DGRO vs SCHD

DGRO vs SCHD

Which is better, DGRO or SCHD?

Nearly the same fund. SCHD costs less.

SCHD has a lower expense ratio. DGRO led over 3Y, 5Y and the full window, SCHD over 1Y. The two have moved almost in lockstep, correlation 0.95. DGRO is less concentrated, with 27.4% of the fund in its ten largest positions against 41.8%.

Lower Fees: SCHDHigher Returns: splitLess Concentrated: DGRO

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

MetricDGROSCHD
Expense Ratio0.08%0.06%Best
AUM$43.4B$112.1B
Dividend Yield1.87%3.00%
Holdings397103
YTD Return+10.69%+21.00%Best
1Y Return+14.82%+25.08%Best
3Y Return (annualized)+18.01%Best+15.72%
5Y Return (annualized)+10.96%Best+9.37%
Volatility (annualized)13.7%Best14.6%
Max Drawdown-35.1%-33.4%Best
$10,000 over 5 years$16,820Best$15,649
Top 10 Weight27.4%Best41.8%
Fund FamilyiShares by BlackRock (US)Charles Schwab Asset Management
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Value
InceptionJun 10, 2014Oct 20, 2011

Volatility and max drawdown are measured over the window both funds cover: Jun 12, 2014 to Sep 28, 2026 (12.3 years).

DGRO 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 12.3 years both funds cover.

DGRO vs SCHD Performance

iShares Core Dividend Growth ETF (DGRO) is an ETF from iShares by BlackRock (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year DGRO returned +14.82% while SCHD returned +25.08%. Year to date, DGRO is up 10.69% versus a gain of 21.00% for SCHD.

Over three years, DGRO compounded at +18.01% per year against +15.72% for SCHD; over five years the annualized figures are +10.96% and +9.37% respectively. Across the full 12-year window we track, DGRO has the edge at +10.76% annualized vs +9.82%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 13.7% for DGRO. 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 -35.1% for DGRO 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

DGRO charges 0.08% per year while SCHD charges 0.06%. On a $10,000 position that is $8 vs $6 annually, a gap of $2 per year that compounds over a long holding period. On income, DGRO currently yields 1.87% against 3.00% for SCHD.

Holdings Overlap

DGRO already in SCHD19.8%
SCHD already in DGRO56.2%

19.8% of DGRO's money is in holdings SCHD also owns. 56.2% of SCHD's money is in holdings DGRO also owns.

The two portfolios partly overlap.

30 positions in common, counted across the 381 positions we hold weights for in DGRO and 100 in SCHD, against full books of 397 and 103.

What only one of them owns

Our book lists 69 positions for SCHD that do not appear in our book for DGRO (43.7% of the fund), and 337 for DGRO that do not appear in SCHD (78.1%).

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

StockWeight in DGROWeight in SCHDDifference
MRKMerck & Company Inc2.15%4.77%2.62%
KOCoca Cola Co.1.96%4.17%2.21%
AMGNAmgen Inc.1.43%4.70%3.27%
PGProcter & Gamble Company2.15%3.83%1.68%
HDHome Depot Inc/The2.09%3.88%1.79%
ABTAbbott Laboratories1.14%4.69%3.55%
UNHUnitedhealth Group Incorporated1.63%3.82%2.19%
PEPPepsico Inc.1.65%3.64%1.99%
COPConocophillips Common Stock USD 0.010.97%3.94%2.97%
ADPAutomatic Data Processing, Inc.0.73%2.79%2.06%

56.2% of SCHD is already inside DGRO.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

DGROSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, DGRO or SCHD?

DGRO has an expense ratio of 0.08% while SCHD charges 0.06%. SCHD is the cheaper option, by $2 a year on a $10,000 investment.

Which performed better, DGRO or SCHD?

Over the past year DGRO returned +14.82% vs +25.08% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (12 years), DGRO annualized +10.76% vs +9.82% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, DGRO or SCHD?

SCHD has been the more volatile fund at 14.6% annualized versus 13.7% for DGRO. Worst drawdown: DGRO -35.1% vs SCHD -33.4%.

Should I hold both DGRO and SCHD?

DGRO and SCHD have a monthly-return correlation of 0.95, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between DGRO and SCHD?

56.2% of SCHD's money is in holdings DGRO also owns. 56.2% of SCHD's is in holdings DGRO also owns. They hold 30 positions in common, counted across the 381 positions we hold weights for in DGRO and 100 in SCHD.

Which pays a higher dividend, DGRO or SCHD?

DGRO yields 1.87% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.

Is SCHD better than DGRO?

SCHD has a lower expense ratio. DGRO led over 3Y, 5Y and the full window, SCHD over 1Y. The two have moved almost in lockstep, correlation 0.95. DGRO is less concentrated, with 27.4% of the fund in its ten largest positions against 41.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.