VYM vs XFIX

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

MetricVYMXFIXWinner
Expense Ratio0.04%0.40%
AUM$79.0B$38M
Dividend Yield2.86%5.43%
Holdings56858
YTD Return+13.82%+5.57%
1Y Return+24.08%+5.57%
3Y Return (annualized)+17.72%-
5Y Return (annualized)+12.13%-
Volatility (annualized)14.6%5.7%
Max Drawdown-58.8%-3.7%
Fund FamilyVanguard (US)F-m investments
CategoryEquityFixed Income
InceptionNov 10, 2006Sep 6, 2023

VYM vs XFIX Performance

Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US) and F/m Opportunistic Income ETF (XFIX) is a ETF from F-m investments. Over the past year VYM returned +24.08% while XFIX returned +5.57%. Year to date, VYM is up 13.82% versus a gain of 5.57% for XFIX.

Risk: Volatility and Drawdowns

VYM has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 5.7% for XFIX. 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 -58.8% for VYM and -3.7% for XFIX. 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 0.80. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

VYM charges 0.04% per year while XFIX charges 0.40%. On a $10,000 position that is $4 vs $40 annually, a gap of $36 per year that compounds over a long holding period. On income, VYM currently yields 2.86% against 5.43% for XFIX.

Holdings Overlap

0.0%overlap

VYM and XFIX share 0 holdings out of 582 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, VYM or XFIX?

VYM has an expense ratio of 0.04% while XFIX charges 0.40%. VYM is the cheaper option. On a $10,000 investment, that is $36 per year of difference.

Which performed better, VYM or XFIX?

Over the past year VYM returned +24.08% vs +5.57% for XFIX, so VYM leads on 1-year performance. Over the longest common window we track (2 years), VYM annualized +6.98% vs +7.77% for XFIX. Past performance does not guarantee future results.

Which is riskier, VYM or XFIX?

VYM has been the more volatile fund at 14.6% annualized versus 5.7% for XFIX. Worst drawdown: VYM -58.8% vs XFIX -3.7%.

Should I hold both VYM and XFIX?

VYM and XFIX have a monthly-return correlation of 0.80, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VYM and XFIX?

VYM and XFIX share 0 common holdings with a 0.0% weight overlap. Combined, they hold 582 unique securities.

Which pays a higher dividend, VYM or XFIX?

VYM yields 2.86% while XFIX yields 5.43%, so XFIX currently pays the higher dividend yield.

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