FTQI vs SCHD

FTQI vs SCHD

Which is better, FTQI or SCHD?

Long-Short Strategy against Large Cap Value.

SCHD has a lower expense ratio. FTQI led over 3Y and 5Y, SCHD over 1Y and the full window. FTQI is less concentrated, with 40.4% of the fund in its ten largest positions against 41.5%.

Lower Fees: SCHDHigher Returns: splitLess Concentrated: FTQI

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

MetricFTQISCHD
Expense Ratio0.75%0.06%Best
AUM$955M$112.2B
Dividend Yield11.30%3.13%
Holdings183103
YTD Return+14.91%+27.56%Best
1Y Return+21.87%+30.29%Best
3Y Return (annualized)+16.83%Best+16.37%
5Y Return (annualized)+11.91%Best+10.23%
Volatility (annualized)9.9%Best14.3%
Max Drawdown-20.4%Best-33.4%
$10,000 over 5 years$17,553Best$16,274
Top 10 Weight40.4%Best41.5%
Fund FamilyFirst Trust Portfolios (US)Charles Schwab Asset Management
CategoryAlternativeEquity
StyleLong-Short StrategyLarge Cap Value
InceptionJan 6, 2014Oct 20, 2011

Volatility and max drawdown are measured over the window both funds cover: Jan 7, 2014 to Sep 4, 2026 (12.7 years).

FTQI 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 12.7 years both funds cover.

FTQI vs SCHD Performance

First Trust Nasdaq BuyWrite Income ETF (FTQI) 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 FTQI returned +21.87% while SCHD returned +30.29%. Year to date, FTQI is up 14.91% versus a gain of 27.56% for SCHD.

Over three years, FTQI compounded at +16.83% per year against +16.37% for SCHD; over five years the annualized figures are +11.91% and +10.23% respectively. Across the full 13-year window we track, SCHD has the edge at +10.34% annualized vs +5.20%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 14.3% compared with 9.9% for FTQI. 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 -20.4% for FTQI 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 0.66. They move together some of the time, and apart the rest.

Fees and Cost Over Time

FTQI charges 0.75% per year while SCHD charges 0.06%. On a $10,000 position that is $75 vs $6 annually, a gap of $69 per year that compounds over a long holding period. On income, FTQI currently yields 11.30% against 3.13% for SCHD.

Holdings Overlap

FTQI already in SCHD2.6%
SCHD already in FTQI19.1%

2.6% of FTQI's money is in holdings SCHD also owns. 19.1% of SCHD's money is in holdings FTQI also owns.

SCHD and FTQI share little of their money.

7 positions in common, counted across the 176 positions we hold weights for in FTQI and 100 in SCHD, against full books of 183 and 103.

What only one of them owns

Our book lists 91 positions for SCHD that do not appear in our book for FTQI (80.6% of the fund), and 148 for FTQI that do not appear in SCHD (86.9%).

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

StockWeight in FTQIWeight in SCHDDifference
AMGNAmgen Inc.0.93%4.62%3.69%
KOCoca-cola Co.0.22%4.20%3.98%
TXNTexas Instruments, Inc0.78%3.53%2.75%
CVXChevron Corp.United States -Energy0.12%3.74%3.62%
SLBSlb Ltd.0.13%1.89%1.76%
CINFCincinnati Financial Corp.0.16%0.69%0.53%
EWBCEast West Bancorp, Inc.0.28%0.45%0.17%

You are not choosing between two funds in isolation.

Whichever of FTQI and SCHD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

FTQISCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FTQI or SCHD?

FTQI has an expense ratio of 0.75% while SCHD charges 0.06%. SCHD is the cheaper option, by $69 a year on a $10,000 investment.

Which performed better, FTQI or SCHD?

Over the past year FTQI returned +21.87% vs +30.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (13 years), FTQI annualized +5.20% vs +10.34% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FTQI or SCHD?

SCHD has been the more volatile fund at 14.3% annualized versus 9.9% for FTQI. Worst drawdown: FTQI -20.4% vs SCHD -33.4%.

Should I hold both FTQI and SCHD?

FTQI and SCHD have a monthly-return correlation of 0.66, 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 FTQI and SCHD?

19.1% of SCHD's money is in holdings FTQI also owns. 19.1% of SCHD's is in holdings FTQI also owns. They hold 7 positions in common, counted across the 176 positions we hold weights for in FTQI and 100 in SCHD.

Which pays a higher dividend, FTQI or SCHD?

FTQI yields 11.30% while SCHD yields 3.13%, so FTQI currently pays the higher dividend yield.

Is SCHD better than FTQI?

SCHD has a lower expense ratio. FTQI led over 3Y and 5Y, SCHD over 1Y and the full window. FTQI is less concentrated, with 40.4% 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.