PALC vs SCHD

PALC vs SCHD

Which is better, PALC or SCHD?

Large Cap Blend against Large Cap Value.

SCHD has a lower expense ratio. PALC led over the full window, SCHD over 1Y, 3Y and 5Y. PALC is less concentrated, with 27.9% of the fund in its ten largest positions against 41.8%.

Lower Fees: SCHDHigher Returns: splitLess Concentrated: PALC

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

MetricPALCSCHD
Expense Ratio0.60%0.06%Best
AUM$211M$112.1B
Dividend Yield1.06%3.00%
Holdings184103
YTD Return+6.52%+23.60%Best
1Y Return+9.32%+28.29%Best
3Y Return (annualized)+15.48%+16.25%Best
5Y Return (annualized)+8.55%+10.25%Best
Volatility (annualized)17.2%15.2%Best
Max Drawdown-24.4%-16.9%Best
$10,000 over 5 years$15,071$16,289Best
Top 10 Weight27.9%Best41.8%
Fund FamilyPacer ETFsCharles Schwab Asset Management
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Value
InceptionJun 24, 2020Oct 20, 2011

Volatility and max drawdown are measured over the window both funds cover: Jun 25, 2020 to Sep 21, 2026 (6.2 years).

PALC 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 6.2 years both funds cover.

PALC vs SCHD Performance

Pacer Lunt Large Cap Multi-Factor Alternator ETF (PALC) is an ETF from Pacer ETFs and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year PALC returned +9.32% while SCHD returned +28.29%. Year to date, PALC is up 6.52% versus a gain of 23.60% for SCHD.

Over three years, PALC compounded at +15.48% per year against +16.25% for SCHD; over five years the annualized figures are +8.55% and +10.25% respectively. Across the full 6-year window we track, PALC has the edge at +15.00% annualized vs +14.98%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PALC has been the more volatile fund, with annualized monthly volatility of 17.2% compared with 15.2% 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 -24.4% for PALC and -16.9% 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 0.74. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PALC charges 0.60% per year while SCHD charges 0.06%. On a $10,000 position that is $60 vs $6 annually, a gap of $54 per year that compounds over a long holding period. On income, PALC currently yields 1.06% against 3.00% for SCHD.

Holdings Overlap

PALC already in SCHD12.1%
SCHD already in PALC31.2%

12.1% of PALC's money is in holdings SCHD also owns. 31.2% of SCHD's money is in holdings PALC also owns.

The two portfolios partly overlap.

19 positions in common, counted across the 183 positions we hold weights for in PALC and 100 in SCHD, against full books of 184 and 103.

What only one of them owns

Measured across the 183 and 100 positions we hold weights for.

SCHD holds 80 positions PALC does not, 68.8% of the fund.

Largest: AMGN 4.70%, ABT 4.69%, KO 4.17%, COP 3.94%, HD 3.88%

Top Shared Holdings

StockWeight in PALCWeight in SCHDDifference
MRKMerck & Company Inc1.33%4.77%3.44%
VZVerizon Communic2.07%3.97%1.90%
CVXChevron Corp1.60%4.02%2.42%
CMCSAComcast Corp-class A Cmcsa1.63%2.31%0.68%
MOAltria Group Inc0.58%2.79%2.21%
TGTTarget Corp Common Stock Usd.08330.75%1.78%1.03%
EOGEog Resources Inc0.55%1.88%1.33%
FFord Motor Credit0.83%1.33%0.50%
DVNDevon Energy Corporation0.49%1.36%0.87%
FITBFifth Third Bancorp0.29%1.19%0.90%

31.2% of SCHD is already inside PALC.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

PALCSCHD

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, PALC or SCHD?

PALC has an expense ratio of 0.60% while SCHD charges 0.06%. SCHD is the cheaper option, by $54 a year on a $10,000 investment.

Which performed better, PALC or SCHD?

Over the past year PALC returned +9.32% vs +28.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (6 years), PALC annualized +15.00% vs +14.98% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PALC or SCHD?

PALC has been the more volatile fund at 17.2% annualized versus 15.2% for SCHD. Worst drawdown: PALC -24.4% vs SCHD -16.9%.

Should I hold both PALC and SCHD?

PALC and SCHD have a monthly-return correlation of 0.74, 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 PALC and SCHD?

31.2% of SCHD's money is in holdings PALC also owns. 31.2% of SCHD's is in holdings PALC also owns. They hold 19 positions in common, counted across the 183 positions we hold weights for in PALC and 100 in SCHD.

Which pays a higher dividend, PALC or SCHD?

PALC yields 1.06% while SCHD yields 3.00%, so SCHD currently pays the higher dividend yield.

Is SCHD better than PALC?

SCHD has a lower expense ratio. PALC led over the full window, SCHD over 1Y, 3Y and 5Y. PALC is less concentrated, with 27.9% 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.