NIM vs SCHD

Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. NIM offers more diversification with 537 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: NIM

Side-by-Side Comparison

MetricNIMSCHDWinner
Expense Ratio0.56%0.06%
AUM-$103.7B
Dividend Yield3.46%3.31%
Holdings537104
YTD Return+1.94%+25.62%
1Y Return+5.22%+32.62%
3Y Return (annualized)+5.08%+15.58%
5Y Return (annualized)+0.14%+9.63%
Volatility (annualized)8.8%13.6%
Max Drawdown-30.4%-33.4%
Fund FamilyNuveenCharles Schwab Asset Management
CategoryTax PreferredEquity
InceptionSep 18, 1992Oct 20, 2011

NIM vs SCHD Performance

Nuveen Select Maturities Municipal Fund (NIM) is a ETF from Nuveen and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year NIM returned +5.22% while SCHD returned +32.62%. Year to date, NIM is up 1.94% versus a gain of 25.62% for SCHD.

Over three years, NIM compounded at +5.08% per year against +15.58% for SCHD; over five years the annualized figures are +0.14% and +9.63% respectively. Across the full 15-year window we track, SCHD has the edge at +11.47% annualized vs -0.11%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 8.8% for NIM. 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 -30.4% for NIM 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 0.24. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

NIM charges 0.56% per year while SCHD charges 0.06%. On a $10,000 position that is $56 vs $6 annually, a gap of $50 per year that compounds over a long holding period. On income, NIM currently yields 3.46% against 3.31% for SCHD.

Frequently Asked Questions

Which is cheaper, NIM or SCHD?

NIM has an expense ratio of 0.56% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $50 per year of difference.

Which performed better, NIM or SCHD?

Over the past year NIM returned +5.22% vs +32.62% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), NIM annualized -0.11% vs +11.47% for SCHD. Past performance does not guarantee future results.

Which is riskier, NIM or SCHD?

SCHD has been the more volatile fund at 13.6% annualized versus 8.8% for NIM. Worst drawdown: NIM -30.4% vs SCHD -33.4%.

Should I hold both NIM and SCHD?

NIM and SCHD have a monthly-return correlation of 0.24, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, NIM or SCHD?

NIM yields 3.46% while SCHD yields 3.31%, so NIM currently pays the higher dividend yield.

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