IBDX vs SCHD
iShares iBonds Dec 2032 Term Corporate ETF vs Schwab US Dividend Equity ETF
Which is better, IBDX or SCHD?
Long Term High Quality against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y and the full window.
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 | IBDX | SCHD |
|---|---|---|
| Expense Ratio | 0.10% | 0.06%Best |
| AUM | $1.7B | $112.1B |
| Dividend Yield | 4.86% | 3.00% |
| Holdings | 425 | 103 |
| YTD Return | -1.13% | +24.23%Best |
| 1Y Return | -0.32% | +27.90%Best |
| 3Y Return (annualized) | +5.76% | +15.55%Best |
| 5Y Return (annualized) | - | +9.97% |
| Volatility (annualized) | 8.4%Best | 14.6% |
| Max Drawdown | -12.5%Best | -16.1% |
| $10,000 over 4.2 years | $11,848 | $16,394Best |
| Fund Family | iShares by BlackRock (US) | Charles Schwab Asset Management |
| Category | Fixed Income | Equity |
| Style | Long Term High Quality | Large Cap Value |
| Inception | Jun 28, 2022 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 4.2 years row, are measured over the window both funds cover: Jun 30, 2022 to Sep 17, 2026 (4.2 years).
IBDX 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 4.2 years both funds cover.
IBDX vs SCHD Performance
iShares iBonds Dec 2032 Term Corporate ETF (IBDX) is an ETF from iShares by BlackRock (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year IBDX returned -0.32% while SCHD returned +27.90%. Year to date, IBDX is down 1.13% versus a gain of 24.23% for SCHD.
Over three years, IBDX compounded at +5.76% per year against +15.55% for SCHD. Across the full 4-year window we track, SCHD has the edge at +12.49% annualized vs +4.12%.
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 8.4% for IBDX. 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 -12.5% for IBDX and -16.1% 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 0.58. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IBDX charges 0.10% per year while SCHD charges 0.06%. On a $10,000 position that is $10 vs $6 annually, a gap of $4 per year that compounds over a long holding period. On income, IBDX currently yields 4.86% against 3.00% for SCHD.
Holdings Overlap
We hold position weights for 389 holdings in IBDX and 100 in SCHD, totalling 87.9% 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 389 positions we hold weights for in IBDX and 100 in SCHD, against full books of 425 and 103.
You are not choosing between two funds in isolation.
Whichever of IBDX 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, IBDX or SCHD?
IBDX has an expense ratio of 0.10% while SCHD charges 0.06%. SCHD is the cheaper option, by $4 a year on a $10,000 investment.
Which performed better, IBDX or SCHD?
Over the past year IBDX returned -0.32% vs +27.90% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (4 years), IBDX annualized +4.12% vs +12.49% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBDX or SCHD?
SCHD has been the more volatile fund at 14.6% annualized versus 8.4% for IBDX. Worst drawdown: IBDX -12.5% vs SCHD -16.1%.
Should I hold both IBDX and SCHD?
IBDX and SCHD have a monthly-return correlation of 0.58, 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, IBDX or SCHD?
IBDX yields 4.86% while SCHD yields 3.00%, so IBDX currently pays the higher dividend yield.
Is SCHD better than IBDX?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.