FDV vs SCHD
Federated Hermes US Strategic Dividend ETF vs Schwab US Dividend Equity ETF
Which is better, FDV or SCHD?
Each has led over a different period.
SCHD has a lower expense ratio. FDV led over 3Y, SCHD over 1Y and the full window. The two have moved almost in lockstep, correlation 0.93. FDV is less concentrated, with 33.5% 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 | FDV | SCHD |
|---|---|---|
| Expense Ratio | 0.50% | 0.06%Best |
| AUM | $909M | $112.1B |
| Dividend Yield | 2.70% | 3.00% |
| Holdings | 50 | 103 |
| YTD Return | +15.49% | +23.46%Best |
| 1Y Return | +17.62% | +27.20%Best |
| 3Y Return (annualized) | +15.49%Best | +15.41% |
| 5Y Return (annualized) | - | +10.16% |
| Volatility (annualized) | 12.2%Best | 13.3% |
| Max Drawdown | -16.7% | -16.1%Best |
| $10,000 over 3.8 years | $14,604 | $15,149Best |
| Top 10 Weight | 33.5%Best | 41.8% |
| Fund Family | Federated Hermes Funds | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Nov 15, 2022 | Oct 20, 2011 |
Volatility and max drawdown, and the $10,000 over 3.8 years row, are measured over the window both funds cover: Nov 16, 2022 to Sep 18, 2026 (3.8 years).
FDV 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 3.8 years both funds cover.
FDV vs SCHD Performance
Federated Hermes US Strategic Dividend ETF (FDV) is an ETF from Federated Hermes Funds and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year FDV returned +17.62% while SCHD returned +27.20%. Year to date, FDV is up 15.49% versus a gain of 23.46% for SCHD.
Over three years, FDV compounded at +15.49% per year against +15.41% for SCHD. Across the full 4-year window we track, SCHD has the edge at +11.55% annualized vs +10.48%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.3% compared with 12.2% for FDV. 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 -16.7% for FDV 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 0.93. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
FDV 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, FDV currently yields 2.70% against 3.00% for SCHD.
Holdings Overlap
38.1% of FDV's money is in holdings SCHD also owns. 45.9% of SCHD's money is in holdings FDV also owns.
The two portfolios partly overlap.
19 positions in common, counted across the 51 positions we hold weights for in FDV and 100 in SCHD, against full books of 50 and 103.
What only one of them owns
Our book lists 80 positions for SCHD that do not appear in our book for FDV (54.0% of the fund), and 30 for FDV that do not appear in SCHD (58.1%).
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 FDV | Weight in SCHD | Difference |
|---|---|---|---|
| AMGNAmgen Inc. | 3.11% | 4.70% | 1.59% |
| CVXChevron Corp | 3.52% | 4.02% | 0.50% |
| PEPPepsico Inc. | 3.29% | 3.64% | 0.35% |
| ABTAbbott Laboratories | 1.41% | 4.69% | 3.28% |
| MRKMerck & Company Inc | 1.30% | 4.77% | 3.47% |
| VZVerizon Communic | 1.99% | 3.97% | 1.98% |
| PAYXPaychex, Inc. | 4.72% | 1.00% | 3.72% |
| COPConocophillips Common Stock USD 0.01 | 1.53% | 3.94% | 2.41% |
| KOCoca Cola Co. | 1.17% | 4.17% | 3.00% |
| ADPAutomatic Data Processing, Inc. | 1.90% | 2.79% | 0.89% |
45.9% of SCHD is already inside FDV.
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, FDV or SCHD?
FDV 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, FDV or SCHD?
Over the past year FDV returned +17.62% vs +27.20% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (4 years), FDV annualized +10.48% vs +11.55% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FDV or SCHD?
SCHD has been the more volatile fund at 13.3% annualized versus 12.2% for FDV. Worst drawdown: FDV -16.7% vs SCHD -16.1%.
Should I hold both FDV and SCHD?
FDV and SCHD have a monthly-return correlation of 0.93, 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 FDV and SCHD?
45.9% of SCHD's money is in holdings FDV also owns. 45.9% of SCHD's is in holdings FDV also owns. They hold 19 positions in common, counted across the 51 positions we hold weights for in FDV and 100 in SCHD.
Which pays a higher dividend, FDV or SCHD?
FDV yields 2.70% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than FDV?
SCHD has a lower expense ratio. FDV led over 3Y, SCHD over 1Y and the full window. The two have moved almost in lockstep, correlation 0.93. FDV is less concentrated, with 33.5% 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.