PDN vs VYM
Invesco FTSE RAFI Developed Markets ex-US Small-Mid ETF vs Vanguard High Dividend Yield ETF
Which is better, PDN or VYM?
Mid Cap Growth against Large Cap Value.
VYM has a lower expense ratio. PDN led over 3Y, VYM over 1Y, 5Y and the full window. PDN is less concentrated, with 2.3% 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 | PDN | VYM |
|---|---|---|
| Expense Ratio | 0.47% | 0.04%Best |
| AUM | $348M | $78.9B |
| Dividend Yield | 3.28% | 2.37% |
| Holdings | 1,591 | 608 |
| YTD Return | +8.82% | +11.83%Best |
| 1Y Return | +15.27% | +15.96%Best |
| 3Y Return (annualized) | +19.50%Best | +18.60% |
| 5Y Return (annualized) | +6.62% | +11.51%Best |
| Volatility (annualized) | 18.1% | 14.8%Best |
| Max Drawdown | -60.1% | -58.8%Best |
| $10,000 over 5 years | $13,778 | $17,241Best |
| Top 10 Weight | 2.3%Best | 25.8% |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Value |
| Inception | Sep 27, 2007 | Nov 10, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Sep 27, 2007 to Oct 14, 2026 (19 years).
PDN 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 19 years both funds cover.
PDN vs VYM Performance
Invesco FTSE RAFI Developed Markets ex-US Small-Mid ETF (PDN) is an ETF from Invesco (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year PDN returned +15.27% while VYM returned +15.96%. Year to date, PDN is up 8.82% versus a gain of 11.83% for VYM.
Over three years, PDN compounded at +19.50% per year against +18.60% for VYM; over five years the annualized figures are +6.62% and +11.51% respectively. Across the full 19-year window we track, VYM has the edge at +6.68% annualized vs +3.93%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PDN has been the more volatile fund, with annualized monthly volatility of 18.1% compared with 14.8% 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 -60.1% for PDN and -58.8% 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 0.82. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
PDN charges 0.47% per year while VYM charges 0.04%. On a $10,000 position that is $47 vs $4 annually, a gap of $43 per year that compounds over a long holding period. On income, PDN currently yields 3.28% against 2.37% for VYM.
Holdings Overlap
0.5% of PDN's money is in holdings VYM also owns. 0.5% of VYM's money is in holdings PDN also owns.
We cannot see either book well enough to say how much of this pair is duplicated.
7 positions in common, counted across the 1,550 positions we hold weights for in PDN and 602 in VYM, against full books of 1,591 and 608.
What only one of them owns
Our book lists 570 positions for VYM that do not appear in our book for PDN (97.5% of the fund), and 33 for PDN that do not appear in VYM (2.3%).
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 PDN | Weight in VYM | Difference |
|---|---|---|---|
| SRESempra Common Stock | 0.05% | 0.22% | 0.17% |
| KLIC:SIKulicke & Soffa Industries Inc Adr | 0.21% | 0.02% | 0.19% |
| CCLCarnival Corporation Common Stock | 0.03% | 0.12% | 0.09% |
| AMAntero Midstream Corporationam | 0.09% | 0.03% | 0.06% |
| BAP:BMCredicorp Ltd Common Stock | 0.00% | 0.10% | 0.10% |
| BRSL:LNBrightstar Lottery Plc | 0.07% | 0.00% | 0.07% |
| SIG:LNSignet Jewelers Limited Common Shares | 0.01% | 0.01% | 0.00% |
You are not choosing between two funds in isolation.
Whichever of PDN 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, PDN or VYM?
PDN has an expense ratio of 0.47% while VYM charges 0.04%. VYM is the cheaper option, by $43 a year on a $10,000 investment.
Which performed better, PDN or VYM?
Over the past year PDN returned +15.27% vs +15.96% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (19 years), PDN annualized +3.93% vs +6.68% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PDN or VYM?
PDN has been the more volatile fund at 18.1% annualized versus 14.8% for VYM. Worst drawdown: PDN -60.1% vs VYM -58.8%.
Should I hold both PDN and VYM?
PDN and VYM have a monthly-return correlation of 0.82, 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, PDN or VYM?
PDN yields 3.28% while VYM yields 2.37%, so PDN currently pays the higher dividend yield.
Is VYM better than PDN?
VYM has a lower expense ratio. PDN led over 3Y, VYM over 1Y, 5Y and the full window. PDN is less concentrated, with 2.3% 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.