MTUM vs VYM: Correlation & Overlap
iShares MSCI USA Momentum Factor ETF (MTUM) and Vanguard High Dividend Yield ETF (VYM) show a strong relationship: their 3-year correlation of weekly returns is 0.66. By holdings, the two funds overlap 29.5% by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are MTUM and VYM?
Over the past 3 years, MTUM and VYM moved with a correlation of 0.66, which is strong. The past 12 months show a weaker link (0.51) than the 3-year average (0.66). Over 5 years the correlation is 0.73, and the annualized covariance of weekly returns is 166.8 %².
Among the 109 assets we track against MTUM, VYM ranks #41 by 3-year correlation. Twelve-month performance is nearly a tie, at +25.2% for MTUM and +21.1% for VYM. On a rolling one-year basis the correlation drifted between 0.43 and 0.89, a moderate band. Risk is not evenly split, since MTUM carries 1.7 times the volatility of the other side.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
MTUM vs VYM: side by side
| MTUM (iShares MSCI USA Momentum Factor ETF) | VYM (Vanguard High Dividend Yield ETF) | |
|---|---|---|
| 1-year return | +25.2% | +21.1% |
| 5-year return | +76.1% | +76.6% |
| Volatility (ann.) | 20.6% | 12.3% |
| Beta vs S&P 500 | 1.25 | 0.69 |
| Max drawdown (3Y) | -21.0% | -14.5% |
| Dividend yield | 0.62% | 2.24% |
| Expense ratio | 0.15% | 0.04% |
| Assets under management | $25.3B | $99.2B |
| Sector / category | ETF · US Style | ETF · Dividend |
On the fund side, MTUM sits in the Large Blend category at iShares, with $25.3B under management, 126 holdings, a 0.15% expense ratio, a 0.62% trailing dividend yield. VYM, Vanguard's Large Value fund, carries $99.2B under management, 604 holdings, a 0.04% expense ratio, a 2.24% trailing dividend yield.
Portfolio overlap between MTUM and VYM
The two portfolios partially overlap. Weighing the shared positions, 29.5% of the two funds is identical, spread across 56 common holdings. That shared book is a large part of why the returns line up.
| Common holding | Weight in MTUM | Weight in VYM |
|---|---|---|
| AVGO | 4.25% | 7.37% |
| XOM | 3.78% | 2.63% |
| JNJ | 3.67% | 2.51% |
| CSCO | 2.43% | 1.87% |
| CAT | 3.63% | 1.51% |
| CVX | 1.75% | 1.49% |
| GS | 1.38% | 1.14% |
| TXN | 1.75% | 1.02% |
| MS | 1.08% | 0.96% |
| C | 1.21% | 0.89% |
| ADI | 1.45% | 0.73% |
| COP | 0.87% | 0.60% |
| DELL | 0.63% | 0.50% |
| MO | 0.59% | 0.46% |
| BNY | 0.66% | 0.44% |
Largest positions held only by MTUM: MU (6.60%), AMD (5.09%), INTC (3.91%), LRCX (3.26%), GEV (2.91%). Only by VYM: JPM (3.83%), ABBV (1.81%), BAC (1.67%), UNH (1.52%), KO (1.39%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 15 common positions shown.
Year-by-year returns
| Year | MTUM | VYM |
|---|---|---|
| 2022 | -18.3% | -0.4% |
| 2023 | +9.1% | +6.6% |
| 2024 | +32.9% | +17.6% |
| 2025 | +22.1% | +15.4% |
| 2026 | +21.8% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are MTUM and VYM good diversifiers for each other?
Only partially. A correlation of 0.66 means MTUM and VYM share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between MTUM and VYM?
As of 2026-08-27, the correlation of weekly returns between MTUM and VYM is 0.66 over 3 years, 0.51 over 1 year and 0.73 over 5 years.
Is VYM a good diversifier for MTUM?
Only partially. A correlation of 0.66 means MTUM and VYM share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
How much do MTUM and VYM overlap?
The two funds share 56 holdings amounting to 29.5% of weight, per issuer portfolio files dated 2026-08-26.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/mtum-vs-vym.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/mtum-vs-vym/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: MTUM correlations · VYM correlations
