VYM vs XLE Overlap

VYM is a dividend-focused equity ETF from Vanguard, while XLE is an energy sector ETF from SPDR. VYM and XLE show limited overlap, with an estimated weighted overlap of 8.45%. They share 21 holdings in the loaded dataset, led by XOM, CVX, and COP.

8.4% overlap
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21Shared Holdings
OK
Low Overlap

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Quick Answer

VYM is a dividend-focused equity ETF from Vanguard, while XLE is an energy sector ETF from SPDR. VYM and XLE show limited overlap, with an estimated weighted overlap of 8.45%. They share 21 holdings in the loaded dataset, led by XOM, CVX, and COP.

  • 8.45% weighted overlap across 21 shared holdings.
  • The top three shared holdings explain 57.08% of the measured overlap.
  • VYM is the broader fund, while XLE is more targeted.
  • The overlap is mostly explained by the top shared positions rather than sector labels alone.
  • Holding both can still add materially different exposure.

Data Freshness

VYM holdings
Mar 12, 2026
XLE holdings
Mar 12, 2026
Overlap computed
Mar 13, 2026
Data source
Financial Modeling Prep

Review the methodology for the overlap formula and refresh policy.

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About These ETFs

ETF A

VYM

Vanguard High Dividend Yield ETF

Issuer
Vanguard
Asset class
Large Cap Equity
Expense ratio
0.04%
AUM
$89B
Inception
Nov 10, 2006

ETF B

XLE

State Street Energy Select Sector SPDR ETF

Issuer
SPDR
Asset class
Equity
Expense ratio
0.08%
AUM
$39B
Inception
Dec 16, 1998

What Stands Out In This Comparison

01

What This Means

VYM is a dividend-focused equity ETF from Vanguard, while XLE is an energy sector ETF from SPDR. VYM and XLE do not own much of the same portfolio weight. That usually means you are combining different parts of the market, with only a small amount of duplication through names like XOM, CVX, and COP.

02

How They Differ

VYM is a dividend-focused equity ETF from Vanguard, while XLE is an energy sector ETF from SPDR. VYM is the broader fund, while XLE is the more targeted sleeve. VYM has the lower expense ratio, while XLE charges more for its exposure.

03

What Drives The Overlap

The overlap is driven by a relatively small set of large shared positions. The top three shared holdings account for 57.08% of the score, which means the result is heavily influenced by the biggest common weights rather than a long tail of tiny positions.

04

When One May Fit Better

If you want the broader portfolio building block, VYM is usually the wider choice. If you want the more focused tilt, XLE is the narrower expression. VYM has the lower expense ratio, while XLE charges more for its exposure.

Overlap Driver Snapshot

Concentration

The top three shared holdings explain 57.08% of the full overlap score.

That helps show whether the score comes from a handful of giant shared positions or from a broader mix of common holdings.

Shared Sector Tilt

Sector tags are not consistently available for the biggest shared positions in this dataset, so this comparison leans more on the specific holdings than on sector labels.

Top Shared Holdings

These are the holdings contributing the most to the overlap score between VYM and XLE.

HoldingVYM Wt.XLE Wt.Overlap
XOM2.72%23.52%2.72%
CVX1.51%17.34%1.51%
COP0.59%6.94%0.59%
WMB0.37%4.53%0.37%
SLB0.33%4.13%0.33%
EOG0.28%3.99%0.28%
KMI0.27%3.71%0.27%
PSX0.26%3.76%0.26%
BKR0.25%3.36%0.25%
VLO0.25%3.80%0.25%

Why These ETFs Overlap

VYM is a dividend-focused equity ETF from Vanguard, while XLE is an energy sector ETF from SPDR. The overlap exists because both funds allocate meaningful weight to the same holdings. In this dataset, the biggest shared drivers are XOM, CVX, and COP, which appear in both portfolios and push the overlap score higher.

Holding both VYM and XLE can make sense if you want exposure to different sleeves of the market. The overlap is small enough that both funds may still improve diversification.

Related Comparisons

Frequently Asked Questions About VYM and XLE

What is the overlap between VYM and XLE?+
VYM and XLE currently show an estimated weighted overlap of 8.45% based on the loaded holdings data.
How many holdings do VYM and XLE share?+
They share 21 holdings in the current dataset.
Is the VYM and XLE overlap high?+
The current verdict is Low Overlap. That means the two ETFs have limited duplication in portfolio weight.
Why do VYM and XLE overlap?+
VYM and XLE overlap because the same large positions appear in both funds. In this comparison, the top three shared holdings explain 57.08% of the measured overlap score.
Which ETF is broader, VYM or XLE?+
VYM is the broader fund, while XLE is the more targeted sleeve. That does not automatically make one better, but it helps explain why the pair can overlap while still serving different roles.

How Overlap Is Calculated

A straightforward approach used by portfolio analysts.

Overlap = sum(min(Weight_A, Weight_B)) for each shared holding

For every stock that appears in both ETFs, we take the smaller of the two weights. Adding up all those minimums gives the total overlap percentage. A score of 100% means the two ETFs hold the exact same stocks in the same proportions.

Want the full explanation? Read the methodology page.

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