DEFR vs SCHD
Aptus Deferred Income ETF vs Schwab US Dividend Equity ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.
Side-by-Side Comparison
| Metric | DEFR | SCHD | Winner |
|---|---|---|---|
| Expense Ratio | 0.79% | 0.06% | |
| AUM | $142M | $103.7B | |
| Dividend Yield | 0.00% | 3.31% | |
| Holdings | 11 | 104 | |
| YTD Return | -0.23% | +25.58% | |
| 1Y Return | +3.21% | +31.06% | |
| 3Y Return (annualized) | - | +15.55% | |
| 5Y Return (annualized) | - | +9.61% | |
| Volatility (annualized) | 4.3% | 13.6% | |
| Max Drawdown | -3.9% | -33.4% | |
| Fund Family | Aptus Capital Advisors | Charles Schwab Asset Management | |
| Category | Fixed Income | Equity | |
| Inception | May 13, 2025 | Oct 20, 2011 |
DEFR vs SCHD Performance
Aptus Deferred Income ETF (DEFR) is a ETF from Aptus Capital Advisors and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year DEFR returned +3.21% while SCHD returned +31.06%. Year to date, DEFR is down 0.23% versus a gain of 25.58% for SCHD.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 4.3% for DEFR. 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 -3.9% for DEFR 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 0.32. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
DEFR charges 0.79% per year while SCHD charges 0.06%. On a $10,000 position that is $79 vs $6 annually, a gap of $73 per year that compounds over a long holding period. On income, DEFR currently yields 0.00% against 3.31% for SCHD.
Holdings Overlap
DEFR and SCHD share 0 holdings out of 101 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, DEFR or SCHD?
DEFR has an expense ratio of 0.79% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $73 per year of difference.
Which performed better, DEFR or SCHD?
Over the past year DEFR returned +3.21% vs +31.06% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (1 years), DEFR annualized +5.28% vs +11.46% for SCHD. Past performance does not guarantee future results.
Which is riskier, DEFR or SCHD?
SCHD has been the more volatile fund at 13.6% annualized versus 4.3% for DEFR. Worst drawdown: DEFR -3.9% vs SCHD -33.4%.
Should I hold both DEFR and SCHD?
DEFR and SCHD have a monthly-return correlation of 0.32, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between DEFR and SCHD?
DEFR and SCHD share 0 common holdings with a 0.0% weight overlap. Combined, they hold 101 unique securities.
Which pays a higher dividend, DEFR or SCHD?
DEFR yields 0.00% while SCHD yields 3.31%, so SCHD currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.