LQDI vs SCHD
iShares Inflation Hedged Corporate Bond ETF vs Schwab US Dividend Equity ETF
Which is better, LQDI or SCHD?
Long Term Mid Quality against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y 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 | LQDI | SCHD |
|---|---|---|
| Expense Ratio | 0.18% | 0.06%Best |
| AUM | $71M | $112.1B |
| Dividend Yield | 4.69% | 3.00% |
| Holdings | 128 | 103 |
| YTD Return | -3.87% | +25.07%Best |
| 1Y Return | -5.25% | +27.61%Best |
| 3Y Return (annualized) | +3.67% | +15.74%Best |
| 5Y Return (annualized) | -0.28% | +9.89%Best |
| Volatility (annualized) | 9.1%Best | 16.3% |
| Max Drawdown | -29.0%Best | -33.4% |
| $10,000 over 5 years | $9,861 | $16,025Best |
| Fund Family | iShares by BlackRock (US) | Charles Schwab Asset Management |
| Category | Fixed Income | Equity |
| Style | Long Term Mid Quality | Large Cap Value |
| Inception | May 8, 2018 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 14, 2018 to Sep 11, 2026 (8.3 years).
LQDI 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 8.3 years both funds cover.
LQDI vs SCHD Performance
iShares Inflation Hedged Corporate Bond ETF (LQDI) 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 LQDI returned -5.25% while SCHD returned +27.61%. Year to date, LQDI is down 3.87% versus a gain of 25.07% for SCHD.
Over three years, LQDI compounded at +3.67% per year against +15.74% for SCHD; over five years the annualized figures are -0.28% and +9.89% respectively. Across the full 8-year window we track, SCHD has the edge at +11.70% annualized vs +3.44%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 16.3% compared with 9.1% for LQDI. 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 -29.0% for LQDI 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 0.63. They move together some of the time, and apart the rest.
Fees and Cost Over Time
LQDI 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, LQDI currently yields 4.69% against 3.00% for SCHD.
Holdings Overlap
We hold position weights for 2 holdings in LQDI and 100 in SCHD, totalling 95.9% 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 2 positions we hold weights for in LQDI and 100 in SCHD, against full books of 128 and 103.
You are not choosing between two funds in isolation.
Whichever of LQDI 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, LQDI or SCHD?
LQDI 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, LQDI or SCHD?
Over the past year LQDI returned -5.25% vs +27.61% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (8 years), LQDI annualized +3.44% vs +11.70% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LQDI or SCHD?
SCHD has been the more volatile fund at 16.3% annualized versus 9.1% for LQDI. Worst drawdown: LQDI -29.0% vs SCHD -33.4%.
Should I hold both LQDI and SCHD?
LQDI and SCHD have a monthly-return correlation of 0.63, 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, LQDI or SCHD?
LQDI yields 4.69% while SCHD yields 3.00%, so LQDI currently pays the higher dividend yield.
Is SCHD better than LQDI?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.