IQI vs SCHD
Invesco Quality Municipal Income Trust vs Schwab US Dividend Equity ETF
Which is better, IQI or SCHD?
Municipal Bond against Large Cap Value.
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 | IQI | SCHD |
|---|---|---|
| Expense Ratio | 1.71% | 0.06%Best |
| AUM | $3,048.42 | $112.1B |
| Dividend Yield | 7.77% | 3.00% |
| Holdings | 485 | 103 |
| YTD Return | +4.18% | +25.07%Best |
| 1Y Return | +7.27% | +27.61%Best |
| 3Y Return (annualized) | +10.93% | +15.74%Best |
| 5Y Return (annualized) | -0.29% | +9.89%Best |
| Volatility (annualized) | 11.8%Best | 13.6% |
| Max Drawdown | -38.5% | -33.4%Best |
| $10,000 over 5 years | $9,856 | $16,025Best |
| Fund Family | Invesco (US) | Charles Schwab Asset Management |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Value |
| Inception | Sep 29, 1992 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 11, 2026 (14.9 years).
IQI 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
IQI vs SCHD Performance
Invesco Quality Municipal Income Trust (IQI) is an ETF from Invesco (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year IQI returned +7.27% while SCHD returned +27.61%. Year to date, IQI is up 4.18% versus a gain of 25.07% for SCHD.
Over three years, IQI compounded at +10.93% per year against +15.74% for SCHD; over five years the annualized figures are -0.29% and +9.89% respectively. Across the full 15-year window we track, SCHD has the edge at +11.36% annualized vs +0.48%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 11.8% for IQI. 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 -38.5% for IQI 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 0.39. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IQI charges 1.71% per year while SCHD charges 0.06%. On a $10,000 position that is $171 vs $6 annually, a gap of $165 per year that compounds over a long holding period. On income, IQI currently yields 7.77% against 3.00% for SCHD.
You are not choosing between two funds in isolation.
Whichever of IQI 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, IQI or SCHD?
IQI has an expense ratio of 1.71% while SCHD charges 0.06%. SCHD is the cheaper option, by $165 a year on a $10,000 investment.
Which performed better, IQI or SCHD?
Over the past year IQI returned +7.27% vs +27.61% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), IQI annualized +0.48% vs +11.36% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IQI or SCHD?
SCHD has been the more volatile fund at 13.6% annualized versus 11.8% for IQI. Worst drawdown: IQI -38.5% vs SCHD -33.4%.
Should I hold both IQI and SCHD?
IQI and SCHD have a monthly-return correlation of 0.39, 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, IQI or SCHD?
IQI yields 7.77% while SCHD yields 3.00%, so IQI currently pays the higher dividend yield.
Is SCHD better than IQI?
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.