FNCL vs SCHD
Fidelity MSCI Financials Index ETF vs Schwab US Dividend Equity ETF
Which is better, FNCL or SCHD?
Each has led over a different period.
SCHD has a lower expense ratio. FNCL led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 48.4%.
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 | FNCL | SCHD |
|---|---|---|
| Expense Ratio | 0.08% | 0.06%Best |
| AUM | $2.4B | $112.1B |
| Dividend Yield | 1.53% | 3.00% |
| Holdings | 389 | 103 |
| YTD Return | +2.86% | +24.04%Best |
| 1Y Return | +5.99% | +27.95%Best |
| 3Y Return (annualized) | +19.61%Best | +15.51% |
| 5Y Return (annualized) | +10.15%Best | +9.80% |
| Volatility (annualized) | 18.6% | 14.3%Best |
| Max Drawdown | -45.0% | -33.4%Best |
| $10,000 over 5 years | $16,215Best | $15,959 |
| Top 10 Weight | 48.4% | 41.8%Best |
| Fund Family | Fidelity Investments (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Oct 21, 2013 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 24, 2013 to Sep 16, 2026 (12.9 years).
FNCL 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 12.9 years both funds cover.
FNCL vs SCHD Performance
Fidelity MSCI Financials Index ETF (FNCL) 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 FNCL returned +5.99% while SCHD returned +27.95%. Year to date, FNCL is up 2.86% versus a gain of 24.04% for SCHD.
Over three years, FNCL compounded at +19.61% per year against +15.51% for SCHD; over five years the annualized figures are +10.15% and +9.80% respectively. Across the full 13-year window we track, FNCL has the edge at +10.29% annualized vs +10.26%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FNCL has been the more volatile fund, with annualized monthly volatility of 18.6% compared with 14.3% 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 -45.0% for FNCL 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 0.81. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FNCL charges 0.08% per year while SCHD charges 0.06%. On a $10,000 position that is $8 vs $6 annually, a gap of $2 per year that compounds over a long holding period. On income, FNCL currently yields 1.53% against 3.00% for SCHD.
Holdings Overlap
4.4% of FNCL's money is in holdings SCHD also owns. 9.6% of SCHD's money is in holdings FNCL also owns.
SCHD and FNCL share little of their money.
37 positions in common, counted across the 369 positions we hold weights for in FNCL and 100 in SCHD, against full books of 389 and 103.
What only one of them owns
Our book lists 63 positions for SCHD that do not appear in our book for FNCL (90.4% of the fund), and 313 for FNCL that do not appear in SCHD (93.0%).
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 FNCL | Weight in SCHD | Difference |
|---|---|---|---|
| BXBlackstone Group Inc. Class A | 1.17% | 2.59% | 1.42% |
| FITBFifth Third Bancorp | 0.54% | 1.19% | 0.65% |
| ARESAres Management Corp A | 0.33% | 0.74% | 0.41% |
| CINFCincinnati Financial Corp. | 0.29% | 0.64% | 0.35% |
| RFRegions Financial Corp. | 0.28% | 0.62% | 0.34% |
| TROWT Rowe Price Grp | 0.26% | 0.58% | 0.32% |
| PFGPrincipalfinancialgroupinc. | 0.26% | 0.53% | 0.27% |
| EWBCEast West Bancorp, Inc. | 0.19% | 0.42% | 0.23% |
| FNFFidelity Nationa | 0.13% | 0.29% | 0.16% |
| AFGAmerican Financial Group Inc/Oh | 0.10% | 0.24% | 0.14% |
You are not choosing between two funds in isolation.
Whichever of FNCL 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, FNCL or SCHD?
FNCL has an expense ratio of 0.08% while SCHD charges 0.06%. SCHD is the cheaper option, by $2 a year on a $10,000 investment.
Which performed better, FNCL or SCHD?
Over the past year FNCL returned +5.99% vs +27.95% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (13 years), FNCL annualized +10.29% vs +10.26% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FNCL or SCHD?
FNCL has been the more volatile fund at 18.6% annualized versus 14.3% for SCHD. Worst drawdown: FNCL -45.0% vs SCHD -33.4%.
Should I hold both FNCL and SCHD?
FNCL and SCHD have a monthly-return correlation of 0.81, 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 FNCL and SCHD?
9.6% of SCHD's money is in holdings FNCL also owns. 9.6% of SCHD's is in holdings FNCL also owns. They hold 37 positions in common, counted across the 369 positions we hold weights for in FNCL and 100 in SCHD.
Which pays a higher dividend, FNCL or SCHD?
FNCL yields 1.53% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than FNCL?
SCHD has a lower expense ratio. FNCL led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 48.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.