ETF Versus

IAU vs VYM

iShares Gold Trust vs Vanguard High Dividend Yield Index Fund ETF Shares

Last updated: 2026-04-10

IAU

iShares Gold Trust (IAU) is an exchange-traded fund that provides exposure to gold securities. It charges a moderate expense ratio of 0.25%. Launched in 2005, the fund has a 21-year track record.

AUM: $73.9B ER: 0.25% Yield: N/A Since: Jan 21, 2005
VYM

Vanguard High Dividend Yield Index Fund ETF Shares (VYM) is an exchange-traded fund that provides exposure to U.S. dividend-paying stocks selected for yield or dividend growth. It charges a very low expense ratio of 0.04%. The fund offers a moderate dividend yield of 2.30%. Launched in 2006, the fund has a 20-year track record.

AUM: $74.7B ER: 0.04% Yield: 2.30% Since: Nov 10, 2006

Quick Verdict

VYM is significantly cheaper at 0.04% vs 0.25% expense ratio, saving you approximately $415 per $10,000 invested over 10 years. Over the past year, IAU has significantly outperformed with a 50.0% return vs 28.1%.

Key Metrics

Metric IAU VYM
Expense Ratio 0.25% 0.04%
Dividend Yield N/A 2.3%
Fund Family N/A N/A
Category Gold US Dividend

Performance Chart

Indexed to 100 at start (5-year comparison)

90 134 178 222 266 310 2021-04 2022-07 2023-10 2024-12 2026-04
IAU +171.9%
VYM +48.9%

Performance Comparison

Period IAU VYM Difference
1 Month -8.03% +1.58% -9.61%
3 Months +3.73% +3.41% +0.32%
6 Months +15.87% +9.40% +6.47%
YTD +10.00% +5.46% +4.54%
1 Year +50.01% +28.11% +21.90%
3 Years +136.17% +42.98% +93.19%
5 Years +171.88% +48.86% +123.02%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period IAU Fees VYM Fees You Save
$10,000 10 years $495 $80 $415
$10,000 20 years $2,111 $344 $1,767
$10,000 30 years $6,758 $1,112 $5,646
$50,000 10 years $2,473 $399 $2,074
$50,000 30 years $33,792 $5,560 $28,232
$100,000 30 years $67,584 $11,121 $56,463

Risk Metrics

Based on 5 years of daily returns

Metric IAU VYM
Annualized Volatility 17.7% 14.1%
Max Drawdown -20.9% -17.5%
Sharpe Ratio 0.97 0.32

Dividend Comparison

Metric IAU VYM
Annual Dividend (per share) $0.00 $3.51
Dividend Yield 0.00% 2.30%
Distribution Frequency None Quarterly

Top Holdings

VYM Top Holdings

NameWeight
Broadcom Inc.AVGO6.48%
JPMorgan Chase & Co.JPM3.36%
Exxon Mobil CorporationXOM2.83%
Johnson & JohnsonJNJ2.63%
Walmart Inc.WMT2.44%
AbbVie Inc.ABBV1.81%
The Procter & Gamble CompanyPG1.72%
The Home Depot, Inc.HD1.66%
Chevron CorporationCVX1.54%
Caterpillar Inc.CAT1.51%

Which One Should You Choose?

Choose VYM if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose IAU if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

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