IBTJ vs SCHD
iShares iBonds Dec 2029 Term Treasury ETF vs Schwab US Dividend Equity ETF
Which is better, IBTJ or SCHD?
SCHD has been ahead.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y 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 | IBTJ | SCHD |
|---|---|---|
| Expense Ratio | 0.07% | 0.06%Best |
| AUM | $1.4B | $108.9B |
| Dividend Yield | 3.78% | 3.00% |
| Holdings | 38 | 206 |
| YTD Return | -0.68% | +20.89%Best |
| 1Y Return | +0.22% | +23.87%Best |
| 3Y Return (annualized) | +4.66% | +16.42%Best |
| 5Y Return (annualized) | -0.30% | +9.40%Best |
| Volatility (annualized) | 5.4%Best | 16.5% |
| Max Drawdown | -20.5%Best | -28.0% |
| $10,000 over 5 years | $9,851 | $15,671Best |
| Fund Family | iShares by BlackRock (US) | Charles Schwab Asset Management |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Value |
| Inception | Feb 25, 2020 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Feb 28, 2020 to Oct 2, 2026 (6.6 years).
IBTJ 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 6.6 years both funds cover.
IBTJ vs SCHD Performance
iShares iBonds Dec 2029 Term Treasury ETF (IBTJ) 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 IBTJ returned +0.22% while SCHD returned +23.87%. Year to date, IBTJ is down 0.68% versus a gain of 20.89% for SCHD.
Over three years, IBTJ compounded at +4.66% per year against +16.42% for SCHD; over five years the annualized figures are -0.30% and +9.40% respectively. Across the full 7-year window we track, SCHD has the edge at +13.66% annualized vs -0.30%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 16.5% compared with 5.4% for IBTJ. 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 -20.5% for IBTJ and -28.0% 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 0.16. They move largely independently of each other.
Fees and Cost Over Time
IBTJ charges 0.07% per year while SCHD charges 0.06%. On a $10,000 position that is $7 vs $6 annually, a gap of $1 per year that compounds over a long holding period. On income, IBTJ currently yields 3.78% against 3.00% for SCHD.
Holdings Overlap
We hold position weights for 29 holdings in IBTJ and 99 in SCHD, totalling 78.1% 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 29 positions we hold weights for in IBTJ and 99 in SCHD, against full books of 38 and 206.
You are not choosing between two funds in isolation.
Whichever of IBTJ 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, IBTJ or SCHD?
IBTJ has an expense ratio of 0.07% while SCHD charges 0.06%. SCHD is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, IBTJ or SCHD?
Over the past year IBTJ returned +0.22% vs +23.87% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (7 years), IBTJ annualized -0.30% vs +13.66% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBTJ or SCHD?
SCHD has been the more volatile fund at 16.5% annualized versus 5.4% for IBTJ. Worst drawdown: IBTJ -20.5% vs SCHD -28.0%.
Should I hold both IBTJ and SCHD?
IBTJ and SCHD have a monthly-return correlation of 0.16, 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, IBTJ or SCHD?
IBTJ yields 3.78% while SCHD yields 3.00%, so IBTJ currently pays the higher dividend yield.
Is SCHD better than IBTJ?
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.