. On income, FAS currently yields 9.50% against 2.86% for VYM.

Holdings Overlap

16.5%overlap

FAS and VYM share 43 holdings out of 595 unique holdings combined, representing a 16.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FASWeight in VYMDifference
JPM8.13%3.36%4.77%
BAC3.48%1.39%2.09%
GS2.77%1.05%1.72%
WFCProProPro
MSProProPro
CProProPro
BLKProProPro
PGRProProPro
CBProProPro
PNCProProPro
See all 10 holdings FAS shares with VYM
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Frequently Asked Questions

Which is cheaper, FAS or VYM?

FAS has an expense ratio of 0.88% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $84 per year of difference.

Which performed better, FAS or VYM?

Over the past year FAS returned +25.61% vs +26.05% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (18 years), FAS annualized +11.11% vs +7.06% for VYM. Past performance does not guarantee future results.

Which is riskier, FAS or VYM?

FAS has been the more volatile fund at 57.6% annualized versus 14.6% for VYM. Worst drawdown: FAS -94.8% vs VYM -58.8%.

Should I hold both FAS and VYM?

FAS and VYM have a monthly-return correlation of 0.89, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FAS and VYM?

FAS and VYM share 43 common holdings with a 16.5% weight overlap. Combined, they hold 595 unique securities.

Which pays a higher dividend, FAS or VYM?

FAS yields 9.50% while VYM yields 2.86%, so FAS currently pays the higher dividend yield.

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