DALI vs SCHD

DALI vs SCHD

Which is better, DALI or SCHD?

Tactical Allocation against Large Cap Value.

SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window.

Lower Fees: SCHDHigher Returns: SCHD

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

MetricDALISCHD
Expense Ratio0.91%0.06%Best
AUM$101M$112.1B
Dividend Yield1.15%3.00%
Holdings16103
YTD Return-0.21%+23.46%Best
1Y Return+3.26%+27.20%Best
3Y Return (annualized)+5.27%+15.41%Best
5Y Return (annualized)+3.91%+10.16%Best
Volatility (annualized)16.9%16.3%Best
Max Drawdown-36.1%-33.4%Best
$10,000 over 5 years$12,114$16,223Best
Top 10 Weight-41.8%
Fund FamilyFirst Trust Portfolios (US)Charles Schwab Asset Management
CategoryAllocation/BalancedEquity
StyleTactical AllocationLarge Cap Value
InceptionMay 14, 2018Oct 20, 2011

Volatility and max drawdown are measured over the window both funds cover: May 15, 2018 to Sep 18, 2026 (8.3 years).

DALI 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 8.3 years both funds cover.

DALI vs SCHD Performance

First Trust Dorsey Wright DALI Equity ETF (DALI) is an ETF from First Trust Portfolios (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year DALI returned +3.26% while SCHD returned +27.20%. Year to date, DALI is down 0.21% versus a gain of 23.46% for SCHD.

Over three years, DALI compounded at +5.27% per year against +15.41% for SCHD; over five years the annualized figures are +3.91% and +10.16% respectively. Across the full 8-year window we track, SCHD has the edge at +11.58% annualized vs +5.20%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

DALI has been the more volatile fund, with annualized monthly volatility of 16.9% compared with 16.3% 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 -36.1% for DALI 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 0.70. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

DALI charges 0.91% per year while SCHD charges 0.06%. On a $10,000 position that is $91 vs $6 annually, a gap of $85 per year that compounds over a long holding period. On income, DALI currently yields 1.15% against 3.00% for SCHD.

Holdings Overlap

We hold position weights for 7 holdings in DALI and 100 in SCHD, totalling 99.9% 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 7 positions we hold weights for in DALI and 100 in SCHD, against full books of 16 and 103.

What only one of them owns

Our book lists 99 positions for SCHD that do not appear in our book for DALI (99.9% of the fund), and 7 for DALI that do not appear in SCHD (99.9%).

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 DALI and SCHD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

DALISCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, DALI or SCHD?

DALI has an expense ratio of 0.91% while SCHD charges 0.06%. SCHD is the cheaper option, by $85 a year on a $10,000 investment.

Which performed better, DALI or SCHD?

Over the past year DALI returned +3.26% vs +27.20% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (8 years), DALI annualized +5.20% vs +11.58% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, DALI or SCHD?

DALI has been the more volatile fund at 16.9% annualized versus 16.3% for SCHD. Worst drawdown: DALI -36.1% vs SCHD -33.4%.

Should I hold both DALI and SCHD?

DALI and SCHD have a monthly-return correlation of 0.70, 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, DALI or SCHD?

DALI yields 1.15% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.

Is SCHD better than DALI?

SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.