TSI 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

MetricTSIVYMWinner
Expense Ratio1.03%0.04%
AUM-$79.0B
Dividend Yield6.21%2.86%
Holdings746568
YTD Return-7.05%+13.82%
1Y Return-3.71%+24.08%
3Y Return (annualized)+5.96%+17.72%
5Y Return (annualized)+1.72%+12.13%
Volatility (annualized)18.3%14.6%
Max Drawdown-83.3%-58.8%
Fund FamilyTCW FundsVanguard (US)
CategoryFixed IncomeEquity
InceptionMar 5, 1987Nov 10, 2006

TSI vs VYM Performance

TCW Strategic Income Fund Inc. (TSI) is a ETF from TCW Funds and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year TSI returned -3.71% while VYM returned +24.08%. Year to date, TSI is down 7.05% versus a gain of 13.82% for VYM.

Over three years, TSI compounded at +5.96% per year against +17.72% for VYM; over five years the annualized figures are +1.72% and +12.13% respectively. Across the full 20-year window we track, VYM has the edge at +6.98% annualized vs +0.20%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TSI has been the more volatile fund, with annualized monthly volatility of 18.3% 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 -83.3% for TSI 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 0.27. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

TSI charges 1.03% per year while VYM charges 0.04%. On a $10,000 position that is $103 vs $4 annually, a gap of $99 per year that compounds over a long holding period. On income, TSI currently yields 6.21% against 2.86% for VYM.

Holdings Overlap

0.3%overlap

TSI and VYM share 2 holdings out of 803 unique holdings combined, representing a 0.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in TSIWeight in VYMDifference
VZ0.25%0.93%0.68%
CNP0.07%0.12%0.05%

Frequently Asked Questions

Which is cheaper, TSI or VYM?

TSI has an expense ratio of 1.03% while VYM charges 0.04%. VYM is the cheaper option. On a $10,000 investment, that is $99 per year of difference.

Which performed better, TSI or VYM?

Over the past year TSI returned -3.71% vs +24.08% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), TSI annualized +0.20% vs +6.98% for VYM. Past performance does not guarantee future results.

Which is riskier, TSI or VYM?

TSI has been the more volatile fund at 18.3% annualized versus 14.6% for VYM. Worst drawdown: TSI -83.3% vs VYM -58.8%.

Should I hold both TSI and VYM?

TSI and VYM have a monthly-return correlation of 0.27, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between TSI and VYM?

TSI and VYM share 2 common holdings with a 0.3% weight overlap. Combined, they hold 803 unique securities.

Which pays a higher dividend, TSI or VYM?

TSI yields 6.21% while VYM yields 2.86%, so TSI currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.

See inside every ETF you own
$29/moCancel anytime.
Try FundXLS →