NDMO vs VYM
Nuveen Dynamic Municipal Opportunities Fund vs Vanguard High Dividend Yield ETF
Which is better, NDMO or VYM?
Municipal Bond against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y 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 | NDMO | VYM |
|---|---|---|
| Expense Ratio | 2.92% | 0.04%Best |
| AUM | $575M | $78.9B |
| Dividend Yield | 7.81% | 2.37% |
| Holdings | 543 | 608 |
| YTD Return | -7.36% | +11.83%Best |
| 1Y Return | -10.23% | +15.96%Best |
| 3Y Return (annualized) | +4.64% | +18.60%Best |
| 5Y Return (annualized) | -4.33% | +11.51%Best |
| Volatility (annualized) | 18.5% | 14.0%Best |
| Max Drawdown | -42.5% | -15.8%Best |
| $10,000 over 5 years | $8,015 | $17,241Best |
| Fund Family | Nuveen | Vanguard (US) |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Value |
| Inception | Aug 26, 2020 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Aug 27, 2020 to Oct 14, 2026 (6.1 years).
NDMO 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 6.1 years both funds cover.
NDMO vs VYM Performance
Nuveen Dynamic Municipal Opportunities Fund (NDMO) is an ETF from Nuveen and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year NDMO returned -10.23% while VYM returned +15.96%. Year to date, NDMO is down 7.36% versus a gain of 11.83% for VYM.
Over three years, NDMO compounded at +4.64% per year against +18.60% for VYM; over five years the annualized figures are -4.33% and +11.51% respectively. Across the full 6-year window we track, VYM has the edge at +14.03% annualized vs -2.22%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
NDMO has been the more volatile fund, with annualized monthly volatility of 18.5% compared with 14.0% 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 -42.5% for NDMO 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 0.52. They move together some of the time, and apart the rest.
Fees and Cost Over Time
NDMO charges 2.92% per year while VYM charges 0.04%. On a $10,000 position that is $292 vs $4 annually, a gap of $288 per year that compounds over a long holding period. On income, NDMO currently yields 7.81% against 2.37% for VYM.
Holdings Overlap
We hold position weights for 165 holdings in NDMO and 602 in VYM, totalling 31.9% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 165 positions we hold weights for in NDMO and 602 in VYM, against full books of 543 and 608.
You are not choosing between two funds in isolation.
Whichever of NDMO 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, NDMO or VYM?
NDMO has an expense ratio of 2.92% while VYM charges 0.04%. VYM is the cheaper option, by $288 a year on a $10,000 investment.
Which performed better, NDMO or VYM?
Over the past year NDMO returned -10.23% vs +15.96% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (6 years), NDMO annualized -2.22% vs +14.03% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, NDMO or VYM?
NDMO has been the more volatile fund at 18.5% annualized versus 14.0% for VYM. Worst drawdown: NDMO -42.5% vs VYM -15.8%.
Should I hold both NDMO and VYM?
NDMO and VYM have a monthly-return correlation of 0.52, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, NDMO or VYM?
NDMO yields 7.81% while VYM yields 2.37%, so NDMO currently pays the higher dividend yield.
Is VYM better than NDMO?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.