FEX vs SCHD
First Trust Large Cap Core AlphaDEX Fund vs Schwab US Dividend Equity ETF
Which is better, FEX or SCHD?
Large Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. FEX led over 3Y, 5Y and the full window, SCHD over 1Y. FEX is less concentrated, with 5.4% of the fund in its ten largest positions against 41.5%.
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 | FEX | SCHD |
|---|---|---|
| Expense Ratio | 0.57% | 0.06%Best |
| AUM | $1.6B | $112.2B |
| Dividend Yield | 0.95% | 3.13% |
| Holdings | 752 | 103 |
| YTD Return | +15.60% | +27.56%Best |
| 1Y Return | +21.31% | +30.29%Best |
| 3Y Return (annualized) | +19.33%Best | +16.37% |
| 5Y Return (annualized) | +10.55%Best | +10.23% |
| Volatility (annualized) | 15.2% | 13.6%Best |
| Max Drawdown | -39.5% | -33.4%Best |
| $10,000 over 5 years | $16,512Best | $16,274 |
| Top 10 Weight | 5.4%Best | 41.5% |
| Fund Family | First Trust Portfolios (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | May 8, 2007 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 4, 2026 (14.9 years).
FEX 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 14.9 years both funds cover.
FEX vs SCHD Performance
First Trust Large Cap Core AlphaDEX Fund (FEX) is an ETF from First Trust Portfolios (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year FEX returned +21.31% while SCHD returned +30.29%. Year to date, FEX is up 15.60% versus a gain of 27.56% for SCHD.
Over three years, FEX compounded at +19.33% per year against +16.37% for SCHD; over five years the annualized figures are +10.55% and +10.23% respectively. Across the full 15-year window we track, FEX has the edge at +12.22% annualized vs +11.53%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FEX has been the more volatile fund, with annualized monthly volatility of 15.2% compared with 13.6% 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 -39.5% for FEX 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 0.89. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FEX charges 0.57% per year while SCHD charges 0.06%. On a $10,000 position that is $57 vs $6 annually, a gap of $51 per year that compounds over a long holding period. On income, FEX currently yields 0.95% against 3.13% for SCHD.
Holdings Overlap
9.4% of FEX's money is in holdings SCHD also owns. 76.1% of SCHD's money is in holdings FEX also owns.
Most of SCHD is already inside FEX. Owning both mostly buys the same companies twice.
35 positions in common, counted across the 369 positions we hold weights for in FEX and 100 in SCHD, against full books of 752 and 103.
What only one of them owns
Our book lists 64 positions for SCHD that do not appear in our book for FEX (23.8% of the fund), and 326 for FEX that do not appear in SCHD (87.0%).
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 FEX | Weight in SCHD | Difference |
|---|---|---|---|
| ABTAbbott Laboratories | 0.31% | 4.70% | 4.39% |
| AMGNAmgen Inc. | 0.10% | 4.62% | 4.52% |
| MRKMerck & Company Inc | 0.18% | 4.26% | 4.08% |
| HDHome Depot Inc/The | 0.09% | 4.32% | 4.23% |
| VZVerizon Communic | 0.48% | 3.84% | 3.36% |
| KOCoca Cola Co. | 0.09% | 4.20% | 4.11% |
| CVXChevron Corp | 0.40% | 3.74% | 3.34% |
| PGProcter & Gamble Company | 0.18% | 3.96% | 3.78% |
| COPConocophillips Common Stock USD 0.01 | 0.49% | 3.59% | 3.10% |
| PEPPepsico Inc. | 0.18% | 3.71% | 3.53% |
76.1% of SCHD is already inside FEX.
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, FEX or SCHD?
FEX has an expense ratio of 0.57% while SCHD charges 0.06%. SCHD is the cheaper option, by $51 a year on a $10,000 investment.
Which performed better, FEX or SCHD?
Over the past year FEX returned +21.31% vs +30.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), FEX annualized +12.22% vs +11.53% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FEX or SCHD?
FEX has been the more volatile fund at 15.2% annualized versus 13.6% for SCHD. Worst drawdown: FEX -39.5% vs SCHD -33.4%.
Should I hold both FEX and SCHD?
FEX and SCHD have a monthly-return correlation of 0.89, 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 FEX and SCHD?
76.1% of SCHD's money is in holdings FEX also owns. 76.1% of SCHD's is in holdings FEX also owns. They hold 35 positions in common, counted across the 369 positions we hold weights for in FEX and 100 in SCHD.
Which pays a higher dividend, FEX or SCHD?
FEX yields 0.95% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.
Is SCHD better than FEX?
SCHD has a lower expense ratio. FEX led over 3Y, 5Y and the full window, SCHD over 1Y. FEX is less concentrated, with 5.4% of the fund in its ten largest positions against 41.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.