IWD vs SCHD

IWD vs SCHD

Which is better, IWD or SCHD?

Each has led over a different period.

SCHD has a lower expense ratio. IWD led over 3Y and 5Y, SCHD over 1Y and the full window. The two have moved almost in lockstep, correlation 0.93. IWD is less concentrated, with 28.6% of the fund in its ten largest positions against 41.8%.

Lower Fees: SCHDHigher Returns: splitLess Concentrated: IWD

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

MetricIWDSCHD
Expense Ratio0.18%0.06%Best
AUM$83.6B$112.1B
Dividend Yield1.36%3.00%
Holdings874103
YTD Return+20.73%+25.84%Best
1Y Return+27.66%+30.18%Best
3Y Return (annualized)+19.42%Best+16.08%
5Y Return (annualized)+11.70%Best+9.97%
Volatility (annualized)14.1%13.6%Best
Max Drawdown-38.5%-33.4%Best
$10,000 over 5 years$17,389Best$16,083
Top 10 Weight28.6%Best41.8%
Fund FamilyiShares by BlackRock (US)Charles Schwab Asset Management
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Value
InceptionMay 22, 2000Oct 20, 2011

Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 15, 2026 (14.9 years).

IWD 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 14.9 years both funds cover.

IWD vs SCHD Performance

iShares Russell 1000 Value ETF (IWD) 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 IWD returned +27.66% while SCHD returned +30.18%. Year to date, IWD is up 20.73% versus a gain of 25.84% for SCHD.

Over three years, IWD compounded at +19.42% per year against +16.08% for SCHD; over five years the annualized figures are +11.70% and +9.97% respectively. Across the full 15-year window we track, SCHD has the edge at +11.40% annualized vs +10.83%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IWD has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 13.6% for SCHD. 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 IWD 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 0.93. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

IWD charges 0.18% per year while SCHD charges 0.06%. On a $10,000 position that is $18 vs $6 annually, a gap of $12 per year that compounds over a long holding period. On income, IWD currently yields 1.36% against 3.00% for SCHD.

Holdings Overlap

IWD already in SCHD11.4%
SCHD already in IWD89.3%

11.4% of IWD's money is in holdings SCHD also owns. 89.3% of SCHD's money is in holdings IWD also owns.

Most of SCHD is already inside IWD. Owning both mostly buys the same companies twice.

52 positions in common, counted across the 757 positions we hold weights for in IWD and 100 in SCHD, against full books of 874 and 103.

What only one of them owns

Our book lists 47 positions for SCHD that do not appear in our book for IWD (10.7% of the fund), and 641 for IWD that do not appear in SCHD (85.5%).

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 IWDWeight in SCHDDifference
MRKMerck & Company Inc0.97%4.77%3.80%
ABTAbbott Laboratories0.51%4.69%4.18%
CVXChevron Corp1.01%4.02%3.01%
KOCoca Cola Co.0.81%4.17%3.36%
AMGNAmgen Inc.0.18%4.70%4.52%
UNHUnitedhealth Group Incorporated0.93%3.82%2.89%
PGProcter & Gamble Company0.90%3.83%2.93%
VZVerizon Communic0.56%3.97%3.41%
COPConocophillips Common Stock USD 0.010.43%3.94%3.51%
HDHome Depot Inc/The0.23%3.88%3.65%

89.3% of SCHD is already inside IWD.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

IWDSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IWD or SCHD?

IWD has an expense ratio of 0.18% while SCHD charges 0.06%. SCHD is the cheaper option, by $12 a year on a $10,000 investment.

Which performed better, IWD or SCHD?

Over the past year IWD returned +27.66% vs +30.18% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), IWD annualized +10.83% vs +11.40% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IWD or SCHD?

IWD has been the more volatile fund at 14.1% annualized versus 13.6% for SCHD. Worst drawdown: IWD -38.5% vs SCHD -33.4%.

Should I hold both IWD and SCHD?

IWD and SCHD have a monthly-return correlation of 0.93, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between IWD and SCHD?

89.3% of SCHD's money is in holdings IWD also owns. 89.3% of SCHD's is in holdings IWD also owns. They hold 52 positions in common, counted across the 757 positions we hold weights for in IWD and 100 in SCHD.

Which pays a higher dividend, IWD or SCHD?

IWD yields 1.36% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.

Is SCHD better than IWD?

SCHD has a lower expense ratio. IWD led over 3Y and 5Y, SCHD over 1Y and the full window. The two have moved almost in lockstep, correlation 0.93. IWD is less concentrated, with 28.6% 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.