PCM vs SCHD
PCM vs SCHD
PCM Fund Inc. vs Schwab US Dividend Equity ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.
Side-by-Side Comparison
| Metric | PCM | SCHD | Winner |
|---|---|---|---|
| Expense Ratio | 1.63% | 0.06% | |
| AUM | $71M | $103.7B | |
| Dividend Yield | 13.82% | 3.31% | |
| Holdings | 318 | 104 | |
| YTD Return | +0.06% | +24.26% | |
| 1Y Return | +1.08% | +31.38% | |
| 3Y Return (annualized) | -7.00% | +15.08% | |
| 5Y Return (annualized) | -3.99% | +9.72% | |
| Volatility (annualized) | 16.2% | 13.6% | |
| Max Drawdown | -73.2% | -33.4% | |
| Fund Family | PIMCO (US) | Charles Schwab Asset Management | |
| Category | Fixed Income | Equity | |
| Inception | Sep 2, 1993 | Oct 20, 2011 |
PCM vs SCHD Performance
PCM Fund Inc. (PCM) is a ETF from PIMCO (US) and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year PCM returned +1.08% while SCHD returned +31.38%. Year to date, PCM is up 0.06% versus a gain of 24.26% for SCHD.
Over three years, PCM compounded at -7.00% per year against +15.08% for SCHD; over five years the annualized figures are -3.99% and +9.72% respectively. Across the full 15-year window we track, SCHD has the edge at +11.39% annualized vs -0.66%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PCM has been the more volatile fund, with annualized monthly volatility of 16.2% 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 -73.2% for PCM 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 0.48. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
PCM charges 1.63% per year while SCHD charges 0.06%. On a $10,000 position that is $163 vs $6 annually, a gap of $157 per year that compounds over a long holding period. On income, PCM currently yields 13.82% against 3.31% for SCHD.
Holdings Overlap
PCM and SCHD share 1 holdings out of 115 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in PCM | Weight in SCHD | Difference |
|---|---|---|---|
| GVMXX | 0.15% | 0.04% | 0.11% |
Frequently Asked Questions
Which is cheaper, PCM or SCHD?
PCM has an expense ratio of 1.63% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $157 per year of difference.
Which performed better, PCM or SCHD?
Over the past year PCM returned +1.08% vs +31.38% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), PCM annualized -0.66% vs +11.39% for SCHD. Past performance does not guarantee future results.
Which is riskier, PCM or SCHD?
PCM has been the more volatile fund at 16.2% annualized versus 13.6% for SCHD. Worst drawdown: PCM -73.2% vs SCHD -33.4%.
Should I hold both PCM and SCHD?
PCM and SCHD have a monthly-return correlation of 0.48, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between PCM and SCHD?
PCM and SCHD share 1 common holdings with a 0.0% weight overlap. Combined, they hold 115 unique securities.
Which pays a higher dividend, PCM or SCHD?
PCM yields 13.82% while SCHD yields 3.31%, so PCM currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.