HDEF vs SCHD
Xtrackers MSCI EAFE High Dividend Yield Equity ETF vs Schwab US Dividend Equity ETF
Which is better, HDEF or SCHD?
Each has led over a different period.
SCHD has a lower expense ratio. HDEF led over 3Y and 5Y, SCHD over 1Y and the full window. HDEF is less concentrated, with 41.5% of the fund in its ten largest positions against 41.8%.
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 | HDEF | SCHD |
|---|---|---|
| Expense Ratio | 0.09% | 0.06%Best |
| AUM | $2.4B | $112.1B |
| Dividend Yield | 3.69% | 3.00% |
| Holdings | 123 | 103 |
| YTD Return | +10.52% | +24.96%Best |
| 1Y Return | +16.77% | +28.75%Best |
| 3Y Return (annualized) | +18.32%Best | +15.71% |
| 5Y Return (annualized) | +11.95%Best | +9.86% |
| Volatility (annualized) | 14.7%Best | 14.9% |
| Max Drawdown | -38.2% | -33.4%Best |
| $10,000 over 5 years | $17,584Best | $16,003 |
| Top 10 Weight | 41.5%Best | 41.8% |
| Fund Family | Xtrackers ETFs | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Aug 12, 2015 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Aug 18, 2015 to Sep 9, 2026 (11.1 years).
HDEF 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 11.1 years both funds cover.
HDEF vs SCHD Performance
Xtrackers MSCI EAFE High Dividend Yield Equity ETF (HDEF) is an ETF from Xtrackers ETFs and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year HDEF returned +16.77% while SCHD returned +28.75%. Year to date, HDEF is up 10.52% versus a gain of 24.96% for SCHD.
Over three years, HDEF compounded at +18.32% per year against +15.71% for SCHD; over five years the annualized figures are +11.95% and +9.86% respectively. Across the full 11-year window we track, SCHD has the edge at +11.14% annualized vs +5.32%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 14.9% compared with 14.7% for HDEF. 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 -38.2% for HDEF 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 0.75. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
HDEF charges 0.09% per year while SCHD charges 0.06%. On a $10,000 position that is $9 vs $6 annually, a gap of $3 per year that compounds over a long holding period. On income, HDEF currently yields 3.69% against 3.00% for SCHD.
Holdings Overlap
We hold position weights for 112 holdings in HDEF and 100 in SCHD, totalling 99.1% 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 112 positions we hold weights for in HDEF and 100 in SCHD, against full books of 123 and 103.
What only one of them owns
Our book lists 99 positions for SCHD that do not appear in our book for HDEF (99.9% of the fund), and 1 for HDEF that do not appear in SCHD (0.6%).
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.
You are not choosing between two funds in isolation.
Whichever of HDEF and SCHD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, HDEF or SCHD?
HDEF has an expense ratio of 0.09% while SCHD charges 0.06%. SCHD is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, HDEF or SCHD?
Over the past year HDEF returned +16.77% vs +28.75% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (11 years), HDEF annualized +5.32% vs +11.14% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HDEF or SCHD?
SCHD has been the more volatile fund at 14.9% annualized versus 14.7% for HDEF. Worst drawdown: HDEF -38.2% vs SCHD -33.4%.
Should I hold both HDEF and SCHD?
HDEF and SCHD have a monthly-return correlation of 0.75, 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, HDEF or SCHD?
HDEF yields 3.69% while SCHD yields 3.00%, so HDEF currently pays the higher dividend yield.
Is SCHD better than HDEF?
SCHD has a lower expense ratio. HDEF led over 3Y and 5Y, SCHD over 1Y and the full window. HDEF is less concentrated, with 41.5% of the fund in its ten largest positions against 41.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.