BABO vs SCHD
YieldMax BABA Option Income Strategy ETF vs Schwab US Dividend Equity ETF
Which is better, BABO or SCHD?
Option Writing against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | BABO | SCHD |
|---|---|---|
| Expense Ratio | 1.00% | 0.06%Best |
| AUM | $25M | $112.1B |
| Dividend Yield | 101.30% | 3.00% |
| Holdings | 17 | 103 |
| YTD Return | -25.44% | +23.46%Best |
| 1Y Return | -26.52% | +27.20%Best |
| 3Y Return (annualized) | - | +15.41% |
| 5Y Return (annualized) | - | +10.16% |
| Volatility (annualized) | 40.9% | 13.6%Best |
| Max Drawdown | -42.6% | -16.1%Best |
| $10,000 over 2.1 years | $11,482 | $13,529Best |
| Fund Family | YieldMax ETF | Charles Schwab Asset Management |
| Category | Alternative | Equity |
| Style | Option Writing | Large Cap Value |
| Inception | Aug 7, 2024 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2.1 years row, are measured over the window both funds cover: Aug 8, 2024 to Sep 18, 2026 (2.1 years).
BABO vs SCHD growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 2.1 years both funds cover.
BABO vs SCHD Performance
YieldMax BABA Option Income Strategy ETF (BABO) is an ETF from YieldMax ETF and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year BABO returned -26.52% while SCHD returned +27.20%. Year to date, BABO is down 25.44% versus a gain of 23.46% for SCHD.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
BABO has been the more volatile fund, with annualized monthly volatility of 40.9% 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 -42.6% for BABO and -16.1% for SCHD. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.32. They move together some of the time, and apart the rest.
Fees and Cost Over Time
BABO 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, BABO currently yields 101.30% against 3.00% for SCHD.
Holdings Overlap
We hold position weights for 2 holdings in BABO and 100 in SCHD, totalling 38.0% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 2 positions we hold weights for in BABO and 100 in SCHD, against full books of 17 and 103.
You are not choosing between two funds in isolation.
Whichever of BABO and SCHD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, BABO or SCHD?
BABO has an expense ratio of 1.00% while SCHD charges 0.06%. SCHD is the cheaper option, by $94 a year on a $10,000 investment.
Which performed better, BABO or SCHD?
Over the past year BABO returned -26.52% vs +27.20% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), BABO annualized +6.80% vs +15.48% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, BABO or SCHD?
BABO has been the more volatile fund at 40.9% annualized versus 13.6% for SCHD. Worst drawdown: BABO -42.6% vs SCHD -16.1%.
Should I hold both BABO and SCHD?
BABO and SCHD have a monthly-return correlation of 0.32, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, BABO or SCHD?
BABO yields 101.30% while SCHD yields 3.00%, so BABO currently pays the higher dividend yield.
Is SCHD better than BABO?
SCHD has a lower expense ratio. SCHD led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.