DFEN vs VYM
Direxion Daily Aerospace & Defense Bull 3X ETF vs Vanguard High Dividend Yield ETF
Which is better, DFEN or VYM?
Multi Alternative against Large Cap Value.
VYM has a lower expense ratio. DFEN led over 3Y and 5Y, VYM over 1Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | DFEN | VYM |
|---|---|---|
| Expense Ratio | 0.95% | 0.04%Best |
| AUM | $282M | $78.9B |
| Dividend Yield | 11.96% | 2.37% |
| Holdings | 118 | 608 |
| YTD Return | -36.29% | +11.83%Best |
| 1Y Return | -28.96% | +15.96%Best |
| 3Y Return (annualized) | +45.86%Best | +18.60% |
| 5Y Return (annualized) | +18.33%Best | +11.51% |
| Volatility (annualized) | 67.0% | 14.7%Best |
| Max Drawdown | -91.4% | -35.7%Best |
| $10,000 over 5 years | $23,199Best | $17,241 |
| Fund Family | Direxion Shares ETF Trust | Vanguard (US) |
| Category | Alternative | Equity |
| Style | Multi Alternative | Large Cap Value |
| Inception | May 3, 2017 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 3, 2017 to Oct 14, 2026 (9.4 years).
DFEN vs VYM growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 9.4 years both funds cover.
DFEN vs VYM Performance
Direxion Daily Aerospace & Defense Bull 3X ETF (DFEN) is an ETF from Direxion Shares ETF Trust and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year DFEN returned -28.96% while VYM returned +15.96%. Year to date, DFEN is down 36.29% versus a gain of 11.83% for VYM.
Over three years, DFEN compounded at +45.86% per year against +18.60% for VYM; over five years the annualized figures are +18.33% and +11.51% respectively. Across the full 9-year window we track, VYM has the edge at +9.81% annualized vs +8.24%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
DFEN has been the more volatile fund, with annualized monthly volatility of 67.0% compared with 14.7% 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 -91.4% for DFEN and -35.7% for VYM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.78. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
DFEN charges 0.95% per year while VYM charges 0.04%. On a $10,000 position that is $95 vs $4 annually, a gap of $91 per year that compounds over a long holding period. On income, DFEN currently yields 11.96% against 2.37% for VYM.
Holdings Overlap
At least 1.6% of VYM's money is in holdings DFEN also owns.
Stated as a floor: for DFEN, our book for it covers 33.4% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
VYM and DFEN share little of their money.
6 positions in common, counted across the 53 positions we hold weights for in DFEN and 602 in VYM, against full books of 118 and 608.
Top Shared Holdings
You are not choosing between two funds in isolation.
Whichever of DFEN and VYM you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, DFEN or VYM?
DFEN has an expense ratio of 0.95% while VYM charges 0.04%. VYM is the cheaper option, by $91 a year on a $10,000 investment.
Which performed better, DFEN or VYM?
Over the past year DFEN returned -28.96% vs +15.96% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (9 years), DFEN annualized +8.24% vs +9.81% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DFEN or VYM?
DFEN has been the more volatile fund at 67.0% annualized versus 14.7% for VYM. Worst drawdown: DFEN -91.4% vs VYM -35.7%.
Should I hold both DFEN and VYM?
DFEN and VYM have a monthly-return correlation of 0.78, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between DFEN and VYM?
At least 1.6% of VYM's money is in holdings DFEN also owns. Our book for DFEN is partial, so the real figure is this or higher. They hold 6 positions in common, counted across the 53 positions we hold weights for in DFEN and 602 in VYM.
Which pays a higher dividend, DFEN or VYM?
DFEN yields 11.96% while VYM yields 2.37%, so DFEN currently pays the higher dividend yield.
Is VYM better than DFEN?
VYM has a lower expense ratio. DFEN led over 3Y and 5Y, VYM over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.