FXA vs SCHD
Invesco CurrencyShares Australian Dollar Trust vs Schwab US Dividend Equity ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.
Side-by-Side Comparison
| Metric | FXA | SCHD | Winner |
|---|---|---|---|
| Expense Ratio | 0.40% | 0.06% | |
| AUM | $97M | $103.7B | |
| Dividend Yield | 0.97% | 3.31% | |
| Holdings | 2 | 104 | |
| YTD Return | +6.15% | +24.26% | |
| 1Y Return | +9.58% | +31.38% | |
| 3Y Return (annualized) | +3.88% | +15.08% | |
| 5Y Return (annualized) | +0.06% | +9.72% | |
| Volatility (annualized) | 12.3% | 13.6% | |
| Max Drawdown | -47.9% | -33.4% | |
| Fund Family | Invesco (US) | Charles Schwab Asset Management | |
| Category | Alternative | Equity | |
| Inception | Jun 21, 2006 | Oct 20, 2011 |
FXA vs SCHD Performance
Invesco CurrencyShares Australian Dollar Trust (FXA) is a ETF from Invesco (US) and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year FXA returned +9.58% while SCHD returned +31.38%. Year to date, FXA is up 6.15% versus a gain of 24.26% for SCHD.
Over three years, FXA compounded at +3.88% per year against +15.08% for SCHD; over five years the annualized figures are +0.06% and +9.72% respectively. Across the full 15-year window we track, SCHD has the edge at +11.39% annualized vs -0.02%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 12.3% for FXA. 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 -47.9% for FXA and -33.4% for SCHD. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.
The two funds' monthly returns correlate at 0.53. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
FXA charges 0.40% per year while SCHD charges 0.06%. On a $10,000 position that is $40 vs $6 annually, a gap of $34 per year that compounds over a long holding period. On income, FXA currently yields 0.97% against 3.31% for SCHD.
Frequently Asked Questions
Which is cheaper, FXA or SCHD?
FXA has an expense ratio of 0.40% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $34 per year of difference.
Which performed better, FXA or SCHD?
Over the past year FXA returned +9.58% vs +31.38% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), FXA annualized -0.02% vs +11.39% for SCHD. Past performance does not guarantee future results.
Which is riskier, FXA or SCHD?
SCHD has been the more volatile fund at 13.6% annualized versus 12.3% for FXA. Worst drawdown: FXA -47.9% vs SCHD -33.4%.
Should I hold both FXA and SCHD?
FXA and SCHD have a monthly-return correlation of 0.53, so combining them can provide real diversification depending on your allocation goals.
Which pays a higher dividend, FXA or SCHD?
FXA yields 0.97% while SCHD yields 3.31%, so SCHD currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.