VTG vs. VYM

Last updated Jun 5, 2026

VTG (Vanguard Total Treasury ETF) and VYM (Vanguard High Dividend Yield ETF) are both exchange-traded funds - VTG is a Intermediate Core Bond fund tracking the Bloomberg U.S. Treasury Total Return Unhedged USD Index, while VYM is a Dividend fund tracking the FTSE High Dividend Yield Index. Both are passively managed. At a 0.23 correlation, their price movements are largely independent. VTG charges 0.03%/yr vs 0.04%/yr for VYM.

Performance

VTG vs. VYM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Total Treasury ETF (VTG) and Vanguard High Dividend Yield ETF (VYM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTG achieves a 0.01% return, which is significantly lower than VYM's 12.42% return.

VTG

• 1D: 0.11%
• 1M: 0.10%
• YTD: 0.01%
• 6M: 0.06%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

VYM

• 1D: -0.05%
• 1M: 2.60%
• YTD: 12.42%
• 6M: 11.92%
• 1Y: 26.61%
• 3Y*: 19.06%
• 5Y*: 11.47%
• 10Y*: 11.84%

*Multi-year figures are annualized to reflect compound growth (CAGR)

VTG vs. VYM - Yearly Performance Comparison

	2026 (YTD)	2025
VTG Vanguard Total Treasury ETF	0.01%	2.88%
VYM Vanguard High Dividend Yield ETF	12.42%	7.70%

Correlation

The correlation between VTG and VYM is 0.23, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jul 10, 2025	0.23

Return for Risk

VTG vs. VYM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

VYM

VYM Risk / Return Rank: 80
VYM Sharpe Ratio Rank: 82
VYM Sortino Ratio Rank: 84
VYM Omega Ratio Rank: 80
VYM Calmar Ratio Rank: 79
VYM Martin Ratio Rank: 78

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

VTG vs. VYM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Total Treasury ETF (VTG) and Vanguard High Dividend Yield ETF (VYM). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	VTG	VYM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	2.61	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.83	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.73	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.91	0.51	+0.41

Drawdowns

VTG vs. VYM - Drawdown Comparison

The maximum VTG drawdown since its inception was -2.89%, smaller than the maximum VYM drawdown of -56.98%. Use the drawdown chart below to compare losses from any high point for VTG and VYM.

Drawdown Indicators

	VTG	VYM	Difference
Max Drawdown Largest peak-to-trough decline	-2.89%	-56.98%	+54.09%
Max Drawdown (1Y) Largest decline over 1 year	—	-6.69%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-14.46%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-15.84%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-35.21%	—
Current Drawdown Current decline from peak	-1.78%	-0.48%	-1.30%
Average Drawdown Average peak-to-trough decline	-0.74%	-7.19%	+6.45%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	1.78%	—

Volatility

Volatility by Period

	VTG	VYM	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	2.72%	—
Volatility (6M) Calculated over the trailing 6-month period	—	7.66%	—
Volatility (1Y) Calculated over the trailing 1-year period	3.51%	10.26%	-6.75%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.51%	13.96%	-10.45%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.51%	16.34%	-12.83%

VTG vs. VYM - Expense Ratio Comparison

VTG has a 0.03% expense ratio, which is lower than VYM's 0.04% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VTG vs. VYM - Dividend Comparison

VTG's dividend yield for the trailing twelve months is around 3.20%, more than VYM's 2.19% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VTG Vanguard Total Treasury ETF	3.20%	1.65%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VYM Vanguard High Dividend Yield ETF	2.19%	2.44%	2.74%	3.12%	3.01%	2.76%	3.18%	3.03%	3.40%	2.80%	2.91%	3.22%

Frequently Asked Questions

Can I hold both VTG and VYM in my portfolio?

VTG and VYM have a correlation of 0.23, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VTG or VYM?

On fees, VTG is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VTG or VYM?

VTG is cheaper with a 0.03% expense ratio, compared with 0.04% for VYM.

Which ETF pays a higher dividend yield, VTG or VYM?

VTG has the higher dividend yield at 3.20%, compared with 2.19% for VYM.

What is the main difference between VTG and VYM?

VTG is categorized as Intermediate Core Bond, while VYM is Dividend. VTG tracks Bloomberg U.S. Treasury Total Return Unhedged USD Index, while VYM tracks FTSE High Dividend Yield Index. Their fees differ too: 0.03% for VTG and 0.04% for VYM.