GTOQ vs SCHD

GTOQ vs SCHD

Which is better, GTOQ or SCHD?

High Yield Bond 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

MetricGTOQSCHD
Expense Ratio0.39%0.06%Best
AUM$181M$112.1B
Dividend Yield6.92%3.00%
Holdings489103
YTD Return+2.14%+25.07%Best
1Y Return+3.45%+27.61%Best
3Y Return (annualized)+8.13%+15.74%Best
5Y Return (annualized)+3.67%+9.89%Best
Volatility (annualized)6.7%Best14.6%
Max Drawdown-15.7%Best-16.9%
$10,000 over 5 years$11,975$16,025Best
Fund FamilyInvesco (US)Charles Schwab Asset Management
CategoryFixed IncomeEquity
StyleHigh Yield BondLarge Cap Value
InceptionDec 2, 2020Oct 20, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Dec 3, 2020 to Sep 11, 2026 (5.8 years).

GTOQ 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 5.8 years both funds cover.

GTOQ vs SCHD Performance

Invesco High Yield Systematic Bond ETF (GTOQ) is an ETF from Invesco (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year GTOQ returned +3.45% while SCHD returned +27.61%. Year to date, GTOQ is up 2.14% versus a gain of 25.07% for SCHD.

Over three years, GTOQ compounded at +8.13% per year against +15.74% for SCHD; over five years the annualized figures are +3.67% and +9.89% respectively. Across the full 6-year window we track, SCHD has the edge at +12.14% annualized vs +4.08%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 6.7% for GTOQ. 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 -15.7% for GTOQ and -16.9% 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 0.69. They move together some of the time, and apart the rest.

Fees and Cost Over Time

GTOQ charges 0.39% per year while SCHD charges 0.06%. On a $10,000 position that is $39 vs $6 annually, a gap of $33 per year that compounds over a long holding period. On income, GTOQ currently yields 6.92% against 3.00% for SCHD.

Holdings Overlap

We hold position weights for 398 holdings in GTOQ and 100 in SCHD, totalling 83.8% 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 398 positions we hold weights for in GTOQ and 100 in SCHD, against full books of 489 and 103.

You are not choosing between two funds in isolation.

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

GTOQSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, GTOQ or SCHD?

GTOQ has an expense ratio of 0.39% while SCHD charges 0.06%. SCHD is the cheaper option, by $33 a year on a $10,000 investment.

Which performed better, GTOQ or SCHD?

Over the past year GTOQ returned +3.45% vs +27.61% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (6 years), GTOQ annualized +4.08% vs +12.14% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, GTOQ or SCHD?

SCHD has been the more volatile fund at 14.6% annualized versus 6.7% for GTOQ. Worst drawdown: GTOQ -15.7% vs SCHD -16.9%.

Should I hold both GTOQ and SCHD?

GTOQ and SCHD have a monthly-return correlation of 0.69, 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, GTOQ or SCHD?

GTOQ yields 6.92% while SCHD yields 3.00%, so GTOQ currently pays the higher dividend yield.

Is SCHD better than GTOQ?

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.