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Dividend Vision

ETF Comparison

VTI vs VYM: Own the Whole Market, or High-Dividend Stocks?

A head-to-head of Vanguard Total Stock Market and Vanguard High Dividend Yield covering breadth versus a yield screen.

Updated October 8, 2026

How these figures are calculated: methodology.

Best for

  • VTIInvestors who want the broadest one-fund diversification at rock-bottom cost.
  • VYMInvestors who want higher current income (2.24% vs 1.01% for VTI).

Jump to the side-by-side numbers

Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

100% reinvested · ex-date convention. Period returns use this fixed assumption, independent of chart settings. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year.

VTI has outpaced VYM over the trailing twelve months, posting a 16.42% total return against 15.14%. The lead holds up over 10 years too: VTI has compounded at 14.96% a year, against 11.57% for VYM. Figures are total returns: price change plus every distribution reinvested.

Total return and risk statistics by fund. Each row is one fund; each column is one period or statistic.
SymbolYTD cumulative1Y cumulative3Y annualized5Y annualized10Y annualizedSince Nov 2006Volatility Sharpe Sortino Max drawdown
VTI14.54%16.42%22.79%12.57%14.96%10.92%15.4%1.051.53-19.3%
VYM11.61%15.14%18.95%11.59%11.57%9.21%12.4%1.041.51-14.5%

Total return with all distributions reinvested on the ex-dividend date (a modeling convention, not the cash-settlement date), split-adjusted, as of October 9, 2026. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year. “Since Nov 2006” measures every fund from November 16, 2006 — the start of shared available history — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.

Side-by-side snapshot

Side-by-side snapshot. Each row is one metric; each column is one fund.
MetricVTIVYM
Full nameVanguard Morningstar Total Stock Market ETFVanguard High Dividend Yield ETF
IssuerVanguardVanguard
Underlying indexMorningstar US Total Market IndexFTSE High Dividend Yield Index
Last Close$379.56 as of October 8, 2026$158.25 as of October 8, 2026
Distribution rate1.01%2.24%
Trailing 12-month yield1.04%2.32%
Distribution Safety Score™ 10095
Safety-Adjusted Yield 1.01%2.13%
Expense ratio0.03%0.04%
AUM$696B$79.6B
Distribution frequencyQuarterlyQuarterly
ObjectiveSeeks to track the Morningstar US Total Market Index.Seeks to track the performance of the FTSE High Dividend Yield Index, which offers exposure to dividend-paying large-cap companies that exhibit value characteristics within the U.S. equity market. The index includes stocks with a history of paying above-average dividends.
Asset classEquityEquity
Inception date05/24/200111/10/2006
Beta1.03790.68
Last dividend$0.9555$0.887
Ex-dividend date09/28/202609/18/2026

Bottom lineChoose VTI if you want the broadest one-fund diversification at rock-bottom cost. Choose VYM if you want higher current income (2.24% vs 1.01% for VTI).

Total US stock market versus high dividend yield

VTI holds the whole US market. VYM screens high-dividend stocks. Breadth versus a yield screen is the decision.

VTIVYM
UniverseTotal US stock marketHigh-dividend US stocks
Expense ratio0.03%0.04%
Distribution rate1.01%2.24%
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Income calculator

See how much monthly income a hypothetical investment would generate in each ETF at current yields.

Vanguard
ETFs116
Total AUM$4668B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

Vanguard is one of the largest and most established ETF issuers, known for low-cost, broadly diversified fund offerings built on passive indexing principles. Their lineup spans multiple asset classes and strategies, including core equity and bond index funds, dividend-focused portfolios, ESG-screened options, factor-based strategies, sector exposure, target-date retirement funds, and international investments across developed and emerging markets. The platform is characterized by its emphasis on accessibility and cost efficiency across a comprehensive range of fund families, serving both individual investors seeking broad market exposure and those pursuing specific income, sustainability, or thematic objectives.

See our curated list of related YouTube videos on VTI and VYM.

See all Vanguard ETFs

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Quick verdict

VTI (Vanguard Morningstar Total Stock Market ETF) and VYM (Vanguard High Dividend Yield ETF) are both quarterly-pay dividend ETFs, but they take different approaches.

VYM offers the higher yield at 2.24% vs 1.01% for VTI. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

VTI is cheaper with an expense ratio of 0.03% compared to 0.04%.

They have different reference exposures: VTI is linked to Morningstar US Total Market Index while VYM is linked to FTSE High Dividend Yield Index, which means their performance drivers differ.

VTI is the larger fund by assets ($696B), but assets alone do not establish trading costs or liquidity.

Who should choose each?

Choose VTI

Vanguard Morningstar Total Stock Market ETF

  • Want the broadest single-fund diversification across the entire market.
  • Want to keep costs low — a 0.03% expense ratio vs 0.04% for VYM.

Choose VYM

Vanguard High Dividend Yield ETF

  • Want higher current income — VYM yields 2.24% vs 1.01% for VTI.
  • Want simple, diversified core exposure as a portfolio building block.
  • Prefer lower volatility — a beta of 0.7 vs 1.0 for VTI.

Not sure? Use the income calculator and snapshot above to weigh these trade-offs against your own goals.

Deep dive

Yield & income

On a $10,000 investment, VTI would generate roughly $25.25 cash per distribution, while VYM would produce $56.00 cash per distribution, at current distribution rates. Both pay quarterly distributions.

VTI yield1.01%
VYM yield2.24%
Cash diff on $10K$30.75

Cost & efficiency

Over 10 years on $10,000, VTI would cost approximately $30 in fees vs $40 for VYM (simplified, not compounded). The $10.00 difference may be offset by yield or performance.

VTI ER0.03%
VYM ER0.04%

Strategy & risk

VTI tracks Morningstar US Total Market Index, while VYM tracks FTSE High Dividend Yield Index. Beta is 1.0379 for VTI and 0.68 for VYM, making VYM the less volatile of the two by this measure.

VTI beta1.0379
VYM beta0.68

Fund details

VTI is managed by Vanguard (launched 05/24/2001) with $696B in assets. VYM is managed by Vanguard (launched 11/10/2006) with $79.6B in assets.

VTI AUM$696B
VYM AUM$79.6B
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Frequently asked questions

What is the difference between VTI and VYM?

VTI (Vanguard Morningstar Total Stock Market ETF) holds the total US stock market. VYM (Vanguard High Dividend Yield ETF) screens high-dividend stocks. Breadth versus a yield screen is the split. Cost is 0.03% versus 0.04%; size is $696B versus $79.6B. Distributions are 1.01% and 2.24% as of October 2026.

What is the current distribution rate for VTI and VYM?

VTI currently distributes 1.01% and VYM 2.24%, based on fund data updated October 2026. Distribution rate moves with both the payout and the share price, so check the as-of date before relying on either figure.

Is VTI or VYM better for dividend income?

It depends on your goals. VYM currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

Can I hold both VTI and VYM?

Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Is VTI or VYM safer?

By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — VTI scores 100, VYM scores 95, so VTI's payout currently looks the more resilient of the two. VYM has also shown lower price volatility (beta 0.68 vs 1.04 for VTI). No score makes an investment risk-free — treat this as a screening signal, not a guarantee.

Which has lower fees, VTI or VYM?

VTI has an expense ratio of 0.03% while VYM charges 0.04%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in VTI vs VYM generate?

At current rates, $10,000 in VTI would generate roughly $25.25 cash per distribution ($101.00 annually). The same in VYM would produce about $56.00 cash per distribution ($224.00 annually).

Which has performed better historically, VTI or VYM?

VTI has outpaced VYM over the trailing twelve months, posting a 16.42% total return against 15.14%. The lead holds up over 10 years too: VTI has compounded at 14.96% a year, against 11.57% for VYM. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

VTI vs VYM — at a glance

Generated October 3, 2026.

Overview

VTI and VYM are both Vanguard equity ETFs, but they target fundamentally different slices of the U.S. stock market. VTI tracks the entire U.S. stock market across all capitalization levels, while VYM focuses exclusively on large-cap companies with above-average dividend-paying histories and value characteristics. The distinction shapes their yield, volatility, and sector mix.

How they differ

VTI holds thousands of stocks across the full market cap spectrum—large, mid, and small companies—while VYM filters to only large-cap dividend payers, creating a narrower portfolio focused on value and income. This fundamental difference drives the largest gap: VYM's distribution rate is 2.24%, more than double VTI's 1.01%, because dividend-paying stocks make up VYM's entire mandate rather than a subset of VTI's holdings.

The second difference is volatility. VYM's beta of 0.68 sits well below VTI's 1.0379, reflecting the historical defensive characteristics of dividend-paying large-cap value stocks versus broad-market exposure. Both charge minimal fees—0.03% for VTI and 0.04% for VYM—reflecting Vanguard's low-cost index approach.

Who each is best for

VTI: Fits investors seeking broad market exposure without tilting toward any style, sector, or payout pattern. Suits long-term holders building core equity positions where capital growth and modest quarterly distributions matter equally.

VYM: Fits investors who prioritize current income and value-oriented equity exposure, comfortable with a concentrated bet on dividend-paying large caps that may lag in growth-oriented markets but historically reduce downside swings.

Key risks to know

  • Style concentration. VYM's exclusive focus on dividend-paying large caps means it excludes fast-growing companies that may not yet pay dividends—a meaningful performance gap during periods when growth equities lead the market. VTI's broader scope captures this upside.
  • Sector tilt. High-dividend stocks cluster in mature, defensive sectors (financials, utilities, energy, consumer staples). VYM's index weighting reflects this tilt, leaving it underexposed to technology and healthcare relative to the broader market that VTI captures.
  • Valuations and mean reversion. Value stocks—dividend payers included—often trade at lower multiples. If those multiples expand (rising rates, improving growth outlook), VYM may outperform; if they compress, VYM may lag. VTI neutrally captures both.
  • Dividend sustainability risk. VYM's higher payout rate depends on continued dividend sustainability and growth from its holdings. Economic stress or sector-wide dividend cuts would compress both yield and capital value.

Bottom line

If you want genuine total-market exposure with minimal style bias and lower current yield, VTI's breadth is the clearer fit. If you're seeking meaningful quarterly income from large-cap dividend payers and can tolerate a defensive tilt, VYM's 2.24% yield and lower volatility align with that objective. The tradeoff is style concentration: VYM's strength in downturns may come at the cost of growth participation that VTI captures. Past performance does not predict future results.

AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.

Learn the method

The metrics behind this comparison, explained in the Academy.

What the distribution rate really tells you Why a high yield isn't high income How to read a fund's stats

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These comparisons follow the Dividend Vision methodology.