LFDR vs SCHD

Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricLFDRSCHDWinner
Expense Ratio0.25%0.06%
AUM$822,715.73$103.7B
Dividend Yield8.50%3.31%
Holdings17104
YTD Return-5.52%+24.26%
1Y Return-3.84%+31.38%
3Y Return (annualized)-+15.08%
5Y Return (annualized)-+9.72%
Volatility (annualized)8.2%13.6%
Max Drawdown-9.3%-33.4%
Fund FamilyStone Ridge Asset ManagementCharles Schwab Asset Management
CategoryFixed IncomeEquity
InceptionJan 8, 2024Oct 20, 2011

LFDR vs SCHD Performance

LifeX Durable Income ETF (LFDR) is a ETF from Stone Ridge Asset Management and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year LFDR returned -3.84% while SCHD returned +31.38%. Year to date, LFDR is down 5.52% versus a gain of 24.26% for SCHD.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 8.2% for LFDR. 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 -9.3% for LFDR and -33.4% for SCHD. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.06. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

LFDR 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, LFDR currently yields 8.50% against 3.31% for SCHD.

Holdings Overlap

0.0%overlap

LFDR and SCHD share 0 holdings out of 114 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, LFDR or SCHD?

LFDR has an expense ratio of 0.25% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $19 per year of difference.

Which performed better, LFDR or SCHD?

Over the past year LFDR returned -3.84% vs +31.38% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), LFDR annualized -1.41% vs +11.39% for SCHD. Past performance does not guarantee future results.

Which is riskier, LFDR or SCHD?

SCHD has been the more volatile fund at 13.6% annualized versus 8.2% for LFDR. Worst drawdown: LFDR -9.3% vs SCHD -33.4%.

Should I hold both LFDR and SCHD?

LFDR and SCHD have a monthly-return correlation of 0.06, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LFDR and SCHD?

LFDR and SCHD share 0 common holdings with a 0.0% weight overlap. Combined, they hold 114 unique securities.

Which pays a higher dividend, LFDR or SCHD?

LFDR yields 8.50% while SCHD yields 3.31%, so LFDR currently pays the higher dividend yield.

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