KBE vs SCHD
State Street SPDR S&P Bank ETF vs Schwab US Dividend Equity ETF
Which is better, KBE or SCHD?
Large Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. KBE led over 3Y, SCHD over 1Y, 5Y and the full window. KBE is less concentrated, with 11.3% of the fund in its ten largest positions against 41.8%.
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 | KBE | SCHD |
|---|---|---|
| Expense Ratio | 0.35% | 0.06%Best |
| AUM | $1.6B | $112.1B |
| Dividend Yield | 2.16% | 3.00% |
| Holdings | 105 | 103 |
| YTD Return | +10.13% | +23.46%Best |
| 1Y Return | +10.06% | +27.20%Best |
| 3Y Return (annualized) | +23.70%Best | +15.41% |
| 5Y Return (annualized) | +9.02% | +10.16%Best |
| Volatility (annualized) | 23.9% | 13.7%Best |
| Max Drawdown | -55.4% | -33.4%Best |
| $10,000 over 5 years | $15,400 | $16,223Best |
| Top 10 Weight | 11.3%Best | 41.8% |
| Fund Family | State Street Investment Management | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Nov 8, 2005 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 18, 2026 (14.9 years).
KBE 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.
KBE vs SCHD Performance
State Street SPDR S&P Bank ETF (KBE) is an ETF from State Street Investment Management and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year KBE returned +10.06% while SCHD returned +27.20%. Year to date, KBE is up 10.13% versus a gain of 23.46% for SCHD.
Over three years, KBE compounded at +23.70% per year against +15.41% for SCHD; over five years the annualized figures are +9.02% and +10.16% respectively. Across the full 15-year window we track, SCHD has the edge at +11.25% annualized vs +9.81%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
KBE has been the more volatile fund, with annualized monthly volatility of 23.9% compared with 13.7% 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 -55.4% for KBE 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 0.70. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
KBE charges 0.35% per year while SCHD charges 0.06%. On a $10,000 position that is $35 vs $6 annually, a gap of $29 per year that compounds over a long holding period. On income, KBE currently yields 2.16% against 3.00% for SCHD.
Holdings Overlap
8.2% of KBE's money is in holdings SCHD also owns. 2.8% of SCHD's money is in holdings KBE also owns.
KBE and SCHD share little of their money.
9 positions in common, counted across the 103 positions we hold weights for in KBE and 100 in SCHD, against full books of 105 and 103.
What only one of them owns
Our book lists 91 positions for SCHD that do not appear in our book for KBE (97.2% of the fund), and 92 for KBE that do not appear in SCHD (89.4%).
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
| Stock | Weight in KBE | Weight in SCHD | Difference |
|---|---|---|---|
| FITBFifth Third Bancorp | 0.97% | 1.19% | 0.22% |
| RFRegions Financial Corp. | 0.98% | 0.62% | 0.36% |
| EWBCEast West Bancorp, Inc. | 0.94% | 0.42% | 0.52% |
| COLBColumbia Banking System Inc Common Stock | 0.93% | 0.21% | 0.72% |
| CVBFCvb Financial Corp. | 1.01% | 0.09% | 0.92% |
| BANRBanner Corp_None_0 | 1.00% | 0.06% | 0.94% |
| OZKBank Ozk | 0.91% | 0.12% | 0.79% |
| OFG:PROfg Bancorp Common Stock | 0.87% | 0.05% | 0.82% |
| LKFNLakeland Financial Corp. | 0.63% | 0.04% | 0.59% |
You are not choosing between two funds in isolation.
Whichever of KBE 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, KBE or SCHD?
KBE has an expense ratio of 0.35% while SCHD charges 0.06%. SCHD is the cheaper option, by $29 a year on a $10,000 investment.
Which performed better, KBE or SCHD?
Over the past year KBE returned +10.06% vs +27.20% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), KBE annualized +9.81% vs +11.25% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, KBE or SCHD?
KBE has been the more volatile fund at 23.9% annualized versus 13.7% for SCHD. Worst drawdown: KBE -55.4% vs SCHD -33.4%.
Should I hold both KBE and SCHD?
KBE and SCHD have a monthly-return correlation of 0.70, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between KBE and SCHD?
8.2% of KBE's money is in holdings SCHD also owns. 2.8% of SCHD's is in holdings KBE also owns. They hold 9 positions in common, counted across the 103 positions we hold weights for in KBE and 100 in SCHD.
Which pays a higher dividend, KBE or SCHD?
KBE yields 2.16% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than KBE?
SCHD has a lower expense ratio. KBE led over 3Y, SCHD over 1Y, 5Y and the full window. KBE is less concentrated, with 11.3% 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.