VYMI vs. DFEN

Last updated Jun 21, 2026

VYMI (Vanguard International High Dividend Yield ETF) and DFEN (Direxion Daily Aerospace & Defense Bull 3X Shares) are both exchange-traded funds - VYMI is a Dividend fund tracking the FTSE All-World ex US High Dividend Yield Index, while DFEN is a Leveraged Equities fund tracking the Dow Jones U.S. Select Aerospace & Defense Index (300% Daily). Both are passively managed. Over the past 5 years, VYMI returned 13.03%/yr vs 33.49%/yr for DFEN. A 0.57 correlation means they provide meaningful diversification when combined. VYMI charges 0.07%/yr vs 0.96%/yr for DFEN.

Performance

VYMI vs. DFEN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard International High Dividend Yield ETF (VYMI) and Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VYMI achieves a 12.54% return, which is significantly lower than DFEN's 20.97% return.

VYMI

• 1D: 0.02%
• 1M: 0.76%
• YTD: 12.54%
• 6M: 13.53%
• 1Y: 32.55%
• 3Y*: 21.05%
• 5Y*: 13.03%
• 10Y*: 10.72%

DFEN

• 1D: -4.32%
• 1M: 17.09%
• YTD: 20.97%
• 6M: 21.25%
• 1Y: 87.39%
• 3Y*: 67.96%
• 5Y*: 33.49%
• 10Y*: —

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

VYMI vs. DFEN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VYMI Vanguard International High Dividend Yield ETF	12.54%	38.05%	7.06%	17.07%	-7.02%	15.39%	-1.11%	18.43%	-12.65%	11.13%
DFEN Direxion Daily Aerospace & Defense Bull 3X Shares	20.97%	156.62%	27.07%	24.70%	6.99%	12.72%	-70.23%	95.09%	-32.86%	83.64%

Correlation

The correlation between VYMI and DFEN is 0.45, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.45
Correlation (3Y) Calculated over the trailing 3-year period	0.43
Correlation (5Y) Calculated over the trailing 5-year period	0.54
Correlation (All Time) Calculated using the full available price history since May 3, 2017	0.57

The correlation between VYMI and DFEN shifts across timeframes, from 0.43 (3 years) to 0.57 (all time), reflecting how their relationship changes across market environments.

VYMI vs. DFEN - Sectors Allocation Comparison

Sectors	VYMI	DFEN
Financial Services	40.7%	-
Energy	8.6%	-
Basic Materials	6.9%	-
Consumer Defensive	6.7%	-
Healthcare	6.5%	-
Consumer Cyclical	6.4%	-
Industrials	6.2%	18.7%
Technology	5.2%	0.0%
Utilities	5.0%	-
Communication Services	3.7%	-
Real Estate	1.3%	-

Return for Risk

VYMI vs. DFEN — Risk / Return Rank

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

VYMI

VYMI Risk / Return Rank: 75
VYMI Sharpe Ratio Rank: 80
VYMI Sortino Ratio Rank: 79
VYMI Omega Ratio Rank: 79
VYMI Calmar Ratio Rank: 66
VYMI Martin Ratio Rank: 70

DFEN

DFEN Risk / Return Rank: 40
DFEN Sharpe Ratio Rank: 41
DFEN Sortino Ratio Rank: 42
DFEN Omega Ratio Rank: 37
DFEN Calmar Ratio Rank: 46
DFEN Martin Ratio Rank: 36

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.

VYMI vs. DFEN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard International High Dividend Yield ETF (VYMI) and Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	VYMI	DFEN	Difference
Sharpe ratio: Return per unit of total volatility	2.40	1.40	+1.00
Sortino ratio: Return per unit of downside risk	3.27	2.04	+1.22
Omega ratio: Gain probability vs. loss probability	1.43	1.24	+0.19
Calmar ratio: Return relative to maximum drawdown	3.13	2.21	+0.92
Martin ratio: Return relative to average drawdown	12.29	5.08	+7.22

VYMI vs. DFEN - Sharpe Ratio Comparison

The current VYMI Sharpe Ratio is 2.40, which is higher than the DFEN Sharpe Ratio of 1.40. The chart below compares the historical Sharpe Ratios of VYMI and DFEN, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

VYMI vs. DFEN - Drawdown Comparison

The maximum VYMI drawdown since its inception was -40.00%, smaller than the maximum DFEN drawdown of -91.36%. Use the drawdown chart below to compare losses from any high point for VYMI and DFEN.

Drawdown Indicators

	VYMI	DFEN	Difference
Max Drawdown Largest peak-to-trough decline	-40.00%	-91.36%	+51.36%
Max Drawdown (1Y) Largest decline over 1 year	-10.14%	-41.75%	+31.61%
Max Drawdown (3Y) Largest decline over 3 years	-12.84%	-43.13%	+30.29%
Max Drawdown (5Y) Largest decline over 5 years	-24.05%	-55.30%	+31.25%
Max Drawdown (10Y) Largest decline over 10 years	-40.00%	—	—
Current Drawdown Current decline from peak	-0.95%	-20.73%	+19.78%
Average Drawdown Average peak-to-trough decline	-6.29%	-45.15%	+38.86%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.58%	18.16%	-15.58%

Volatility

VYMI vs. DFEN - Volatility Comparison

The current volatility for Vanguard International High Dividend Yield ETF (VYMI) is 4.13%, while Direxion Daily Aerospace & Defense Bull 3X Shares (DFEN) has a volatility of 25.14%. This indicates that VYMI experiences smaller price fluctuations and is considered to be less risky than DFEN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VYMI	DFEN	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.13%	25.14%	-21.01%
Volatility (6M) Calculated over the trailing 6-month period	11.13%	56.03%	-44.90%
Volatility (1Y) Calculated over the trailing 1-year period	13.23%	66.17%	-52.94%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.87%	60.80%	-45.93%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.84%	71.64%	-54.80%

VYMI vs. DFEN - Expense Ratio Comparison

VYMI has a 0.07% expense ratio, which is lower than DFEN's 0.96% expense ratio.

Dividends

VYMI vs. DFEN - Dividend Comparison

VYMI's dividend yield for the trailing twelve months is around 4.71%, less than DFEN's 7.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
DFEN Direxion Daily Aerospace & Defense Bull 3X Shares	7.38%	8.89%	14.12%	1.13%	0.46%	1.89%	0.48%	0.50%	1.07%	1.50%	0.00%
VYMI Vanguard International High Dividend Yield ETF	3.63%	3.68%	4.84%	4.58%	4.70%	4.30%	3.22%	4.20%	4.29%	3.21%	2.39%

Frequently Asked Questions

Can I hold both VYMI and DFEN in my portfolio?

VYMI and DFEN have a correlation of 0.45, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VYMI or DFEN?

DFEN has higher volatility (25.14%) compared to VYMI (4.13%). In terms of maximum drawdown, VYMI dropped -40.00% vs DFEN's -91.36%.

Which ETF is better, VYMI or DFEN?

On 5-year performance, DFEN leads with 33.49% vs 13.03% for VYMI. On fees, VYMI is cheaper at 0.07% per year. On volatility, VYMI has been the lower-risk option at 4.13%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VYMI or DFEN?

Over the 5-year period, DFEN has performed better with a 33.49% return vs 13.03%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VYMI or DFEN?

VYMI is cheaper with a 0.07% expense ratio, compared with 0.96% for DFEN.

Which ETF pays a higher dividend yield, VYMI or DFEN?

DFEN has the higher dividend yield at 7.38%, compared with 3.63% for VYMI.

What is the main difference between VYMI and DFEN?

VYMI is categorized as Dividend, while DFEN is Leveraged Equities. VYMI tracks FTSE All-World ex US High Dividend Yield Index, while DFEN tracks Dow Jones U.S. Select Aerospace & Defense Index (300% Daily). They also come from different issuers: Vanguard and Direxion. Their fees differ too: 0.07% for VYMI and 0.96% for DFEN.

Which has better risk-adjusted returns?

VYMI currently has the higher Sharpe Ratio (2.40 vs 1.40), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.