PFL vs SCHD
PIMCO Income Strategy Fund vs Schwab US Dividend Equity ETF
Which is better, PFL or SCHD?
Diversified Sectoral Bond against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window.
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 | PFL | SCHD |
|---|---|---|
| Expense Ratio | 1.37% | 0.06%Best |
| AUM | $381M | $112.1B |
| Dividend Yield | 13.06% | 3.00% |
| Holdings | 401 | 103 |
| YTD Return | -10.58% | +21.99%Best |
| 1Y Return | -8.61% | +25.92%Best |
| 3Y Return (annualized) | +8.99% | +15.66%Best |
| 5Y Return (annualized) | +0.90% | +9.48%Best |
| Volatility (annualized) | 13.5%Best | 13.7% |
| Max Drawdown | -53.9% | -33.4%Best |
| $10,000 over 5 years | $10,458 | $15,728Best |
| Fund Family | PIMCO (US) | Charles Schwab Asset Management |
| Category | Fixed Income | Equity |
| Style | Diversified Sectoral Bond | Large Cap Value |
| Inception | Aug 26, 2003 | Oct 20, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 23, 2026 (14.9 years).
PFL 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.
PFL vs SCHD Performance
PIMCO Income Strategy Fund (PFL) is an ETF from PIMCO (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year PFL returned -8.61% while SCHD returned +25.92%. Year to date, PFL is down 10.58% versus a gain of 21.99% for SCHD.
Over three years, PFL compounded at +8.99% per year against +15.66% for SCHD; over five years the annualized figures are +0.90% and +9.48% respectively. Across the full 15-year window we track, SCHD has the edge at +11.15% annualized vs +1.62%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.7% compared with 13.5% for PFL. 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 -53.9% for PFL 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 0.63. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PFL charges 1.37% per year while SCHD charges 0.06%. On a $10,000 position that is $137 vs $6 annually, a gap of $131 per year that compounds over a long holding period. On income, PFL currently yields 13.06% against 3.00% for SCHD.
Holdings Overlap
At least 0.1% of SCHD's money is in holdings PFL also owns.
Stated as a floor: for PFL, our book for it covers 7.1% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
The two holdings books were reported 335 days apart, PFL as of Sep 30, 2025 and SCHD as of Aug 31, 2026, so some of the difference between them is the time between the two reports rather than the funds.
1 positions in common, counted across the 21 positions we hold weights for in PFL and 100 in SCHD, against full books of 401 and 103.
Top Shared Holdings
| Stock | Weight in PFL | Weight in SCHD | Difference |
|---|---|---|---|
| GVMXXState Street Institutional US Government Money Market Fund | 0.06% | 0.06% | 0.00% |
You are not choosing between two funds in isolation.
Whichever of PFL 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, PFL or SCHD?
PFL has an expense ratio of 1.37% while SCHD charges 0.06%. SCHD is the cheaper option, by $131 a year on a $10,000 investment.
Which performed better, PFL or SCHD?
Over the past year PFL returned -8.61% vs +25.92% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), PFL annualized +1.62% vs +11.15% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PFL or SCHD?
SCHD has been the more volatile fund at 13.7% annualized versus 13.5% for PFL. Worst drawdown: PFL -53.9% vs SCHD -33.4%.
Should I hold both PFL and SCHD?
PFL and SCHD have a monthly-return correlation of 0.63, 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, PFL or SCHD?
PFL yields 13.06% while SCHD yields 3.00%, so PFL currently pays the higher dividend yield.
Is SCHD better than PFL?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.