ESN vs SCHD
Essential 40 Stock ETF vs Schwab US Dividend Equity ETF
Which is better, ESN or SCHD?
Each has led over a different period.
SCHD has a lower expense ratio. ESN led over the full window, SCHD over 1Y. ESN is less concentrated, with 32.6% of the fund in its ten largest positions against 41.8%.
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 | ESN | SCHD |
|---|---|---|
| Expense Ratio | 0.70% | 0.06%Best |
| AUM | $339M | $112.1B |
| Dividend Yield | 0.76% | 3.00% |
| Holdings | 44 | 103 |
| YTD Return | +20.27% | +23.60%Best |
| 1Y Return | +22.82% | +28.29%Best |
| 3Y Return (annualized) | - | +16.25% |
| 5Y Return (annualized) | - | +10.25% |
| Volatility (annualized) | 10.6%Best | 14.2% |
| Max Drawdown | -13.6%Best | -16.1% |
| $10,000 over 1.9 years | $13,706Best | $12,603 |
| Top 10 Weight | 32.6%Best | 41.8% |
| Fund Family | KKM Financial | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Jun 11, 2024 | Oct 20, 2011 |
Volatility and max drawdown, and the $10,000 over 1.9 years row, are measured over the window both funds cover: Oct 21, 2024 to Sep 21, 2026 (1.9 years).
ESN 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 1.9 years both funds cover.
ESN vs SCHD Performance
Essential 40 Stock ETF (ESN) is an ETF from KKM Financial and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year ESN returned +22.82% while SCHD returned +28.29%. Year to date, ESN is up 20.27% versus a gain of 23.60% for SCHD.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 14.2% compared with 10.6% for ESN. 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 -13.6% for ESN and -16.1% 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 0.71. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ESN charges 0.70% per year while SCHD charges 0.06%. On a $10,000 position that is $70 vs $6 annually, a gap of $64 per year that compounds over a long holding period. On income, ESN currently yields 0.76% against 3.00% for SCHD.
Holdings Overlap
13.6% of ESN's money is in holdings SCHD also owns. 18.6% of SCHD's money is in holdings ESN also owns.
SCHD and ESN share little of their money.
6 positions in common, counted across the 41 positions we hold weights for in ESN and 100 in SCHD, against full books of 44 and 103.
What only one of them owns
Our book lists 93 positions for SCHD that do not appear in our book for ESN (81.4% of the fund), and 33 for ESN that do not appear in SCHD (81.3%).
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.
You are not choosing between two funds in isolation.
Whichever of ESN 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, ESN or SCHD?
ESN has an expense ratio of 0.70% while SCHD charges 0.06%. SCHD is the cheaper option, by $64 a year on a $10,000 investment.
Which performed better, ESN or SCHD?
Over the past year ESN returned +22.82% vs +28.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), ESN annualized +18.05% vs +12.95% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ESN or SCHD?
SCHD has been the more volatile fund at 14.2% annualized versus 10.6% for ESN. Worst drawdown: ESN -13.6% vs SCHD -16.1%.
Should I hold both ESN and SCHD?
ESN and SCHD have a monthly-return correlation of 0.71, 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 ESN and SCHD?
18.6% of SCHD's money is in holdings ESN also owns. 18.6% of SCHD's is in holdings ESN also owns. They hold 6 positions in common, counted across the 41 positions we hold weights for in ESN and 100 in SCHD.
Which pays a higher dividend, ESN or SCHD?
ESN yields 0.76% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than ESN?
SCHD has a lower expense ratio. ESN led over the full window, SCHD over 1Y. ESN is less concentrated, with 32.6% 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.