DFNL vs SCHD
Davis Select Financial ETF vs Schwab US Dividend Equity ETF
Which is better, DFNL or SCHD?
Each has led over a different period.
SCHD has a lower expense ratio. DFNL led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.5% of the fund in its ten largest positions against 57.1%.
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 | DFNL | SCHD |
|---|---|---|
| Expense Ratio | 0.61% | 0.06%Best |
| AUM | $486M | $112.2B |
| Dividend Yield | 1.29% | 3.13% |
| Holdings | 31 | 103 |
| YTD Return | +7.68% | +27.56%Best |
| 1Y Return | +15.16% | +30.29%Best |
| 3Y Return (annualized) | +24.97%Best | +16.37% |
| 5Y Return (annualized) | +13.54%Best | +10.23% |
| Volatility (annualized) | 19.8% | 15.5%Best |
| Max Drawdown | -44.5% | -33.4%Best |
| $10,000 over 5 years | $18,869Best | $16,274 |
| Top 10 Weight | 57.1% | 41.5%Best |
| Fund Family | Davis ETFs | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Jan 11, 2017 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Jan 12, 2017 to Sep 4, 2026 (9.6 years).
DFNL 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 9.6 years both funds cover.
DFNL vs SCHD Performance
Davis Select Financial ETF (DFNL) is an ETF from Davis ETFs and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year DFNL returned +15.16% while SCHD returned +30.29%. Year to date, DFNL is up 7.68% versus a gain of 27.56% for SCHD.
Over three years, DFNL compounded at +24.97% per year against +16.37% for SCHD; over five years the annualized figures are +13.54% and +10.23% respectively. Across the full 10-year window we track, DFNL has the edge at +12.36% annualized vs +11.72%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
DFNL has been the more volatile fund, with annualized monthly volatility of 19.8% compared with 15.5% 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 -44.5% for DFNL 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 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
DFNL charges 0.61% per year while SCHD charges 0.06%. On a $10,000 position that is $61 vs $6 annually, a gap of $55 per year that compounds over a long holding period. On income, DFNL currently yields 1.29% against 3.13% for SCHD.
Holdings Overlap
6.0% of DFNL's money is in holdings SCHD also owns. 1.3% of SCHD's money is in holdings DFNL also owns.
DFNL and SCHD share little of their money.
1 positions in common, counted across the 31 positions we hold weights for in DFNL and 100 in SCHD, against full books of 31 and 103.
What only one of them owns
Our book lists 98 positions for SCHD that do not appear in our book for DFNL (98.6% of the fund), and 22 for DFNL that do not appear in SCHD (78.0%).
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.
Top Shared Holdings
| Stock | Weight in DFNL | Weight in SCHD | Difference |
|---|---|---|---|
| FITBFifth Third Bancorp | 6.04% | 1.30% | 4.74% |
You are not choosing between two funds in isolation.
Whichever of DFNL 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, DFNL or SCHD?
DFNL has an expense ratio of 0.61% while SCHD charges 0.06%. SCHD is the cheaper option, by $55 a year on a $10,000 investment.
Which performed better, DFNL or SCHD?
Over the past year DFNL returned +15.16% vs +30.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (10 years), DFNL annualized +12.36% vs +11.72% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DFNL or SCHD?
DFNL has been the more volatile fund at 19.8% annualized versus 15.5% for SCHD. Worst drawdown: DFNL -44.5% vs SCHD -33.4%.
Should I hold both DFNL and SCHD?
DFNL and SCHD have a monthly-return correlation of 0.83, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between DFNL and SCHD?
6.0% of DFNL's money is in holdings SCHD also owns. 1.3% of SCHD's is in holdings DFNL also owns. They hold 1 positions in common, counted across the 31 positions we hold weights for in DFNL and 100 in SCHD.
Which pays a higher dividend, DFNL or SCHD?
DFNL yields 1.29% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.
Is SCHD better than DFNL?
SCHD has a lower expense ratio. DFNL led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.5% of the fund in its ten largest positions against 57.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.