AVL vs SCHD

AVL vs SCHD
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Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 104 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricAVLSCHDWinner
Expense Ratio1.00%0.06%
AUM$186M$108.7B
Dividend Yield28.25%3.13%
Holdings10104
YTD Return-1.90%+26.50%
1Y Return+12.11%+31.25%
3Y Return (annualized)-+16.34%
5Y Return (annualized)-+10.10%
Volatility (annualized)112.9%13.6%
Max Drawdown-70.6%-33.4%
Fund FamilyDirexion Shares ETF TrustCharles Schwab Asset Management
CategoryAlternativeEquity
InceptionOct 10, 2024Oct 20, 2011

AVL vs SCHD Performance

Direxion Daily AVGO Bull 2X ETF (AVL) is a ETF from Direxion Shares ETF Trust and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year AVL returned +12.11% while SCHD returned +31.25%. Year to date, AVL is down 1.90% versus a gain of 26.50% for SCHD.

Risk: Volatility and Drawdowns

AVL has been the more volatile fund, with annualized monthly volatility of 112.9% compared with 13.6% for SCHD. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -70.6% for AVL and -33.4% for SCHD. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at -0.25. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

AVL charges 1.00% per year while SCHD charges 0.06%. On a $10,000 position that is $100 vs $6 annually, a gap of $94 per year that compounds over a long holding period. On income, AVL currently yields 28.25% against 3.13% for SCHD.

Holdings Overlap

0.0%overlap

AVL and SCHD share 0 holdings out of 105 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, AVL or SCHD?

AVL has an expense ratio of 1.00% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $94 per year of difference.

Which performed better, AVL or SCHD?

Over the past year AVL returned +12.11% vs +31.25% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), AVL annualized +50.64% vs +11.50% for SCHD. Past performance does not guarantee future results.

Which is riskier, AVL or SCHD?

AVL has been the more volatile fund at 112.9% annualized versus 13.6% for SCHD. Worst drawdown: AVL -70.6% vs SCHD -33.4%.

Should I hold both AVL and SCHD?

AVL and SCHD have a monthly-return correlation of -0.25, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between AVL and SCHD?

AVL and SCHD share 0 common holdings with a 0.0% weight overlap. Combined, they hold 105 unique securities.

Which pays a higher dividend, AVL or SCHD?

AVL yields 28.25% while SCHD yields 3.13%, so AVL currently pays the higher dividend yield.

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