OVS vs VYM
Overlay Shares Small Cap Equity ETF vs Vanguard High Dividend Yield ETF
Which is better, OVS or VYM?
Small Cap Blend 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 | OVS | VYM |
|---|---|---|
| Expense Ratio | 0.83% | 0.04%Best |
| AUM | $41M | $78.9B |
| Dividend Yield | 9.88% | 2.37% |
| Holdings | 16 | 608 |
| YTD Return | +5.68% | +11.83%Best |
| 1Y Return | +7.74% | +15.96%Best |
| 3Y Return (annualized) | +13.42% | +18.60%Best |
| 5Y Return (annualized) | +3.70% | +11.51%Best |
| Volatility (annualized) | 23.8% | 15.5%Best |
| Max Drawdown | -45.1% | -35.7%Best |
| $10,000 over 5 years | $11,992 | $17,241Best |
| Top 10 Weight | - | 25.8% |
| Fund Family | Overlay Shares | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Value |
| Inception | Sep 30, 2019 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Oct 1, 2019 to Oct 14, 2026 (7 years).
OVS 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 7 years both funds cover.
OVS vs VYM Performance
Overlay Shares Small Cap Equity ETF (OVS) is an ETF from Overlay Shares and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year OVS returned +7.74% while VYM returned +15.96%. Year to date, OVS is up 5.68% versus a gain of 11.83% for VYM.
Over three years, OVS compounded at +13.42% per year against +18.60% for VYM; over five years the annualized figures are +3.70% and +11.51% respectively. Across the full 7-year window we track, VYM has the edge at +11.44% annualized vs +9.43%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
OVS has been the more volatile fund, with annualized monthly volatility of 23.8% compared with 15.5% 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 -45.1% for OVS 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 0.88. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
OVS charges 0.83% per year while VYM charges 0.04%. On a $10,000 position that is $83 vs $4 annually, a gap of $79 per year that compounds over a long holding period. On income, OVS currently yields 9.88% against 2.37% for VYM.
Holdings Overlap
We hold position weights for 8 holdings in OVS and 602 in VYM, totalling 100.1% 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 8 positions we hold weights for in OVS and 602 in VYM, against full books of 16 and 608.
What only one of them owns
Our book lists 573 positions for VYM that do not appear in our book for OVS (97.9% of the fund), and 5 for OVS that do not appear in VYM (100.1%).
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.
You are not choosing between two funds in isolation.
Whichever of OVS 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, OVS or VYM?
OVS has an expense ratio of 0.83% while VYM charges 0.04%. VYM is the cheaper option, by $79 a year on a $10,000 investment.
Which performed better, OVS or VYM?
Over the past year OVS returned +7.74% vs +15.96% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (7 years), OVS annualized +9.43% vs +11.44% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, OVS or VYM?
OVS has been the more volatile fund at 23.8% annualized versus 15.5% for VYM. Worst drawdown: OVS -45.1% vs VYM -35.7%.
Should I hold both OVS and VYM?
OVS and VYM have a monthly-return correlation of 0.88, 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, OVS or VYM?
OVS yields 9.88% while VYM yields 2.37%, so OVS currently pays the higher dividend yield.
Is VYM better than OVS?
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.