PEPS vs SCHD
Parametric Equity Plus ETF vs Schwab US Dividend Equity ETF
Which is better, PEPS or SCHD?
Large Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. PEPS led over the full window, SCHD over 1Y. PEPS is less concentrated, with 37.1% of the fund in its ten largest positions against 41.5%.
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 | PEPS | SCHD |
|---|---|---|
| Expense Ratio | 0.10% | 0.06%Best |
| AUM | $30M | $112.2B |
| Dividend Yield | 0.93% | 3.13% |
| Holdings | 193 | 103 |
| YTD Return | +12.76% | +27.56%Best |
| 1Y Return | +21.06% | +30.29%Best |
| 3Y Return (annualized) | - | +16.37% |
| 5Y Return (annualized) | - | +10.23% |
| Volatility (annualized) | 12.9%Best | 13.9% |
| Max Drawdown | -21.0% | -16.1%Best |
| $10,000 over 1.8 years | $13,393Best | $12,724 |
| Top 10 Weight | 37.1%Best | 41.5% |
| Fund Family | Parametric | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Nov 7, 2024 | Oct 20, 2011 |
Volatility and max drawdown, and the $10,000 over 1.8 years row, are measured over the window both funds cover: Nov 8, 2024 to Sep 4, 2026 (1.8 years).
PEPS 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 1.8 years both funds cover.
PEPS vs SCHD Performance
Parametric Equity Plus ETF (PEPS) is an ETF from Parametric and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year PEPS returned +21.06% while SCHD returned +30.29%. Year to date, PEPS is up 12.76% versus a gain of 27.56% for SCHD.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.9% compared with 12.9% for PEPS. 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 -21.0% for PEPS and -16.1% 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 0.34. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PEPS charges 0.10% per year while SCHD charges 0.06%. On a $10,000 position that is $10 vs $6 annually, a gap of $4 per year that compounds over a long holding period. On income, PEPS currently yields 0.93% against 3.13% for SCHD.
Holdings Overlap
7.1% of PEPS's money is in holdings SCHD also owns. 38.6% of SCHD's money is in holdings PEPS also owns.
The two portfolios partly overlap.
15 positions in common, counted across the 194 positions we hold weights for in PEPS and 100 in SCHD, against full books of 193 and 103.
What only one of them owns
Our book lists 83 positions for SCHD that do not appear in our book for PEPS (61.0% of the fund), and 168 for PEPS that do not appear in SCHD (89.4%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in PEPS | Weight in SCHD | Difference |
|---|---|---|---|
| AMGNAmgen Inc. | 0.49% | 4.62% | 4.13% |
| MRKMerck & Co. Inc. | 0.75% | 4.26% | 3.51% |
| HDHome Depot Inc/The | 0.69% | 4.32% | 3.63% |
| KOCoca-cola Co. | 0.75% | 4.20% | 3.45% |
| UNHUnitedhealth Group | 0.65% | 4.11% | 3.46% |
| CVXChevron Corp.United States -Energy | 0.87% | 3.74% | 2.87% |
| PGProcter & Gamble Company | 0.61% | 3.96% | 3.35% |
| PEPPepsico Inc. | 0.37% | 3.71% | 3.34% |
| FFord Motor Credit | 0.32% | 1.37% | 1.05% |
| DVNDevon Energy Corporation 4.75 05/15/2042 | 0.36% | 1.24% | 0.88% |
38.6% of SCHD is already inside PEPS.
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, PEPS or SCHD?
PEPS has an expense ratio of 0.10% while SCHD charges 0.06%. SCHD is the cheaper option, by $4 a year on a $10,000 investment.
Which performed better, PEPS or SCHD?
Over the past year PEPS returned +21.06% vs +30.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), PEPS annualized +17.62% vs +14.32% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PEPS or SCHD?
SCHD has been the more volatile fund at 13.9% annualized versus 12.9% for PEPS. Worst drawdown: PEPS -21.0% vs SCHD -16.1%.
Should I hold both PEPS and SCHD?
PEPS and SCHD have a monthly-return correlation of 0.34, 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 PEPS and SCHD?
38.6% of SCHD's money is in holdings PEPS also owns. 38.6% of SCHD's is in holdings PEPS also owns. They hold 15 positions in common, counted across the 194 positions we hold weights for in PEPS and 100 in SCHD.
Which pays a higher dividend, PEPS or SCHD?
PEPS yields 0.93% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.
Is SCHD better than PEPS?
SCHD has a lower expense ratio. PEPS led over the full window, SCHD over 1Y. PEPS is less concentrated, with 37.1% of the fund in its ten largest positions against 41.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.