FTSL vs SCHD

FTSL vs SCHD

Which is better, FTSL or SCHD?

Bank Loan against Large Cap Value.

SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window.

Lower Fees: SCHDHigher Returns: SCHD

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

MetricFTSLSCHD
Expense Ratio0.70%0.06%Best
AUM$2.4B$112.1B
Dividend Yield6.33%3.00%
Holdings333103
YTD Return+2.12%+24.23%Best
1Y Return+3.42%+27.90%Best
3Y Return (annualized)+6.19%+15.55%Best
5Y Return (annualized)+5.05%+9.97%Best
Volatility (annualized)4.9%Best14.2%
Max Drawdown-26.4%Best-33.4%
$10,000 over 5 years$12,793$16,083Best
Fund FamilyFirst Trust Portfolios (US)Charles Schwab Asset Management
CategoryFixed IncomeEquity
StyleBank LoanLarge Cap Value
InceptionMay 1, 2013Oct 20, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: May 2, 2013 to Sep 17, 2026 (13.4 years).

FTSL 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 13.4 years both funds cover.

FTSL vs SCHD Performance

First Trust Senior Loan Fund ETF (FTSL) 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 FTSL returned +3.42% while SCHD returned +27.90%. Year to date, FTSL is up 2.12% versus a gain of 24.23% for SCHD.

Over three years, FTSL compounded at +6.19% per year against +15.55% for SCHD; over five years the annualized figures are +5.05% and +9.97% respectively. Across the full 13-year window we track, SCHD has the edge at +10.40% annualized vs +1.69%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 14.2% compared with 4.9% for FTSL. 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 -26.4% for FTSL 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 0.57. They move together some of the time, and apart the rest.

Fees and Cost Over Time

FTSL charges 0.70% per year while SCHD charges 0.06%. On a $10,000 position that is $70 vs $6 annually, a gap of $64 per year that compounds over a long holding period. On income, FTSL currently yields 6.33% against 3.00% for SCHD.

Holdings Overlap

We hold position weights for 59 holdings in FTSL and 100 in SCHD, totalling 11.9% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 59 positions we hold weights for in FTSL and 100 in SCHD, against full books of 333 and 103.

You are not choosing between two funds in isolation.

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

FTSLSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FTSL or SCHD?

FTSL has an expense ratio of 0.70% while SCHD charges 0.06%. SCHD is the cheaper option, by $64 a year on a $10,000 investment.

Which performed better, FTSL or SCHD?

Over the past year FTSL returned +3.42% vs +27.90% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (13 years), FTSL annualized +1.69% vs +10.40% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FTSL or SCHD?

SCHD has been the more volatile fund at 14.2% annualized versus 4.9% for FTSL. Worst drawdown: FTSL -26.4% vs SCHD -33.4%.

Should I hold both FTSL and SCHD?

FTSL and SCHD have a monthly-return correlation of 0.57, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, FTSL or SCHD?

FTSL yields 6.33% while SCHD yields 3.00%, so FTSL currently pays the higher dividend yield.

Is SCHD better than FTSL?

SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.