HWSM vs VYM
Hotchkis & Wiley SMID Cap Diversified Value Fund ETF vs Vanguard High Dividend Yield ETF
Which is better, HWSM or VYM?
Mid Cap Value against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.91. HWSM is less concentrated, with 14.7% 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 | HWSM | VYM |
|---|---|---|
| Expense Ratio | 0.55% | 0.04%Best |
| AUM | $3M | $78.9B |
| Dividend Yield | 1.22% | 2.37% |
| Holdings | 332 | 608 |
| YTD Return | +10.33% | +11.83%Best |
| 1Y Return | +14.89% | +15.96%Best |
| 3Y Return (annualized) | - | +18.60% |
| 5Y Return (annualized) | - | +11.51% |
| Volatility (annualized) | 13.1% | 10.4%Best |
| Max Drawdown | -15.7% | -11.3%Best |
| $10,000 over 1.5 years | $12,363 | $12,717Best |
| Top 10 Weight | 14.7%Best | 25.8% |
| Fund Family | Hotchkis & Wiley Funds | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Value | Large Cap Value |
| Inception | Mar 31, 2025 | Nov 10, 2006 |
Volatility and max drawdown, and the $10,000 over 1.5 years row, are measured over the window both funds cover: Mar 31, 2025 to Oct 14, 2026 (1.5 years).
HWSM 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 1.5 years both funds cover.
HWSM vs VYM Performance
Hotchkis & Wiley SMID Cap Diversified Value Fund ETF (HWSM) is an ETF from Hotchkis & Wiley Funds and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year HWSM returned +14.89% while VYM returned +15.96%. Year to date, HWSM is up 10.33% versus a gain of 11.83% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
HWSM has been the more volatile fund, with annualized monthly volatility of 13.1% compared with 10.4% 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 -15.7% for HWSM and -11.3% 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
HWSM charges 0.55% per year while VYM charges 0.04%. On a $10,000 position that is $55 vs $4 annually, a gap of $51 per year that compounds over a long holding period. On income, HWSM currently yields 1.22% against 2.37% for VYM.
Holdings Overlap
56.0% of HWSM's money is in holdings VYM also owns. 4.2% of VYM's money is in holdings HWSM also owns.
The two portfolios partly overlap.
98 positions in common, counted across the 174 positions we hold weights for in HWSM and 602 in VYM, against full books of 332 and 608.
What only one of them owns
Our book lists 475 positions for VYM that do not appear in our book for HWSM (93.6% of the fund), and 73 for HWSM that do not appear in VYM (42.0%).
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 HWSM | Weight in VYM | Difference |
|---|---|---|---|
| DDominion Energy Inc. | 1.48% | 0.23% | 1.25% |
| PPGPpg Industries Inc. | 1.54% | 0.10% | 1.44% |
| APAApa Corp | 1.50% | 0.06% | 1.44% |
| AIGAmerican International Gr | 1.28% | 0.16% | 1.12% |
| ESEversource Energ | 0.99% | 0.11% | 0.88% |
| SYFSynchrony Financial | 0.99% | 0.10% | 0.89% |
| BENFranklin Resources Inc. | 1.02% | 0.04% | 0.98% |
| CRBGCorebridge Financial Inc | 1.01% | 0.03% | 0.98% |
| WALWestern Alliance Bancorp Common Stock Usd 0.0001 | 0.99% | 0.03% | 0.96% |
| ALLYAlly Financial Inc | 0.96% | 0.05% | 0.91% |
56.0% of HWSM 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.
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Frequently Asked Questions
Which is cheaper, HWSM or VYM?
HWSM has an expense ratio of 0.55% while VYM charges 0.04%. VYM is the cheaper option, by $51 a year on a $10,000 investment.
Which performed better, HWSM or VYM?
Over the past year HWSM returned +14.89% vs +15.96% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), HWSM annualized +15.19% vs +17.38% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HWSM or VYM?
HWSM has been the more volatile fund at 13.1% annualized versus 10.4% for VYM. Worst drawdown: HWSM -15.7% vs VYM -11.3%.
Should I hold both HWSM and VYM?
HWSM and VYM have a monthly-return correlation of 0.91, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between HWSM and VYM?
56.0% of HWSM's money is in holdings VYM also owns. 4.2% of VYM's is in holdings HWSM also owns. They hold 98 positions in common, counted across the 174 positions we hold weights for in HWSM and 602 in VYM.
Which pays a higher dividend, HWSM or VYM?
HWSM yields 1.22% while VYM yields 2.37%, so VYM currently pays the higher dividend yield.
Is VYM better than HWSM?
VYM has a lower expense ratio. VYM led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.91. HWSM is less concentrated, with 14.7% 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.