SPYD 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

MetricSPYDVYMWinner
Expense Ratio0.07%0.04%
AUM$7.7B$79.0B
Dividend Yield4.26%2.86%
Holdings83568
YTD Return+15.99%+13.24%
1Y Return+21.16%+23.76%
3Y Return (annualized)+13.79%+16.97%
5Y Return (annualized)+9.38%+12.26%
Volatility (annualized)17.9%14.6%
Max Drawdown-47.3%-58.8%
Fund FamilyState Street Investment ManagementVanguard (US)
CategoryEquityEquity
InceptionOct 21, 2015Nov 10, 2006

SPYD vs VYM Performance

State Street SPDR Portfolio S&P 500 High Dividend ETF (SPYD) is a ETF from State Street Investment Management and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year SPYD returned +21.16% while VYM returned +23.76%. Year to date, SPYD is up 15.99% versus a gain of 13.24% for VYM.

Over three years, SPYD compounded at +13.79% per year against +16.97% for VYM; over five years the annualized figures are +9.38% and +12.26% respectively. Across the full 11-year window we track, SPYD has the edge at +7.06% annualized vs +6.96%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPYD has been the more volatile fund, with annualized monthly volatility of 17.9% 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 -47.3% for SPYD 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

SPYD charges 0.07% per year while VYM charges 0.04%. On a $10,000 position that is $7 vs $4 annually, a gap of $3 per year that compounds over a long holding period. On income, SPYD currently yields 4.26% against 2.86% for VYM.

Holdings Overlap

13.4%overlap

SPYD and VYM share 56 holdings out of 581 unique holdings combined, representing a 13.4% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SPYDWeight in VYMDifference
CVX1.20%1.53%0.33%
VZ1.27%0.93%0.34%
PEP1.16%1.02%0.14%
CVSProProPro
MOProProPro
TProProPro
BMYProProPro
PFEProProPro
PSXProProPro
USBProProPro
See all 10 holdings SPYD shares with VYM
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Frequently Asked Questions

Which is cheaper, SPYD or VYM?

SPYD has an expense ratio of 0.07% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $3 per year of difference.

Which performed better, SPYD or VYM?

Over the past year SPYD returned +21.16% vs +23.76% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (11 years), SPYD annualized +7.06% vs +6.96% for VYM. Past performance does not guarantee future results.

Which is riskier, SPYD or VYM?

SPYD has been the more volatile fund at 17.9% annualized versus 14.6% for VYM. Worst drawdown: SPYD -47.3% vs VYM -58.8%.

Should I hold both SPYD and VYM?

SPYD and VYM have a monthly-return correlation of 0.92, 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 SPYD and VYM?

SPYD and VYM share 56 common holdings with a 13.4% weight overlap. Combined, they hold 581 unique securities.

Which pays a higher dividend, SPYD or VYM?

SPYD yields 4.26% while VYM yields 2.86%, so SPYD currently pays the higher dividend yield.

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