RAA vs VYM
RAA vs VYM
SMI 3Fourteen REAL Asset Allocation ETF vs Vanguard High Dividend Yield ETF
Quick Verdict
VYM has a lower expense ratio. VYM delivered stronger 1-year returns. VYM offers more diversification with 558 holdings.
Side-by-Side Comparison
| Metric | RAA | VYM | Winner |
|---|---|---|---|
| Expense Ratio | 0.85% | 0.04% | |
| AUM | $594M | $79.0B | |
| Dividend Yield | 2.13% | 2.86% | |
| Holdings | 182 | 568 | |
| YTD Return | +8.38% | +15.45% | |
| 1Y Return | +17.08% | +26.05% | |
| 3Y Return (annualized) | +14.64% | +17.96% | |
| 5Y Return (annualized) | +14.64% | +12.54% | |
| Volatility (annualized) | 23.4% | 14.6% | |
| Max Drawdown | -53.8% | -58.8% | |
| Fund Family | 3FourteenSMI | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Feb 26, 2025 | Nov 10, 2006 |
RAA vs VYM Performance
SMI 3Fourteen REAL Asset Allocation ETF (RAA) is a ETF from 3FourteenSMI and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year RAA returned +17.08% while VYM returned +26.05%. Year to date, RAA is up 8.38% versus a gain of 15.45% for VYM.
Over three years, RAA compounded at +14.64% per year against +17.96% for VYM; over five years the annualized figures are +14.64% and +12.54% respectively. Across the full 20-year window we track, RAA has the edge at +7.22% annualized vs +7.06%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
RAA has been the more volatile fund, with annualized monthly volatility of 23.4% 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 -53.8% for RAA 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 0.08. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
RAA charges 0.85% per year while VYM charges 0.04%. On a $10,000 position that is $85 vs $4 annually, a gap of $81 per year that compounds over a long holding period. On income, RAA currently yields 2.13% against 2.86% for VYM.
Holdings Overlap
RAA and VYM share 57 holdings out of 681 unique holdings combined, representing a 9.5% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in RAA | Weight in VYM | Difference |
|---|---|---|---|
| AVGO | 0.56% | 6.47% | 5.91% |
| XOM | 0.46% | 2.83% | 2.37% |
| WMT | 0.59% | 2.44% | 1.85% |
| JNJ | Pro | Pro | Pro |
| CVX | Pro | Pro | Pro |
| ABBV | Pro | Pro | Pro |
| CSCO | Pro | Pro | Pro |
| PEP | Pro | Pro | Pro |
| IBM | Pro | Pro | Pro |
| MCD | Pro | Pro | Pro |
See all 10 holdings RAA shares with VYM Exact weights in each fund and the difference, for every overlapping position. Get FundXLS Pro: $29/moFirst 500 subscribers, then $49/mo. Cancel anytime. | |||
Frequently Asked Questions
Which is cheaper, RAA or VYM?
RAA has an expense ratio of 0.85% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $81 per year of difference.
Which performed better, RAA or VYM?
Over the past year RAA returned +17.08% vs +26.05% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), RAA annualized +7.22% vs +7.06% for VYM. Past performance does not guarantee future results.
Which is riskier, RAA or VYM?
RAA has been the more volatile fund at 23.4% annualized versus 14.6% for VYM. Worst drawdown: RAA -53.8% vs VYM -58.8%.
Should I hold both RAA and VYM?
RAA and VYM have a monthly-return correlation of 0.08, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between RAA and VYM?
RAA and VYM share 57 common holdings with a 9.5% weight overlap. Combined, they hold 681 unique securities.
Which pays a higher dividend, RAA or VYM?
RAA yields 2.13% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.
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