DFAE vs SCHD
Dimensional Emerging Core Equity Market ETF vs Schwab US Dividend Equity ETF
Which is better, DFAE or SCHD?
Large Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. DFAE led over 1Y and 3Y, SCHD over 5Y 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 | DFAE | SCHD |
|---|---|---|
| Expense Ratio | 0.29% | 0.06%Best |
| AUM | $10.1B | $112.2B |
| Dividend Yield | 1.84% | 3.13% |
| Holdings | 6,482 | 103 |
| YTD Return | +22.34% | +26.13%Best |
| 1Y Return | +35.29%Best | +30.01% |
| 3Y Return (annualized) | +22.82%Best | +16.09% |
| 5Y Return (annualized) | +9.90% | +9.95%Best |
| Volatility (annualized) | 16.1% | 14.6%Best |
| Max Drawdown | -32.2% | -16.9%Best |
| $10,000 over 5 years | $16,032 | $16,069Best |
| Fund Family | Dimensional | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Dec 1, 2020 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Dec 2, 2020 to Sep 8, 2026 (5.8 years).
DFAE 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 5.8 years both funds cover.
DFAE vs SCHD Performance
Dimensional Emerging Core Equity Market ETF (DFAE) is an ETF from Dimensional and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year DFAE returned +35.29% while SCHD returned +30.01%. Year to date, DFAE is up 22.34% versus a gain of 26.13% for SCHD.
Over three years, DFAE compounded at +22.82% per year against +16.09% for SCHD; over five years the annualized figures are +9.90% and +9.95% respectively. Across the full 6-year window we track, SCHD has the edge at +12.36% annualized vs +10.63%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
DFAE has been the more volatile fund, with annualized monthly volatility of 16.1% compared with 14.6% 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 -32.2% for DFAE and -16.9% 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 0.52. They move together some of the time, and apart the rest.
Fees and Cost Over Time
DFAE charges 0.29% per year while SCHD charges 0.06%. On a $10,000 position that is $29 vs $6 annually, a gap of $23 per year that compounds over a long holding period. On income, DFAE currently yields 1.84% against 3.13% for SCHD.
Holdings Overlap
We hold position weights for 6,067 holdings in DFAE and 100 in SCHD, totalling 93.2% 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 6,067 positions we hold weights for in DFAE and 100 in SCHD, against full books of 6,482 and 103.
You are not choosing between two funds in isolation.
Whichever of DFAE 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, DFAE or SCHD?
DFAE has an expense ratio of 0.29% while SCHD charges 0.06%. SCHD is the cheaper option, by $23 a year on a $10,000 investment.
Which performed better, DFAE or SCHD?
Over the past year DFAE returned +35.29% vs +30.01% for SCHD, so DFAE leads on 1-year performance. Over the longest common window we track (6 years), DFAE annualized +10.63% vs +12.36% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DFAE or SCHD?
DFAE has been the more volatile fund at 16.1% annualized versus 14.6% for SCHD. Worst drawdown: DFAE -32.2% vs SCHD -16.9%.
Should I hold both DFAE and SCHD?
DFAE and SCHD have a monthly-return correlation of 0.52, 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, DFAE or SCHD?
DFAE yields 1.84% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.
Is SCHD better than DFAE?
SCHD has a lower expense ratio. DFAE led over 1Y and 3Y, SCHD over 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.