CAF vs SCHD
Morgan Stanley China A Share Fund vs Schwab US Dividend Equity ETF
Which is better, CAF or SCHD?
Large Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. CAF is less concentrated, with 40.9% of the fund in its ten largest positions against 41.5%.
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 | CAF | SCHD |
|---|---|---|
| Expense Ratio | 1.75% | 0.06%Best |
| AUM | - | $112.2B |
| Dividend Yield | 1.17% | 3.13% |
| Holdings | 69 | 103 |
| YTD Return | +5.31% | +27.56%Best |
| 1Y Return | +24.76% | +30.29%Best |
| 3Y Return (annualized) | +15.67% | +16.37%Best |
| 5Y Return (annualized) | -0.20% | +10.23%Best |
| Volatility (annualized) | 24.0% | 13.6%Best |
| Max Drawdown | -49.0% | -33.4%Best |
| $10,000 over 5 years | $9,900 | $16,274Best |
| Top 10 Weight | 40.9%Best | 41.5% |
| Fund Family | Morgan Stanley Investment Management | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Sep 28, 2006 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 4, 2026 (14.9 years).
CAF 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 14.9 years both funds cover.
CAF vs SCHD Performance
Morgan Stanley China A Share Fund (CAF) is an ETF from Morgan Stanley Investment Management and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year CAF returned +24.76% while SCHD returned +30.29%. Year to date, CAF is up 5.31% versus a gain of 27.56% for SCHD.
Over three years, CAF compounded at +15.67% per year against +16.37% for SCHD; over five years the annualized figures are -0.20% and +10.23% respectively. Across the full 15-year window we track, SCHD has the edge at +11.53% annualized vs +7.34%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
CAF has been the more volatile fund, with annualized monthly volatility of 24.0% 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 -49.0% for CAF and -33.4% 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 0.28. They move largely independently of each other.
Fees and Cost Over Time
CAF charges 1.75% per year while SCHD charges 0.06%. On a $10,000 position that is $175 vs $6 annually, a gap of $169 per year that compounds over a long holding period. On income, CAF currently yields 1.17% against 3.13% for SCHD.
Holdings Overlap
We hold position weights for 74 holdings in CAF and 100 in SCHD, totalling 98.0% 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 74 positions we hold weights for in CAF and 100 in SCHD, against full books of 69 and 103.
What only one of them owns
Our book lists 99 positions for SCHD that do not appear in our book for CAF (99.9% of the fund), and 1 for CAF that do not appear in SCHD (0.2%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of CAF 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, CAF or SCHD?
CAF has an expense ratio of 1.75% while SCHD charges 0.06%. SCHD is the cheaper option, by $169 a year on a $10,000 investment.
Which performed better, CAF or SCHD?
Over the past year CAF returned +24.76% vs +30.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), CAF annualized +7.34% vs +11.53% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, CAF or SCHD?
CAF has been the more volatile fund at 24.0% annualized versus 13.6% for SCHD. Worst drawdown: CAF -49.0% vs SCHD -33.4%.
Should I hold both CAF and SCHD?
CAF and SCHD have a monthly-return correlation of 0.28, 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, CAF or SCHD?
CAF yields 1.17% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.
Is SCHD better than CAF?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. CAF is less concentrated, with 40.9% of the fund in its ten largest positions against 41.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.