EDOW vs SCHD
First Trust Dow 30 Equal Weight ETF vs Schwab US Dividend Equity ETF
Which is better, EDOW or SCHD?
Each has led over a different period.
SCHD has a lower expense ratio. EDOW led over 3Y, SCHD over 1Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.91. EDOW is less concentrated, with 36.4% of the fund in its ten largest positions against 41.5%.
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 | EDOW | SCHD |
|---|---|---|
| Expense Ratio | 0.50% | 0.06%Best |
| AUM | $328M | $112.2B |
| Dividend Yield | 1.24% | 3.13% |
| Holdings | 62 | 103 |
| YTD Return | +12.38% | +27.56%Best |
| 1Y Return | +18.28% | +30.29%Best |
| 3Y Return (annualized) | +17.07%Best | +16.37% |
| 5Y Return (annualized) | +10.18% | +10.23%Best |
| Volatility (annualized) | 15.4%Best | 15.9% |
| Max Drawdown | -33.7% | -33.4%Best |
| $10,000 over 5 years | $16,237 | $16,274Best |
| Top 10 Weight | 36.4%Best | 41.5% |
| Fund Family | First Trust Portfolios (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Aug 8, 2017 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Aug 9, 2017 to Sep 4, 2026 (9.1 years).
EDOW 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 9.1 years both funds cover.
EDOW vs SCHD Performance
First Trust Dow 30 Equal Weight ETF (EDOW) is an ETF from First Trust Portfolios (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year EDOW returned +18.28% while SCHD returned +30.29%. Year to date, EDOW is up 12.38% versus a gain of 27.56% for SCHD.
Over three years, EDOW compounded at +17.07% per year against +16.37% for SCHD; over five years the annualized figures are +10.18% and +10.23% respectively. Across the full 9-year window we track, SCHD has the edge at +11.81% annualized vs +10.89%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 15.9% compared with 15.4% for EDOW. 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 -33.7% for EDOW 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
EDOW charges 0.50% per year while SCHD charges 0.06%. On a $10,000 position that is $50 vs $6 annually, a gap of $44 per year that compounds over a long holding period. On income, EDOW currently yields 1.24% against 3.13% for SCHD.
Holdings Overlap
22.8% of EDOW's money is in holdings SCHD also owns. 29.2% of SCHD's money is in holdings EDOW also owns.
SCHD and EDOW share little of their money.
7 positions in common, counted across the 30 positions we hold weights for in EDOW and 100 in SCHD, against full books of 62 and 103.
What only one of them owns
Our book lists 92 positions for SCHD that do not appear in our book for EDOW (70.7% of the fund), and 23 for EDOW that do not appear in SCHD (77.0%).
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
29.2% of SCHD is already inside EDOW.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, EDOW or SCHD?
EDOW has an expense ratio of 0.50% while SCHD charges 0.06%. SCHD is the cheaper option, by $44 a year on a $10,000 investment.
Which performed better, EDOW or SCHD?
Over the past year EDOW returned +18.28% vs +30.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (9 years), EDOW annualized +10.89% vs +11.81% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, EDOW or SCHD?
SCHD has been the more volatile fund at 15.9% annualized versus 15.4% for EDOW. Worst drawdown: EDOW -33.7% vs SCHD -33.4%.
Should I hold both EDOW and SCHD?
EDOW and SCHD have a monthly-return correlation of 0.91, 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 EDOW and SCHD?
29.2% of SCHD's money is in holdings EDOW also owns. 29.2% of SCHD's is in holdings EDOW also owns. They hold 7 positions in common, counted across the 30 positions we hold weights for in EDOW and 100 in SCHD.
Which pays a higher dividend, EDOW or SCHD?
EDOW yields 1.24% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.
Is SCHD better than EDOW?
SCHD has a lower expense ratio. EDOW led over 3Y, SCHD over 1Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.91. EDOW is less concentrated, with 36.4% of the fund in its ten largest positions against 41.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.