PPA vs SCHD
Invesco Aerospace & Defense ETF vs Schwab US Dividend Equity ETF
Which is better, PPA or SCHD?
Mid Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. PPA led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.5% of the fund in its ten largest positions against 53.6%.
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 | PPA | SCHD |
|---|---|---|
| Expense Ratio | 0.58% | 0.06%Best |
| AUM | $8.2B | $112.2B |
| Dividend Yield | 0.37% | 3.13% |
| Holdings | 63 | 103 |
| YTD Return | +2.61% | +27.56%Best |
| 1Y Return | +12.63% | +30.29%Best |
| 3Y Return (annualized) | +25.90%Best | +16.37% |
| 5Y Return (annualized) | +18.53%Best | +10.23% |
| Volatility (annualized) | 17.2% | 13.6%Best |
| Max Drawdown | -44.3% | -33.4%Best |
| $10,000 over 5 years | $23,396Best | $16,274 |
| Top 10 Weight | 53.6% | 41.5%Best |
| Fund Family | Invesco (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Mid Cap Blend | Large Cap Value |
| Inception | Oct 26, 2005 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 4, 2026 (14.9 years).
PPA 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.
PPA vs SCHD Performance
Invesco Aerospace & Defense ETF (PPA) is an ETF from Invesco (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year PPA returned +12.63% while SCHD returned +30.29%. Year to date, PPA is up 2.61% versus a gain of 27.56% for SCHD.
Over three years, PPA compounded at +25.90% per year against +16.37% for SCHD; over five years the annualized figures are +18.53% and +10.23% respectively. Across the full 15-year window we track, PPA has the edge at +16.57% annualized vs +11.53%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PPA has been the more volatile fund, with annualized monthly volatility of 17.2% 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 -44.3% for PPA 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 0.74. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
PPA charges 0.58% per year while SCHD charges 0.06%. On a $10,000 position that is $58 vs $6 annually, a gap of $52 per year that compounds over a long holding period. On income, PPA currently yields 0.37% against 3.13% for SCHD.
Holdings Overlap
7.0% of PPA's money is in holdings SCHD also owns. 3.2% of SCHD's money is in holdings PPA also owns.
PPA and SCHD share little of their money.
2 positions in common, counted across the 62 positions we hold weights for in PPA and 100 in SCHD, against full books of 63 and 103.
What only one of them owns
Our book lists 97 positions for SCHD that do not appear in our book for PPA (96.7% of the fund), and 58 for PPA that do not appear in SCHD (88.7%).
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.
You are not choosing between two funds in isolation.
Whichever of PPA 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, PPA or SCHD?
PPA has an expense ratio of 0.58% while SCHD charges 0.06%. SCHD is the cheaper option, by $52 a year on a $10,000 investment.
Which performed better, PPA or SCHD?
Over the past year PPA returned +12.63% vs +30.29% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), PPA annualized +16.57% vs +11.53% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PPA or SCHD?
PPA has been the more volatile fund at 17.2% annualized versus 13.6% for SCHD. Worst drawdown: PPA -44.3% vs SCHD -33.4%.
Should I hold both PPA and SCHD?
PPA 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 PPA and SCHD?
7.0% of PPA's money is in holdings SCHD also owns. 3.2% of SCHD's is in holdings PPA also owns. They hold 2 positions in common, counted across the 62 positions we hold weights for in PPA and 100 in SCHD.
Which pays a higher dividend, PPA or SCHD?
PPA yields 0.37% while SCHD yields 3.13%, so SCHD currently pays the higher dividend yield.
Is SCHD better than PPA?
SCHD has a lower expense ratio. PPA led over 3Y, 5Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.5% of the fund in its ten largest positions against 53.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.