HYLB vs SCHD

HYLB vs SCHD

Which is better, HYLB or SCHD?

High Yield Bond against Large Cap Value.

HYLB has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window.

Lower Fees: HYLBHigher 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

MetricHYLBSCHD
Expense Ratio0.05%Best0.06%
AUM$3.5B$112.1B
Dividend Yield6.53%3.00%
Holdings1,267103
YTD Return+0.61%+21.73%Best
1Y Return+2.39%+26.35%Best
3Y Return (annualized)+8.32%+16.02%Best
5Y Return (annualized)+3.50%+9.26%Best
Volatility (annualized)7.4%Best15.5%
Max Drawdown-24.7%Best-33.4%
$10,000 over 5 years$11,877$15,571Best
Fund FamilyXtrackers ETFsCharles Schwab Asset Management
CategoryFixed IncomeEquity
StyleHigh Yield BondLarge Cap Value
InceptionDec 6, 2016Oct 20, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Dec 7, 2016 to Sep 25, 2026 (9.8 years).

HYLB 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 9.8 years both funds cover.

HYLB vs SCHD Performance

Xtrackers USD High Yield Corporate Bond ETF (HYLB) 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 HYLB returned +2.39% while SCHD returned +26.35%. Year to date, HYLB is up 0.61% versus a gain of 21.73% for SCHD.

Over three years, HYLB compounded at +8.32% per year against +16.02% for SCHD; over five years the annualized figures are +3.50% and +9.26% respectively. Across the full 10-year window we track, SCHD has the edge at +10.92% annualized vs +2.02%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 15.5% compared with 7.4% for HYLB. 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 -24.7% for HYLB 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 0.74. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

HYLB charges 0.05% per year while SCHD charges 0.06%. On a $10,000 position that is $5 vs $6 annually, a gap of $1 per year that compounds over a long holding period. On income, HYLB currently yields 6.53% against 3.00% for SCHD.

Holdings Overlap

We hold position weights for 963 holdings in HYLB and 100 in SCHD, totalling 72.8% 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 963 positions we hold weights for in HYLB and 100 in SCHD, against full books of 1,267 and 103.

You are not choosing between two funds in isolation.

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

HYLBSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, HYLB or SCHD?

HYLB has an expense ratio of 0.05% while SCHD charges 0.06%. HYLB is the cheaper option, by $1 a year on a $10,000 investment.

Which performed better, HYLB or SCHD?

Over the past year HYLB returned +2.39% vs +26.35% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (10 years), HYLB annualized +2.02% vs +10.92% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, HYLB or SCHD?

SCHD has been the more volatile fund at 15.5% annualized versus 7.4% for HYLB. Worst drawdown: HYLB -24.7% vs SCHD -33.4%.

Should I hold both HYLB and SCHD?

HYLB and SCHD have a monthly-return correlation of 0.74, 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, HYLB or SCHD?

HYLB yields 6.53% while SCHD yields 3.00%, so HYLB currently pays the higher dividend yield.

Is SCHD better than HYLB?

HYLB 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.