OMFL vs VYM

OMFLAInvesco Russell 1000 Dynamic Multifactor ETF

VYMAVanguard High Dividend Yield ETF

In short

OMFL Four factor tilts (value, momentum, quality, low volatility) packed into one rules-based Russell 1000 index, for less than the typical multifactor fund charges. The mix is set by the index rulebook, not by a stock picker.

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

OMFL The fund seeks to track the investment results of the Russell 1000 Invesco Dynamic Multifactor Index before fees and expenses. It invests at least 80% of assets in index securities using a rules-based approach.

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

• OMFL Value, momentum, quality and low volatility in one ticker, pulled from the Russell 1000 and set by index rules rather than a manager's call.
• 0.29% a year, under the 0.32% median for multifactor peers. A modest toll for a portfolio juggling four factors.
• Running since 2017 and now a multi-billion-dollar fund that trades with decent regularity, so getting in and out is rarely the hard part.
• About 600 names, so the tilts arrive spread wide instead of stacked in a handful of stocks. Distributions land 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

• OMFL Plain large-cap slices cost a fraction: VONV at 0.06%, IUSG at 0.04%. The gap is what the factor machinery costs you.
• The rulebook runs it. At least 80% of assets sit in index securities, with nobody stepping in when a factor goes cold.
• A rules-built cut of the Russell 1000, weighted its own way, so its path can separate from plain large-cap exposure in either direction.

• 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 OMFL profile⁠

Full VYM profile⁠