FSCS vs SCHD
First Trust SMID Capital Strength ETF vs Schwab US Dividend Equity ETF
Which is better, FSCS or SCHD?
Mid Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. FSCS is less concentrated, with 11.8% 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 | FSCS | SCHD |
|---|---|---|
| Expense Ratio | 0.60% | 0.06%Best |
| AUM | $60M | $112.1B |
| Dividend Yield | 0.98% | 3.00% |
| Holdings | 202 | 103 |
| YTD Return | +2.22% | +23.60%Best |
| 1Y Return | +0.00% | +28.29%Best |
| 3Y Return (annualized) | +10.92% | +16.25%Best |
| 5Y Return (annualized) | +6.42% | +10.25%Best |
| Volatility (annualized) | 19.6% | 15.8%Best |
| Max Drawdown | -43.6% | -33.4%Best |
| $10,000 over 5 years | $13,649 | $16,289Best |
| Top 10 Weight | 11.8%Best | 41.8% |
| Fund Family | First Trust Portfolios (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Mid Cap Blend | Large Cap Value |
| Inception | Jun 20, 2017 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Jun 22, 2017 to Sep 21, 2026 (9.2 years).
FSCS 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 9.2 years both funds cover.
FSCS vs SCHD Performance
First Trust SMID Capital Strength ETF (FSCS) 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 FSCS returned +0.00% while SCHD returned +28.29%. Year to date, FSCS is up 2.22% versus a gain of 23.60% for SCHD.
Over three years, FSCS compounded at +10.92% per year against +16.25% for SCHD; over five years the annualized figures are +6.42% and +10.25% respectively. Across the full 9-year window we track, SCHD has the edge at +11.32% annualized vs +7.65%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FSCS has been the more volatile fund, with annualized monthly volatility of 19.6% compared with 15.8% 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 -43.6% for FSCS 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
FSCS charges 0.60% per year while SCHD charges 0.06%. On a $10,000 position that is $60 vs $6 annually, a gap of $54 per year that compounds over a long holding period. On income, FSCS currently yields 0.98% against 3.00% for SCHD.
Holdings Overlap
18.1% of FSCS's money is in holdings SCHD also owns. 5.9% of SCHD's money is in holdings FSCS also owns.
FSCS and SCHD share little of their money.
18 positions in common, counted across the 100 positions we hold weights for in FSCS and 100 in SCHD, against full books of 202 and 103.
What only one of them owns
Our book lists 82 positions for SCHD that do not appear in our book for FSCS (94.1% of the fund), and 78 for FSCS that do not appear in SCHD (78.0%).
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 FSCS | Weight in SCHD | Difference |
|---|---|---|---|
| KMBKimberly-Clark Corp. | 0.99% | 0.87% | 0.12% |
| BRBroadridge Financial Solutions, Inc. | 1.21% | 0.51% | 0.70% |
| DRIDarden Restaurants Inc. | 1.07% | 0.60% | 0.47% |
| HSYHershey Co. | 1.02% | 0.64% | 0.38% |
| CINFCincinnati Financial Corp. | 0.93% | 0.64% | 0.29% |
| TROWT Rowe Price Grp | 0.94% | 0.58% | 0.36% |
| SNASnap-On Inc. | 0.93% | 0.49% | 0.44% |
| EWBCEast West Bancorp, Inc. | 0.93% | 0.42% | 0.51% |
| AFGAmerican Financial Group Inc/Oh | 1.00% | 0.24% | 0.76% |
| ORIOld Republic International Corp | 0.98% | 0.23% | 0.75% |
You are not choosing between two funds in isolation.
Whichever of FSCS 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, FSCS or SCHD?
FSCS has an expense ratio of 0.60% while SCHD charges 0.06%. SCHD is the cheaper option, by $54 a year on a $10,000 investment.
Which performed better, FSCS or SCHD?
Over the past year FSCS returned +0.00% vs +28.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (9 years), FSCS annualized +7.65% vs +11.32% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FSCS or SCHD?
FSCS has been the more volatile fund at 19.6% annualized versus 15.8% for SCHD. Worst drawdown: FSCS -43.6% vs SCHD -33.4%.
Should I hold both FSCS and SCHD?
FSCS 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 FSCS and SCHD?
18.1% of FSCS's money is in holdings SCHD also owns. 5.9% of SCHD's is in holdings FSCS also owns. They hold 18 positions in common, counted across the 100 positions we hold weights for in FSCS and 100 in SCHD.
Which pays a higher dividend, FSCS or SCHD?
FSCS yields 0.98% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than FSCS?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. FSCS is less concentrated, with 11.8% 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.