DFII 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

MetricDFIISCHDWinner
Expense Ratio0.85%0.06%
AUM$17M$103.7B
Dividend Yield25.66%3.31%
Holdings7104
YTD Return-27.47%+24.26%
1Y Return-44.00%+31.38%
3Y Return (annualized)-+15.08%
5Y Return (annualized)-+9.72%
Volatility (annualized)34.6%13.6%
Max Drawdown-51.0%-33.4%
Fund FamilyFirst Trust Portfolios (US)Charles Schwab Asset Management
CategoryAlternativeEquity
InceptionApr 2, 2025Oct 20, 2011

DFII vs SCHD Performance

FT Vest Bitcoin Strategy & Target Income ETF (DFII) is a ETF from First Trust Portfolios (US) and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year DFII returned -44.00% while SCHD returned +31.38%. Year to date, DFII is down 27.47% versus a gain of 24.26% for SCHD.

Risk: Volatility and Drawdowns

DFII has been the more volatile fund, with annualized monthly volatility of 34.6% 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 -51.0% for DFII 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 -0.13. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

DFII charges 0.85% per year while SCHD charges 0.06%. On a $10,000 position that is $85 vs $6 annually, a gap of $79 per year that compounds over a long holding period. On income, DFII currently yields 25.66% against 3.31% for SCHD.

Frequently Asked Questions

Which is cheaper, DFII or SCHD?

DFII has an expense ratio of 0.85% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $79 per year of difference.

Which performed better, DFII or SCHD?

Over the past year DFII returned -44.00% vs +31.38% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (1 years), DFII annualized -16.84% vs +11.39% for SCHD. Past performance does not guarantee future results.

Which is riskier, DFII or SCHD?

DFII has been the more volatile fund at 34.6% annualized versus 13.6% for SCHD. Worst drawdown: DFII -51.0% vs SCHD -33.4%.

Should I hold both DFII and SCHD?

DFII and SCHD have a monthly-return correlation of -0.13, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, DFII or SCHD?

DFII yields 25.66% while SCHD yields 3.31%, so DFII currently pays the higher dividend yield.

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