QVML vs VYM

QVMLAInvesco S&P 500 QVM Multi-factor ETF

VYMAVanguard High Dividend Yield ETF

In short

QVML Most multifactor funds tear the S&P 500 down and rebuild it. QVML just shaves off the bottom: it holds roughly 400 of the names, screened for quality, value and momentum, and charges 0.11% to do it.

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

QVML The fund seeks exposure to a subset of S&P 500 securities selected for quality, value, and momentum characteristics through the S&P 500 Quality, Value & Momentum Top 90% Multi-factor Index.

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

• QVML 0.11% expense ratio, a fraction of what the typical multifactor large-cap fund charges.
• The "Top 90%" index drops the weakest slice rather than rebuilding the market from scratch, leaving roughly 400 large caps on familiar S&P 500 ground.invesco.com
• Three tilts in one ticker: quality, value and momentum, applied inside a single S&P 500 universe. No separate factor sleeves to juggle.invesco.com
• An Invesco fund running since 2021, now in the multi-billion-dollar range, with quarterly distributions.

• 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

• QVML Thinly traded next to the household-name index funds. Spreads are worth a look, and limit orders do more work here.
• Cutting only the bottom tenth keeps the portfolio close to the parent index. The factor tilt is deliberately mild, not a sharp break from the S&P 500.
• Plain single-style peers go cheaper (VYM at 0.04%, VONV at 0.06%), so the fee buys the multi-factor screen, not the beta.

• 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 QVML profile⁠

Full VYM profile⁠