FFSM vs SCHD
Fidelity Fundamental Small-Mid Cap ETF vs Schwab US Dividend Equity ETF
Which is better, FFSM or SCHD?
Mid Cap Growth against Large Cap Value.
SCHD has a lower expense ratio. FFSM led over 3Y, SCHD over 1Y, 5Y and the full window. FFSM is less concentrated, with 14.0% 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 | FFSM | SCHD |
|---|---|---|
| Expense Ratio | 0.43% | 0.06%Best |
| AUM | $1.5B | $112.1B |
| Dividend Yield | 0.44% | 3.00% |
| Holdings | 222 | 103 |
| YTD Return | +10.65% | +21.73%Best |
| 1Y Return | +19.94% | +26.35%Best |
| 3Y Return (annualized) | +18.96%Best | +16.02% |
| 5Y Return (annualized) | +8.23% | +9.26%Best |
| Volatility (annualized) | 18.8% | 14.8%Best |
| Max Drawdown | -26.6% | -16.9%Best |
| $10,000 over 5 years | $14,850 | $15,571Best |
| Top 10 Weight | 14.0%Best | 41.8% |
| Fund Family | Fidelity Investments (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Value |
| Inception | Feb 2, 2021 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Feb 4, 2021 to Sep 25, 2026 (5.6 years).
FFSM 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 5.6 years both funds cover.
FFSM vs SCHD Performance
Fidelity Fundamental Small-Mid Cap ETF (FFSM) 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 FFSM returned +19.94% while SCHD returned +26.35%. Year to date, FFSM is up 10.65% versus a gain of 21.73% for SCHD.
Over three years, FFSM compounded at +18.96% per year against +16.02% for SCHD; over five years the annualized figures are +8.23% and +9.26% respectively. Across the full 6-year window we track, SCHD has the edge at +11.40% annualized vs +10.24%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FFSM has been the more volatile fund, with annualized monthly volatility of 18.8% compared with 14.8% 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 -26.6% for FFSM and -16.9% 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 0.78. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FFSM charges 0.43% per year while SCHD charges 0.06%. On a $10,000 position that is $43 vs $6 annually, a gap of $37 per year that compounds over a long holding period. On income, FFSM currently yields 0.44% against 3.00% for SCHD.
Holdings Overlap
2.0% of FFSM's money is in holdings SCHD also owns. 0.8% of SCHD's money is in holdings FFSM also owns.
FFSM and SCHD share little of their money.
3 positions in common, counted across the 213 positions we hold weights for in FFSM and 100 in SCHD, against full books of 222 and 103.
What only one of them owns
Our book lists 96 positions for SCHD that do not appear in our book for FFSM (99.1% of the fund), and 189 for FFSM that do not appear in SCHD (92.4%).
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.
You are not choosing between two funds in isolation.
Whichever of FFSM 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, FFSM or SCHD?
FFSM has an expense ratio of 0.43% while SCHD charges 0.06%. SCHD is the cheaper option, by $37 a year on a $10,000 investment.
Which performed better, FFSM or SCHD?
Over the past year FFSM returned +19.94% vs +26.35% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (6 years), FFSM annualized +10.24% vs +11.40% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FFSM or SCHD?
FFSM has been the more volatile fund at 18.8% annualized versus 14.8% for SCHD. Worst drawdown: FFSM -26.6% vs SCHD -16.9%.
Should I hold both FFSM and SCHD?
FFSM and SCHD have a monthly-return correlation of 0.78, 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 FFSM and SCHD?
2.0% of FFSM's money is in holdings SCHD also owns. 0.8% of SCHD's is in holdings FFSM also owns. They hold 3 positions in common, counted across the 213 positions we hold weights for in FFSM and 100 in SCHD.
Which pays a higher dividend, FFSM or SCHD?
FFSM yields 0.44% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than FFSM?
SCHD has a lower expense ratio. FFSM led over 3Y, SCHD over 1Y, 5Y and the full window. FFSM is less concentrated, with 14.0% 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.