FDIV vs SCHD

FDIV vs SCHD
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Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. FDIV offers more diversification with 113 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: FDIV

Side-by-Side Comparison

MetricFDIVSCHDWinner
Expense Ratio0.35%0.06%
AUM$59M$108.7B
Dividend Yield2.38%3.13%
Holdings113104
YTD Return+6.74%+26.54%
1Y Return+8.64%+30.90%
3Y Return (annualized)+7.99%+16.29%
5Y Return (annualized)-+9.65%
Volatility (annualized)12.0%13.6%
Max Drawdown-18.6%-33.4%
Fund FamilyMarketDesk IndicesCharles Schwab Asset Management
CategoryEquityEquity
InceptionSep 19, 2023Oct 20, 2011

FDIV vs SCHD Performance

MarketDesk Focused US Dividend ETF (FDIV) is a ETF from MarketDesk Indices and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year FDIV returned +8.64% while SCHD returned +30.90%. Year to date, FDIV is up 6.74% versus a gain of 26.54% for SCHD.

Over three years, FDIV compounded at +7.99% per year against +16.29% for SCHD. Across the full 3-year window we track, SCHD has the edge at +11.51% annualized vs +7.99%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 12.0% for FDIV. 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 -18.6% for FDIV and -33.4% for SCHD. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.86. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FDIV charges 0.35% per year while SCHD charges 0.06%. On a $10,000 position that is $35 vs $6 annually, a gap of $29 per year that compounds over a long holding period. On income, FDIV currently yields 2.38% against 3.13% for SCHD.

Holdings Overlap

22.9%overlap

FDIV and SCHD share 19 holdings out of 192 unique holdings combined, representing a 22.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FDIVWeight in SCHDDifference
HD3.16%4.32%1.16%
KO3.18%4.20%1.02%
UNH3.01%4.11%1.10%
PGProProPro
CVXProProPro
ABTProProPro
COPProProPro
LMTProProPro
EOGProProPro
FASTProProPro
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Frequently Asked Questions

Which is cheaper, FDIV or SCHD?

FDIV has an expense ratio of 0.35% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $29 per year of difference.

Which performed better, FDIV or SCHD?

Over the past year FDIV returned +8.64% vs +30.90% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (3 years), FDIV annualized +7.99% vs +11.51% for SCHD. Past performance does not guarantee future results.

Which is riskier, FDIV or SCHD?

SCHD has been the more volatile fund at 13.6% annualized versus 12.0% for FDIV. Worst drawdown: FDIV -18.6% vs SCHD -33.4%.

Should I hold both FDIV and SCHD?

FDIV and SCHD have a monthly-return correlation of 0.86, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FDIV and SCHD?

FDIV and SCHD share 19 common holdings with a 22.9% weight overlap. Combined, they hold 192 unique securities.

Which pays a higher dividend, FDIV or SCHD?

FDIV yields 2.38% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.

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