KBWD vs SCHD

KBWD vs SCHD

Which is better, KBWD or SCHD?

Small Cap Value against Large Cap Value.

SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. KBWD is less concentrated, with 36.4% of the fund in its ten largest positions against 41.8%.

Lower Fees: SCHDHigher Returns: SCHDLess Concentrated: KBWD

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

MetricKBWDSCHD
Expense Ratio5.39%0.06%Best
AUM$407M$112.1B
Dividend Yield13.79%3.00%
Holdings41103
YTD Return-5.55%+25.07%Best
1Y Return-4.11%+27.61%Best
3Y Return (annualized)+3.02%+15.74%Best
5Y Return (annualized)+0.67%+9.89%Best
Volatility (annualized)21.3%13.6%Best
Max Drawdown-65.2%-33.4%Best
$10,000 over 5 years$10,340$16,025Best
Top 10 Weight36.4%Best41.8%
Fund FamilyInvesco (US)Charles Schwab Asset Management
CategoryEquityEquity
StyleSmall Cap ValueLarge Cap Value
InceptionDec 2, 2010Oct 20, 2011

Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 11, 2026 (14.9 years).

KBWD 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.

KBWD vs SCHD Performance

Invesco KBW High Dividend Yield Financial ETF (KBWD) 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 KBWD returned -4.11% while SCHD returned +27.61%. Year to date, KBWD is down 5.55% versus a gain of 25.07% for SCHD.

Over three years, KBWD compounded at +3.02% per year against +15.74% for SCHD; over five years the annualized figures are +0.67% and +9.89% respectively. Across the full 15-year window we track, SCHD has the edge at +11.36% annualized vs +0.23%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

KBWD has been the more volatile fund, with annualized monthly volatility of 21.3% 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 -65.2% for KBWD 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 0.75. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

KBWD charges 5.39% per year while SCHD charges 0.06%. On a $10,000 position that is $539 vs $6 annually, a gap of $533 per year that compounds over a long holding period. On income, KBWD currently yields 13.79% against 3.00% for SCHD.

Holdings Overlap

KBWD already in SCHD4.9%
SCHD already in KBWD0.1%

4.9% of KBWD's money is in holdings SCHD also owns. 0.1% of SCHD's money is in holdings KBWD also owns.

KBWD and SCHD share little of their money.

2 positions in common, counted across the 38 positions we hold weights for in KBWD and 100 in SCHD, against full books of 41 and 103.

What only one of them owns

Measured across the 38 and 100 positions we hold weights for.

SCHD holds 97 positions KBWD does not, 99.8% of the fund.

Largest: MRK 4.77%, AMGN 4.70%, ABT 4.69%, KO 4.17%, CVX 4.02%

Top Shared Holdings

StockWeight in KBWDWeight in SCHDDifference
WUWestern Union Co.2.56%0.05%2.51%
APAMArtisan Partners Asset Management, Inc.2.36%0.07%2.29%

You are not choosing between two funds in isolation.

Whichever of KBWD and SCHD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

KBWDSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, KBWD or SCHD?

KBWD has an expense ratio of 5.39% while SCHD charges 0.06%. SCHD is the cheaper option, by $533 a year on a $10,000 investment.

Which performed better, KBWD or SCHD?

Over the past year KBWD returned -4.11% vs +27.61% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), KBWD annualized +0.23% vs +11.36% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, KBWD or SCHD?

KBWD has been the more volatile fund at 21.3% annualized versus 13.6% for SCHD. Worst drawdown: KBWD -65.2% vs SCHD -33.4%.

Should I hold both KBWD and SCHD?

KBWD and SCHD have a monthly-return correlation of 0.75, 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 KBWD and SCHD?

4.9% of KBWD's money is in holdings SCHD also owns. 0.1% of SCHD's is in holdings KBWD also owns. They hold 2 positions in common, counted across the 38 positions we hold weights for in KBWD and 100 in SCHD.

Which pays a higher dividend, KBWD or SCHD?

KBWD yields 13.79% while SCHD yields 3.00%, so KBWD currently pays the higher dividend yield.

Is SCHD better than KBWD?

SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. KBWD is less concentrated, with 36.4% 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.