CAOS vs SCHD

Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricCAOSSCHDWinner
Expense Ratio0.63%0.06%
AUM$719M$103.7B
Dividend Yield0.00%3.31%
Holdings17104
YTD Return+0.79%+24.26%
1Y Return+1.50%+31.38%
3Y Return (annualized)+3.48%+15.08%
5Y Return (annualized)-+9.72%
Volatility (annualized)2.0%13.6%
Max Drawdown-3.6%-33.4%
Fund FamilyAlpha ArchitectCharles Schwab Asset Management
CategoryAlternativeEquity
InceptionMar 6, 2023Oct 20, 2011

CAOS vs SCHD Performance

Alpha Architect Tail Risk ETF (CAOS) is a ETF from Alpha Architect and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year CAOS returned +1.50% while SCHD returned +31.38%. Year to date, CAOS is up 0.79% versus a gain of 24.26% for SCHD.

Over three years, CAOS compounded at +3.48% per year against +15.08% for SCHD. Across the full 3-year window we track, SCHD has the edge at +11.39% annualized vs +4.82%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 2.0% for CAOS. 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 -3.6% for CAOS 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 0.23. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

CAOS charges 0.63% per year while SCHD charges 0.06%. On a $10,000 position that is $63 vs $6 annually, a gap of $57 per year that compounds over a long holding period. On income, CAOS currently yields 0.00% against 3.31% for SCHD.

Frequently Asked Questions

Which is cheaper, CAOS or SCHD?

CAOS has an expense ratio of 0.63% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $57 per year of difference.

Which performed better, CAOS or SCHD?

Over the past year CAOS returned +1.50% vs +31.38% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (3 years), CAOS annualized +4.82% vs +11.39% for SCHD. Past performance does not guarantee future results.

Which is riskier, CAOS or SCHD?

SCHD has been the more volatile fund at 13.6% annualized versus 2.0% for CAOS. Worst drawdown: CAOS -3.6% vs SCHD -33.4%.

Should I hold both CAOS and SCHD?

CAOS and SCHD have a monthly-return correlation of 0.23, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, CAOS or SCHD?

CAOS yields 0.00% while SCHD yields 3.31%, so SCHD currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.

X-ray your whole portfolio
$99/yr7-day refund. ETFs, mutual funds, 401(k)s.
Get Pro →