VIG vs VYM: fees, holdings and returns
VIG holds about 330 large US companies that have raised their dividends for at least 10 years in a row. VYM holds about 590 US companies that pay higher dividends than average. VYM pays more now, while VIG leans toward companies whose dividends grow. Over the same dates since November 2006, VIG returned about 10.1% a year and VYM returned about 9.3% a year.
Written by the Tactfolio research team. Fund facts checked October 17, 2026. Prices through October 20, 2026.
Key points
- Both charge 0.04% a year.
- VIG started trading in April 2006. VYM started in November 2006.
- Worst drops since 2006: VIG −46.8%, VYM −57.0%.
- Daily correlation: 0.95 (1 means they always move together).
What is the difference between VIG and VYM?#
They are two ways to pick dividend stocks. VIG looks for a long record of raises and leaves out the very highest payers, so it holds many growing companies with modest dividends. VYM picks companies with higher expected yields, which leans toward banks, energy, consumer goods and other value stocks. Their fees are almost the same.
| Fact | VIG | VYM |
|---|---|---|
| Full name | Vanguard Dividend Appreciation ETF | Vanguard High Dividend Yield ETF |
| Issuer | Vanguard | Vanguard |
| Expense ratio | 0.04% a year | 0.04% a year |
| Started trading | April 21, 2006 | November 10, 2006 |
| Tracks | S&P U.S. Dividend Growers Index | FTSE High Dividend Yield Index |
| Holdings | 333 holdings as of September 30, 2026 | 593 holdings as of September 30, 2026 |
| Type | US stocks, ETF | US stocks, ETF |
Fund facts checked on the Vanguard VIG page and the Vanguard VYM page.
Is VIG or VYM cheaper?#
Both charge 0.04% a year. On $10,000, that is about $4 a year for VIG and $4 for VYM. The fund takes its fee out of its own value a little each day, so you never get a bill.
VIG vs VYM performance over the same dates#
Both funds are measured from November 2006 to October 2026, the dates both traded. VIG returned about 10.1% a year and VYM returned about 9.3% a year. VIG came out ahead over this period, which does not mean it will again.
| Measure | VIG | VYM |
|---|---|---|
| $10,000 grew to | $67,806 | $58,551 |
| Total return | 578.1% | 485.5% |
| Return per year (CAGR) | 10.1% | 9.3% |
| Worst drop from a high | −46.8% | −57.0% |
| Volatility (how much it swings) | 17.1% | 18.0% |
| Last 12 months | 13.7% | 16.9% |
| Last 3 years, per year | 18.6% | 20.0% |
| Last 5 years, per year | 10.4% | 11.3% |
| Last 10 years, per year | 13.6% | 11.9% |
Prices through October 20, 2026. Figures use daily closing prices adjusted for splits, with dividends reinvested. They do not include taxes or the cost of buying and selling. Past results do not tell you what will happen next.
VIG and VYM returns by year#
| Year | VIG | VYM |
|---|---|---|
| 2026 (part of the year) | 11.9% | 14.3% |
| 2025 | 14.2% | 15.4% |
| 2024 | 17.0% | 17.6% |
| 2023 | 14.5% | 6.6% |
| 2022 | −9.8% | −0.4% |
| 2021 | 23.8% | 26.2% |
| 2020 | 15.4% | 1.1% |
| 2019 | 29.6% | 24.1% |
| 2018 | −2.1% | −5.9% |
| 2017 | 22.2% | 16.4% |
| 2016 | 12.0% | 17.0% |
| 2015 | −1.9% | 0.3% |
| 2014 | 10.1% | 13.5% |
| 2013 | 28.9% | 30.1% |
| 2012 | 11.7% | 12.7% |
| 2011 | 6.2% | 10.5% |
| 2010 | 14.7% | 14.2% |
| 2009 | 19.6% | 17.2% |
| 2008 | −26.7% | −31.9% |
| 2007 | 5.6% | 1.4% |
| 2006 (part of the year) | 1.0% | 2.8% |
Which fell further in bad times?#
A drawdown is how far a fund falls from its last high point. VIG’s worst fall was −46.8%, from October 9, 2007 to March 9, 2009. It got back to that high on February 16, 2011.
VYM’s worst fall was −57.0%, from October 9, 2007 to March 5, 2009. It got back to that high on March 13, 2012.
Their daily moves had a correlation of 0.95. A correlation of 1 means two funds always move up and down together. Near 0 means they move on their own. So holding both adds little variety.
Why people choose VIG or VYM#
VIG. People who want companies with a long record of raising dividends tend to pick VIG.
VYM. People who want more dividend income now from a broad set of companies tend to pick VYM.
Strategies that hold VIG or VYM#
No classic strategy holds VIG or VYM yet.
Other funds like VIG and VYM#
Each fund has more funds that hold the same kind of investments, ranked by how closely they move with it: VIG alternatives and VYM alternatives.
Test a mix of VIG and VYM#
Open the builder, add VIG and VYM, and give each a weight, such as 50% and 50%. The backtest shows how the mix would have done, with its worst drop, on daily prices. You can also add a rule, for example to switch between them, and compare. Read the full pages for VIG and VYM, or see more ETF comparisons.
The details#
Both funds use Tactfolio’s stored daily prices, adjusted for splits, with dividends reinvested. They are compared only on days both traded, starting the later fund’s first day, so neither gets a head start. Correlation uses daily returns over the same days. Read what a backtest simulates for more on these measures.
Common questions#
Do VIG and VYM overlap?#
Partly. Some large companies both pay well and keep raising dividends, so they are in both. Each also holds many the other does not.
Can these funds cut their dividends?#
Yes. They pass on what their companies pay, and companies can cut or stop dividends, as many did in 2020.
Which is cheaper, VIG or VYM?#
Both charge 0.04% a year. Fees come from each issuer and were checked on October 17, 2026.
Which did better, VIG or VYM?#
From November 2006 to October 2026, VIG returned about 10.1% a year and VYM returned about 9.3% a year, with dividends reinvested. Their worst drops were −46.8% and −57.0%. Past returns do not tell you what comes next.