BMVP vs VYM

BMVPCInvesco Bloomberg MVP Multi-factor ETF

VYMAVanguard High Dividend Yield ETF

In short

BMVP Four factors (low volatility, momentum, profitability, value) packed into roughly 60 US stocks, tracking Bloomberg's MVP Index for 0.29% a year. A compact multi-factor blend from Invesco that almost nobody talks about.

VYM The no-frills dividend workhorse. VYM buys the higher-yielding end of the US market, roughly 600 names, for four basis points: no quality screen, no dividend-growth-streak test, just yield, at scale since 2006.

Stated mandate

BMVP The Fund seeks to track the investment results of the Bloomberg MVP Index before fees and expenses.

VYM The Fund seeks to track a benchmark index measuring the investment return of common stocks from companies characterized by high dividend yields.

Why people hold it

• BMVP Four factors in one ticker: low volatility, momentum, profitability and value, blended inside the Bloomberg MVP Index instead of you stitching together four separate funds.
• 0.29% a year sits under the median fee in the multi-factor crowd, modest for a rules-based blend that does the mixing for you.
• Roughly 60 US stocks, so the factor tilts show up in the portfolio rather than getting watered down across hundreds of names. Distributions come quarterly.

• VYM Four basis points a year, against a peer-group median near 0.32%. Cheaper than cohort neighbors VONV (0.06%) and FNDX (0.25%).
• Running since 2006 and now a multi-billion-dollar fund that trades actively, so ordinary orders tend to fill at tight spreads.
• Simple mandate: track the FTSE High Dividend Yield Index of US common stocks screened on yield. No manager discretion, no options overlay, plain 1940-Act fund.vanguard.com
• Pays quarterly, and among 100-plus value and multifactor rivals it stands as one of the strongest overall packages in the group.

Worth knowing

• BMVP Thinly traded and small by ETF standards, which typically means wider bid-ask spreads and more cost around the trade itself.
• Plain single-factor index funds cost far less: VYM at 0.04%, VONV at 0.06%. The extra fee here buys the four-factor recipe.
• It lands in the lower half of its multi-factor peer group, and how lightly it trades is the biggest drag on that standing.

• VYM The screen is yield, not payout growth or dividend quality, so a company can qualify simply because its share price fell.
• This is a value slice by design, tilted to established payers, so it behaves differently from a total US market fund.
• Roughly 600 holdings, but weight leans toward the largest payers, so the top of the roster does more of the work than the count suggests.

Full BMVP profile⁠

Full VYM profile⁠