MGK vs SCHD
Vanguard Morningstar Mega Cap Growth ETF vs Schwab US Dividend Equity ETF
Which is better, MGK or SCHD?
Large Cap Growth against Large Cap Value.
MGK has a lower expense ratio. MGK led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 67.1%.
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 | MGK | SCHD |
|---|---|---|
| Expense Ratio | 0.05%Best | 0.06% |
| AUM | $32.4B | $112.1B |
| Dividend Yield | 0.33% | 3.00% |
| Holdings | 55 | 103 |
| YTD Return | +8.57% | +25.84%Best |
| 1Y Return | +12.16% | +30.18%Best |
| 3Y Return (annualized) | +24.02%Best | +16.08% |
| 5Y Return (annualized) | +12.98%Best | +9.97% |
| Volatility (annualized) | 16.7% | 13.6%Best |
| Max Drawdown | -36.0% | -33.4%Best |
| $10,000 over 5 years | $18,408Best | $16,083 |
| Top 10 Weight | 67.1% | 41.8%Best |
| Fund Family | Vanguard (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Value |
| Inception | Dec 17, 2007 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 15, 2026 (14.9 years).
MGK 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.
MGK vs SCHD Performance
Vanguard Morningstar Mega Cap Growth ETF (MGK) is an ETF from Vanguard (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year MGK returned +12.16% while SCHD returned +30.18%. Year to date, MGK is up 8.57% versus a gain of 25.84% for SCHD.
Over three years, MGK compounded at +24.02% per year against +16.08% for SCHD; over five years the annualized figures are +12.98% and +9.97% respectively. Across the full 15-year window we track, MGK has the edge at +16.51% annualized vs +11.40%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
MGK has been the more volatile fund, with annualized monthly volatility of 16.7% 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 -36.0% for MGK 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 0.65. They move together some of the time, and apart the rest.
Fees and Cost Over Time
MGK charges 0.05% per year while SCHD charges 0.06%. On a $10,000 position that is $5 vs $6 annually, a gap of $1 per year that compounds over a long holding period. On income, MGK currently yields 0.33% against 3.00% for SCHD.
Holdings Overlap
We hold position weights for 57 holdings in MGK and 100 in SCHD, totalling 99.8% 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 57 positions we hold weights for in MGK and 100 in SCHD, against full books of 55 and 103.
What only one of them owns
Measured across the 57 and 100 positions we hold weights for.
SCHD holds 99 positions MGK does not, 99.9% of the fund.
Largest: MRK 4.77%, AMGN 4.70%, ABT 4.69%, KO 4.17%, CVX 4.02%
You are not choosing between two funds in isolation.
Whichever of MGK 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, MGK or SCHD?
MGK has an expense ratio of 0.05% while SCHD charges 0.06%. MGK is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, MGK or SCHD?
Over the past year MGK returned +12.16% vs +30.18% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), MGK annualized +16.51% vs +11.40% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, MGK or SCHD?
MGK has been the more volatile fund at 16.7% annualized versus 13.6% for SCHD. Worst drawdown: MGK -36.0% vs SCHD -33.4%.
Should I hold both MGK and SCHD?
MGK and SCHD have a monthly-return correlation of 0.65, 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, MGK or SCHD?
MGK yields 0.33% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.
Is SCHD better than MGK?
MGK has a lower expense ratio. MGK led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 67.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.