FDMO vs SCHD
Fidelity Momentum Factor ETF vs Schwab US Dividend Equity ETF
Which is better, FDMO or SCHD?
Large Cap Growth against Large Cap Value.
SCHD has a lower expense ratio. FDMO led over 3Y, 5Y and the full window, SCHD over 1Y. FDMO is less concentrated, with 38.6% of the fund in its ten largest positions against 41.6%.
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 | FDMO | SCHD |
|---|---|---|
| Expense Ratio | 0.15% | 0.06%Best |
| AUM | $870M | $111.6B |
| Dividend Yield | 0.62% | 3.24% |
| Holdings | 270 | 206 |
| YTD Return | +11.23% | +24.55%Best |
| 1Y Return | +14.39% | +29.85%Best |
| 3Y Return (annualized) | +26.36%Best | +16.64% |
| 5Y Return (annualized) | +14.12%Best | +9.54% |
| Volatility (annualized) | 16.4% | 15.4%Best |
| Max Drawdown | -34.2% | -33.4%Best |
| $10,000 over 5 years | $19,356Best | $15,771 |
| Top 10 Weight | 38.6%Best | 41.6% |
| Fund Family | Fidelity Investments (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Value |
| Inception | Sep 12, 2016 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Sep 15, 2016 to Oct 14, 2026 (10.1 years).
FDMO 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 10.1 years both funds cover.
FDMO vs SCHD Performance
Fidelity Momentum Factor ETF (FDMO) is an ETF from Fidelity Investments (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year FDMO returned +14.39% while SCHD returned +29.85%. Year to date, FDMO is up 11.23% versus a gain of 24.55% for SCHD.
Over three years, FDMO compounded at +26.36% per year against +16.64% for SCHD; over five years the annualized figures are +14.12% and +9.54% respectively. Across the full 10-year window we track, FDMO has the edge at +14.46% annualized vs +11.31%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FDMO has been the more volatile fund, with annualized monthly volatility of 16.4% compared with 15.4% for SCHD. 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 -34.2% for FDMO 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 0.69. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FDMO charges 0.15% per year while SCHD charges 0.06%. On a $10,000 position that is $15 vs $6 annually, a gap of $9 per year that compounds over a long holding period. On income, FDMO currently yields 0.62% against 3.24% for SCHD.
Holdings Overlap
5.2% of FDMO's money is in holdings SCHD also owns. 27.0% of SCHD's money is in holdings FDMO also owns.
SCHD and FDMO share little of their money.
8 positions in common, counted across the 133 positions we hold weights for in FDMO and 98 in SCHD, against full books of 270 and 206.
What only one of them owns
Our book lists 89 positions for SCHD that do not appear in our book for FDMO (72.7% of the fund), and 121 for FDMO that do not appear in SCHD (93.8%).
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
| Stock | Weight in FDMO | Weight in SCHD | Difference |
|---|---|---|---|
| MRKMerck & Company Inc | 1.00% | 4.04% | 3.04% |
| CVXChevron Corp | 0.71% | 4.14% | 3.43% |
| UNHUnitedhealth Group Incorporated | 0.88% | 3.95% | 3.07% |
| KOCoca Cola Co. | 0.65% | 4.12% | 3.47% |
| AMGNAmgen Inc. | 0.75% | 3.86% | 3.11% |
| VZVerizon Communic | 0.72% | 3.88% | 3.16% |
| TGTTARGET CORP | 0.31% | 1.82% | 1.51% |
| FFord Motor Co | 0.20% | 1.22% | 1.02% |
27.0% of SCHD is already inside FDMO.
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, FDMO or SCHD?
FDMO has an expense ratio of 0.15% while SCHD charges 0.06%. SCHD is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, FDMO or SCHD?
Over the past year FDMO returned +14.39% vs +29.85% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (10 years), FDMO annualized +14.46% vs +11.31% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FDMO or SCHD?
FDMO has been the more volatile fund at 16.4% annualized versus 15.4% for SCHD. Worst drawdown: FDMO -34.2% vs SCHD -33.4%.
Should I hold both FDMO and SCHD?
FDMO and SCHD have a monthly-return correlation of 0.69, 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 FDMO and SCHD?
27.0% of SCHD's money is in holdings FDMO also owns. 27.0% of SCHD's is in holdings FDMO also owns. They hold 8 positions in common, counted across the 133 positions we hold weights for in FDMO and 98 in SCHD.
Which pays a higher dividend, FDMO or SCHD?
FDMO yields 0.62% while SCHD yields 3.24%, so SCHD currently pays the higher dividend yield.
Is SCHD better than FDMO?
SCHD has a lower expense ratio. FDMO led over 3Y, 5Y and the full window, SCHD over 1Y. FDMO is less concentrated, with 38.6% of the fund in its ten largest positions against 41.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.