FVAL vs SCHD
Fidelity Value Factor ETF vs Schwab US Dividend Equity ETF
Which is better, FVAL or SCHD?
Each has led over a different period.
SCHD has a lower expense ratio. FVAL 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 42.1%.
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 | FVAL | SCHD |
|---|---|---|
| Expense Ratio | 0.15% | 0.06%Best |
| AUM | $1.3B | $112.1B |
| Dividend Yield | 1.56% | 3.00% |
| Holdings | 130 | 103 |
| YTD Return | +14.27% | +24.23%Best |
| 1Y Return | +21.97% | +27.90%Best |
| 3Y Return (annualized) | +20.37%Best | +15.55% |
| 5Y Return (annualized) | +12.83%Best | +9.97% |
| Volatility (annualized) | 16.3% | 15.3%Best |
| Max Drawdown | -37.7% | -33.4%Best |
| $10,000 over 5 years | $18,286Best | $16,083 |
| Top 10 Weight | 42.1% | 41.8%Best |
| Fund Family | Fidelity Investments (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Sep 12, 2016 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Sep 15, 2016 to Sep 17, 2026 (10 years).
FVAL 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 10 years both funds cover.
FVAL vs SCHD Performance
Fidelity Value Factor ETF (FVAL) 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 FVAL returned +21.97% while SCHD returned +27.90%. Year to date, FVAL is up 14.27% versus a gain of 24.23% for SCHD.
Over three years, FVAL compounded at +20.37% per year against +15.55% for SCHD; over five years the annualized figures are +12.83% and +9.97% respectively. Across the full 10-year window we track, FVAL has the edge at +13.58% annualized vs +11.37%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FVAL has been the more volatile fund, with annualized monthly volatility of 16.3% compared with 15.3% 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 -37.7% for FVAL 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
FVAL charges 0.15% per year while SCHD charges 0.06%. On a $10,000 position that is $15 vs $6 annually, a gap of $9 per year that compounds over a long holding period. On income, FVAL currently yields 1.56% against 3.00% for SCHD.
Holdings Overlap
10.9% of FVAL's money is in holdings SCHD also owns. 51.7% of SCHD's money is in holdings FVAL also owns.
The two portfolios partly overlap.
22 positions in common, counted across the 132 positions we hold weights for in FVAL and 100 in SCHD, against full books of 130 and 103.
What only one of them owns
Our book lists 77 positions for SCHD that do not appear in our book for FVAL (48.2% of the fund), and 106 for FVAL that do not appear in SCHD (87.2%).
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 FVAL | Weight in SCHD | Difference |
|---|---|---|---|
| MRKMerck & Company Inc | 0.95% | 4.77% | 3.82% |
| CVXChevron Corp | 0.69% | 4.02% | 3.33% |
| PGProcter & Gamble Company | 0.76% | 3.83% | 3.07% |
| HDHome Depot Inc/The | 0.56% | 3.88% | 3.32% |
| VZVerizon Communic | 0.43% | 3.97% | 3.54% |
| COPConocophillips Common Stock USD 0.01 | 0.38% | 3.94% | 3.56% |
| BMYBristol-Myers Squibb Co. | 0.60% | 3.33% | 2.73% |
| ACNAccenture Plc | 1.04% | 2.84% | 1.80% |
| QCOMQualcomm Inc. | 1.07% | 2.52% | 1.45% |
| LMTLockheed Martin Corp | 0.51% | 2.78% | 2.27% |
51.7% of SCHD is already inside FVAL.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FVAL or SCHD?
FVAL has an expense ratio of 0.15% while SCHD charges 0.06%. SCHD is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, FVAL or SCHD?
Over the past year FVAL returned +21.97% vs +27.90% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (10 years), FVAL annualized +13.58% vs +11.37% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FVAL or SCHD?
FVAL has been the more volatile fund at 16.3% annualized versus 15.3% for SCHD. Worst drawdown: FVAL -37.7% vs SCHD -33.4%.
Should I hold both FVAL and SCHD?
FVAL 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 FVAL and SCHD?
51.7% of SCHD's money is in holdings FVAL also owns. 51.7% of SCHD's is in holdings FVAL also owns. They hold 22 positions in common, counted across the 132 positions we hold weights for in FVAL and 100 in SCHD.
Which pays a higher dividend, FVAL or SCHD?
FVAL yields 1.56% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than FVAL?
SCHD has a lower expense ratio. FVAL 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 42.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.