TPLS 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

MetricTPLSVYMWinner
Expense Ratio0.45%0.04%
AUM$15M$79.0B
Dividend Yield5.09%2.86%
Holdings301568
YTD Return-0.55%+13.24%
1Y Return+2.72%+23.76%
3Y Return (annualized)-+16.97%
5Y Return (annualized)-+12.26%
Volatility (annualized)3.6%14.6%
Max Drawdown-3.0%-58.8%
Fund FamilyThornburg Investment ManagementVanguard (US)
CategoryFixed IncomeEquity
InceptionFeb 5, 2025Nov 10, 2006

TPLS vs VYM Performance

Thornburg Core Plus Bond ETF (TPLS) is a ETF from Thornburg Investment Management and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year TPLS returned +2.72% while VYM returned +23.76%. Year to date, TPLS is down 0.55% versus a gain of 13.24% for VYM.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 3.6% for TPLS. 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 -3.0% for TPLS 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 0.33. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

TPLS charges 0.45% per year while VYM charges 0.04%. On a $10,000 position that is $45 vs $4 annually, a gap of $41 per year that compounds over a long holding period. On income, TPLS currently yields 5.09% against 2.86% for VYM.

Holdings Overlap

0.7%overlap

TPLS and VYM share 6 holdings out of 752 unique holdings combined, representing a 0.7% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in TPLSWeight in VYMDifference
DUK0.24%0.45%0.21%
FERG0.24%0.22%0.02%
PEG0.22%0.19%0.03%
NEWProProPro
FCFSProProPro
SIRIProProPro
See all 6 holdings TPLS shares with VYM
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, TPLS or VYM?

TPLS has an expense ratio of 0.45% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $41 per year of difference.

Which performed better, TPLS or VYM?

Over the past year TPLS returned +2.72% vs +23.76% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), TPLS annualized +3.61% vs +6.96% for VYM. Past performance does not guarantee future results.

Which is riskier, TPLS or VYM?

VYM has been the more volatile fund at 14.6% annualized versus 3.6% for TPLS. Worst drawdown: TPLS -3.0% vs VYM -58.8%.

Should I hold both TPLS and VYM?

TPLS and VYM have a monthly-return correlation of 0.33, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between TPLS and VYM?

TPLS and VYM share 6 common holdings with a 0.7% weight overlap. Combined, they hold 752 unique securities.

Which pays a higher dividend, TPLS or VYM?

TPLS yields 5.09% while VYM yields 2.86%, so TPLS currently pays the higher dividend yield.

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