ESMV vs VYM
iShares ESG Optimized MSCI USA Min Vol Factor ETF vs Vanguard High Dividend Yield ETF
Which is better, ESMV or VYM?
Large Cap Blend against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. ESMV is less concentrated, with 15.6% of the fund in its ten largest positions against 25.8%.
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 | ESMV | VYM |
|---|---|---|
| Expense Ratio | 0.18% | 0.04%Best |
| AUM | $8M | $78.9B |
| Dividend Yield | 1.42% | 2.37% |
| Holdings | 162 | 608 |
| YTD Return | +11.25% | +11.83%Best |
| 1Y Return | +10.59% | +15.96%Best |
| 3Y Return (annualized) | +12.49% | +18.60%Best |
| 5Y Return (annualized) | +6.38% | +11.51%Best |
| Volatility (annualized) | 13.0%Best | 13.9% |
| Max Drawdown | -19.8% | -15.8%Best |
| $10,000 over 5 years | $13,624 | $17,241Best |
| Top 10 Weight | 15.6%Best | 25.8% |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Nov 2, 2021 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Nov 4, 2021 to Oct 14, 2026 (4.9 years).
ESMV 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 4.9 years both funds cover.
ESMV vs VYM Performance
iShares ESG Optimized MSCI USA Min Vol Factor ETF (ESMV) is an ETF from iShares by BlackRock (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year ESMV returned +10.59% while VYM returned +15.96%. Year to date, ESMV is up 11.25% versus a gain of 11.83% for VYM.
Over three years, ESMV compounded at +12.49% per year against +18.60% for VYM; over five years the annualized figures are +6.38% and +11.51% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 13.9% compared with 13.0% for ESMV. 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 -19.8% for ESMV and -15.8% 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 0.87. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ESMV charges 0.18% per year while VYM charges 0.04%. On a $10,000 position that is $18 vs $4 annually, a gap of $14 per year that compounds over a long holding period. On income, ESMV currently yields 1.42% against 2.37% for VYM.
Holdings Overlap
46.6% of ESMV's money is in holdings VYM also owns. 45.3% of VYM's money is in holdings ESMV also owns.
The two portfolios partly overlap.
69 positions in common, counted across the 159 positions we hold weights for in ESMV and 602 in VYM, against full books of 162 and 608.
What only one of them owns
Our book lists 505 positions for VYM that do not appear in our book for ESMV (52.9% of the fund), and 83 for ESMV that do not appear in VYM (52.4%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in ESMV | Weight in VYM | Difference |
|---|---|---|---|
| AVGOBroadcom Inc | 0.89% | 6.94% | 6.05% |
| JNJJohnson & Johnson - Common | 0.97% | 2.58% | 1.61% |
| XOMExxonmobil Corp. | 0.76% | 2.70% | 1.94% |
| CSCOCisco Systems Inc. - Ordinary Shares | 1.37% | 1.76% | 0.39% |
| MRKMerck & Company Inc | 1.46% | 1.47% | 0.01% |
| KOCoca Cola Co. | 1.36% | 1.39% | 0.03% |
| PGProcter & Gamble Company | 0.96% | 1.36% | 0.40% |
| TXNTexas Instrument Inc | 1.35% | 0.96% | 0.39% |
| VZVerizon Communic | 1.44% | 0.84% | 0.60% |
| HDHome Depot Inc/The | 0.84% | 1.32% | 0.48% |
46.6% of ESMV is already inside VYM.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, ESMV or VYM?
ESMV has an expense ratio of 0.18% while VYM charges 0.04%. VYM is the cheaper option, by $14 a year on a $10,000 investment.
Which performed better, ESMV or VYM?
Over the past year ESMV returned +10.59% vs +15.96% for VYM, so VYM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ESMV or VYM?
VYM has been the more volatile fund at 13.9% annualized versus 13.0% for ESMV. Worst drawdown: ESMV -19.8% vs VYM -15.8%.
Should I hold both ESMV and VYM?
ESMV and VYM have a monthly-return correlation of 0.87, 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 ESMV and VYM?
46.6% of ESMV's money is in holdings VYM also owns. 45.3% of VYM's is in holdings ESMV also owns. They hold 69 positions in common, counted across the 159 positions we hold weights for in ESMV and 602 in VYM.
Which pays a higher dividend, ESMV or VYM?
ESMV yields 1.42% while VYM yields 2.37%, so VYM currently pays the higher dividend yield.
Is VYM better than ESMV?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. ESMV is less concentrated, with 15.6% of the fund in its ten largest positions against 25.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.