LFAO vs SCHD
LifeX 2055 Longevity Income ETF vs Schwab US Dividend Equity ETF
Which is better, LFAO or SCHD?
Long Term Government Bond against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y 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 | LFAO | SCHD |
|---|---|---|
| Expense Ratio | 0.25% | 0.06%Best |
| AUM | $3M | $112.1B |
| Dividend Yield | 11.08% | 3.00% |
| Holdings | 27 | 103 |
| YTD Return | -6.95% | +23.60%Best |
| 1Y Return | -6.30% | +28.29%Best |
| 3Y Return (annualized) | - | +16.25% |
| 5Y Return (annualized) | - | +10.25% |
| Volatility (annualized) | 7.5%Best | 13.9% |
| Max Drawdown | -10.3%Best | -16.1% |
| $10,000 over 2 years | $9,055 | $12,912Best |
| Fund Family | Stone Ridge Asset Management | Charles Schwab Asset Management |
| Category | Fixed Income | Equity |
| Style | Long Term Government Bond | Large Cap Value |
| Inception | Jan 8, 2024 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2 years row, are measured over the window both funds cover: Sep 16, 2024 to Sep 21, 2026 (2 years).
LFAO 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 2 years both funds cover.
LFAO vs SCHD Performance
LifeX 2055 Longevity Income ETF (LFAO) is an ETF from Stone Ridge Asset Management and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year LFAO returned -6.30% while SCHD returned +28.29%. Year to date, LFAO is down 6.95% versus a gain of 23.60% for SCHD.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.9% compared with 7.5% for LFAO. 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 -10.3% for LFAO and -16.1% 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 0.26. They move largely independently of each other.
Fees and Cost Over Time
LFAO charges 0.25% per year while SCHD charges 0.06%. On a $10,000 position that is $25 vs $6 annually, a gap of $19 per year that compounds over a long holding period. On income, LFAO currently yields 11.08% against 3.00% for SCHD.
Holdings Overlap
We hold position weights for 17 holdings in LFAO and 100 in SCHD, totalling 87.8% 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 17 positions we hold weights for in LFAO and 100 in SCHD, against full books of 27 and 103.
You are not choosing between two funds in isolation.
Whichever of LFAO 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, LFAO or SCHD?
LFAO has an expense ratio of 0.25% while SCHD charges 0.06%. SCHD is the cheaper option, by $19 a year on a $10,000 investment.
Which performed better, LFAO or SCHD?
Over the past year LFAO returned -6.30% vs +28.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), LFAO annualized -4.84% vs +13.63% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LFAO or SCHD?
SCHD has been the more volatile fund at 13.9% annualized versus 7.5% for LFAO. Worst drawdown: LFAO -10.3% vs SCHD -16.1%.
Should I hold both LFAO and SCHD?
LFAO and SCHD have a monthly-return correlation of 0.26, 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, LFAO or SCHD?
LFAO yields 11.08% while SCHD yields 3.00%, so LFAO currently pays the higher dividend yield.
Is SCHD better than LFAO?
SCHD has a lower expense ratio. SCHD led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.