LVHD vs SCHD
Franklin U.S. Low Volatility High Dividend Index ETF vs Schwab US Dividend Equity ETF
Which is better, LVHD or SCHD?
SCHD has been ahead.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. LVHD is less concentrated, with 26.7% 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 | LVHD | SCHD |
|---|---|---|
| Expense Ratio | 0.27% | 0.06%Best |
| AUM | $620M | $112.1B |
| Dividend Yield | 3.38% | 3.00% |
| Holdings | 117 | 103 |
| YTD Return | +6.95% | +21.73%Best |
| 1Y Return | +6.90% | +26.35%Best |
| 3Y Return (annualized) | +11.69% | +16.02%Best |
| 5Y Return (annualized) | +6.72% | +9.26%Best |
| Volatility (annualized) | 13.6%Best | 14.9% |
| Max Drawdown | -37.3% | -33.4%Best |
| $10,000 over 5 years | $13,843 | $15,571Best |
| Top 10 Weight | 26.7%Best | 41.8% |
| Fund Family | Franklin Templeton Investments (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Dec 28, 2015 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Dec 29, 2015 to Sep 25, 2026 (10.7 years).
LVHD 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 10.7 years both funds cover.
LVHD vs SCHD Performance
Franklin U.S. Low Volatility High Dividend Index ETF (LVHD) is an ETF from Franklin Templeton Investments (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year LVHD returned +6.90% while SCHD returned +26.35%. Year to date, LVHD is up 6.95% versus a gain of 21.73% for SCHD.
Over three years, LVHD compounded at +11.69% per year against +16.02% for SCHD; over five years the annualized figures are +6.72% and +9.26% respectively. Across the full 11-year window we track, SCHD has the edge at +11.04% annualized vs +6.80%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 14.9% compared with 13.6% for LVHD. 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 -37.3% for LVHD 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 0.89. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
LVHD charges 0.27% per year while SCHD charges 0.06%. On a $10,000 position that is $27 vs $6 annually, a gap of $21 per year that compounds over a long holding period. On income, LVHD currently yields 3.38% against 3.00% for SCHD.
Holdings Overlap
34.5% of LVHD's money is in holdings SCHD also owns. 37.9% of SCHD's money is in holdings LVHD also owns.
The two portfolios partly overlap.
23 positions in common, counted across the 115 positions we hold weights for in LVHD and 100 in SCHD, against full books of 117 and 103.
What only one of them owns
Measured across the 115 and 100 positions we hold weights for.
SCHD holds 76 positions LVHD does not, 62.0% of the fund.
Largest: MRK 4.77%, AMGN 4.70%, ABT 4.69%, COP 3.94%, UNH 3.82%
Top Shared Holdings
| Stock | Weight in LVHD | Weight in SCHD | Difference |
|---|---|---|---|
| KOCoca Cola Co. | 2.81% | 4.17% | 1.36% |
| VZVerizon Communic | 2.85% | 3.97% | 1.12% |
| CVXChevron Corp | 2.71% | 4.02% | 1.31% |
| PGProcter & Gamble Company | 2.49% | 3.83% | 1.34% |
| HDHome Depot Inc/The | 2.40% | 3.88% | 1.48% |
| PEPPepsico Inc. | 2.60% | 3.64% | 1.04% |
| MOAltria Group Inc | 2.54% | 2.79% | 0.25% |
| LMTLockheed Martin Corp | 2.13% | 2.78% | 0.65% |
| ADPAutomatic Data Processing, Inc. | 2.03% | 2.79% | 0.76% |
| KMBKimberly-Clark Corp. | 2.69% | 0.87% | 1.82% |
37.9% of SCHD is already inside LVHD.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, LVHD or SCHD?
LVHD has an expense ratio of 0.27% while SCHD charges 0.06%. SCHD is the cheaper option, by $21 a year on a $10,000 investment.
Which performed better, LVHD or SCHD?
Over the past year LVHD returned +6.90% vs +26.35% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (11 years), LVHD annualized +6.80% vs +11.04% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LVHD or SCHD?
SCHD has been the more volatile fund at 14.9% annualized versus 13.6% for LVHD. Worst drawdown: LVHD -37.3% vs SCHD -33.4%.
Should I hold both LVHD and SCHD?
LVHD and SCHD have a monthly-return correlation of 0.89, 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 LVHD and SCHD?
37.9% of SCHD's money is in holdings LVHD also owns. 37.9% of SCHD's is in holdings LVHD also owns. They hold 23 positions in common, counted across the 115 positions we hold weights for in LVHD and 100 in SCHD.
Which pays a higher dividend, LVHD or SCHD?
LVHD yields 3.38% while SCHD yields 3.00%, so LVHD currently pays the higher dividend yield.
Is SCHD better than LVHD?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. LVHD is less concentrated, with 26.7% 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.