HWSM vs SCHD

HWSM vs SCHD

Which is better, HWSM or SCHD?

Mid Cap Value against Large Cap Value.

SCHD has a lower expense ratio. HWSM led over the full window, SCHD over 1Y. HWSM is less concentrated, with 17.1% of the fund in its ten largest positions against 41.8%.

Lower Fees: SCHDHigher Returns: splitLess Concentrated: HWSM

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

MetricHWSMSCHD
Expense Ratio0.55%0.06%Best
AUM$3M$112.1B
Dividend Yield1.14%3.00%
Holdings166103
YTD Return+14.06%+25.07%Best
1Y Return+15.90%+27.61%Best
3Y Return (annualized)-+15.74%
5Y Return (annualized)-+9.89%
Volatility (annualized)11.9%Best14.0%
Max Drawdown-15.7%-13.0%Best
$10,000 over 1.4 years$12,744Best$12,672
Top 10 Weight17.1%Best41.8%
Fund FamilyHotchkis & Wiley FundsCharles Schwab Asset Management
CategoryEquityEquity
StyleMid Cap ValueLarge Cap Value
InceptionMar 31, 2025Oct 20, 2011

Volatility and max drawdown, and the $10,000 over 1.4 years row, are measured over the window both funds cover: Mar 31, 2025 to Sep 11, 2026 (1.4 years).

HWSM 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 1.4 years both funds cover.

HWSM vs SCHD Performance

Hotchkis & Wiley SMID Cap Diversified Value Fund ETF (HWSM) is an ETF from Hotchkis & Wiley Funds and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year HWSM returned +15.90% while SCHD returned +27.61%. Year to date, HWSM is up 14.06% versus a gain of 25.07% for SCHD.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 14.0% compared with 11.9% for HWSM. 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 HWSM and -13.0% 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 0.76. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

HWSM charges 0.55% per year while SCHD charges 0.06%. On a $10,000 position that is $55 vs $6 annually, a gap of $49 per year that compounds over a long holding period. On income, HWSM currently yields 1.14% against 3.00% for SCHD.

Holdings Overlap

HWSM already in SCHD6.7%
SCHD already in HWSM2.2%

6.7% of HWSM's money is in holdings SCHD also owns. 2.2% of SCHD's money is in holdings HWSM also owns.

HWSM and SCHD share little of their money.

11 positions in common, counted across the 165 positions we hold weights for in HWSM and 100 in SCHD, against full books of 166 and 103.

What only one of them owns

Our book lists 88 positions for SCHD that do not appear in our book for HWSM (97.7% of the fund), and 147 for HWSM that do not appear in SCHD (89.1%).

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

StockWeight in HWSMWeight in SCHDDifference
APAApa Corp1.67%0.37%1.30%
PFGPrincipal Financial Group Inc.0.65%0.53%0.12%
COLBColumbia Banking System Inc Common Stock0.61%0.21%0.40%
FNFFidelity National Financial Inc.0.52%0.29%0.23%
RHIRobert Half International Inc.0.62%0.11%0.51%
FHIFederated Investors Inc0.59%0.11%0.48%
MSMMsc Industrial Direct Co Inc0.47%0.13%0.34%
KFYKorn Ferry0.45%0.11%0.34%
CVBFCvb Financial Corp0.42%0.09%0.33%
MTNVail Resorts Inc.0.37%0.12%0.25%

You are not choosing between two funds in isolation.

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

HWSMSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, HWSM or SCHD?

HWSM has an expense ratio of 0.55% while SCHD charges 0.06%. SCHD is the cheaper option, by $49 a year on a $10,000 investment.

Which performed better, HWSM or SCHD?

Over the past year HWSM returned +15.90% vs +27.61% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (1 years), HWSM annualized +18.91% vs +18.43% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, HWSM or SCHD?

SCHD has been the more volatile fund at 14.0% annualized versus 11.9% for HWSM. Worst drawdown: HWSM -15.7% vs SCHD -13.0%.

Should I hold both HWSM and SCHD?

HWSM and SCHD have a monthly-return correlation of 0.76, 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 HWSM and SCHD?

6.7% of HWSM's money is in holdings SCHD also owns. 2.2% of SCHD's is in holdings HWSM also owns. They hold 11 positions in common, counted across the 165 positions we hold weights for in HWSM and 100 in SCHD.

Which pays a higher dividend, HWSM or SCHD?

HWSM yields 1.14% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.

Is SCHD better than HWSM?

SCHD has a lower expense ratio. HWSM led over the full window, SCHD over 1Y. HWSM is less concentrated, with 17.1% 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.