FAAA vs SCHD
Fidelity AAA CLO ETF vs Schwab US Dividend Equity ETF
Which is better, FAAA or SCHD?
SCHD costs less.
SCHD has a lower expense ratio.
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 | FAAA | SCHD |
|---|---|---|
| Expense Ratio | 0.20% | 0.06%Best |
| AUM | $284M | $124.4B |
| Dividend Yield | 3.38% | 2.96% |
| Holdings | 228 | 102 |
| YTD Return | +3.73% | +33.46%Best |
| 1Y Return | - | +37.35% |
| 3Y Return (annualized) | - | +19.54% |
| 5Y Return (annualized) | - | +10.35% |
| Fund Family | Fidelity Investments (US) | Charles Schwab Asset Management |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Value |
| Inception | Feb 11, 2026 | Oct 20, 2011 |
Not shown on this pair: Volatility (annualized), Max Drawdown, $10,000 over the window, Top 10 Weight.
FAAA 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
FAAA vs SCHD Performance
Fidelity AAA CLO ETF (FAAA) is an ETF from Fidelity Investments (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Year to date, FAAA is up 3.73% versus a gain of 33.46% for SCHD.
Past performance does not guarantee future results.
Fees and Cost Over Time
FAAA charges 0.20% per year while SCHD charges 0.06%. On a $10,000 position that is $20 vs $6 annually, a gap of $14 per year that compounds over a long holding period. On income, FAAA currently yields 3.38% against 2.96% for SCHD.
Holdings Overlap
At least 0.7% of SCHD's money is in holdings FAAA also owns.
Stated as a floor: for FAAA, our book for it covers 19.7% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
1 positions in common, counted across the 43 positions we hold weights for in FAAA and 98 in SCHD, against full books of 228 and 102.
Top Shared Holdings
| Stock | Weight in FAAA | Weight in SCHD | Difference |
|---|---|---|---|
| ARESARES CLO LTD ARES 2013 2AR AR4 144A 4.8825 10/28/2034 | 1.40% | 0.70% | 0.70% |
You are not choosing between two funds in isolation.
Whichever of FAAA 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, FAAA or SCHD?
FAAA has an expense ratio of 0.20% while SCHD charges 0.06%. SCHD is the cheaper option, by $14 a year on a $10,000 investment.
Which pays a higher dividend, FAAA or SCHD?
FAAA yields 3.38% while SCHD yields 2.96%, so FAAA currently pays the higher dividend yield.
Is SCHD better than FAAA?
SCHD has a lower expense ratio. Which one suits a particular account depends on what it is for. This is information, not a recommendation.