Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricRAYCSCHDWinner
Expense Ratio0.80%0.06%
AUM$82M$103.7B
Dividend Yield5.19%3.31%
Holdings76104
YTD Return+31.98%+24.26%
1Y Return+22.93%+31.38%
3Y Return (annualized)+2.77%+15.08%
5Y Return (annualized)-5.51%+9.72%
Volatility (annualized)22.0%13.6%
Max Drawdown-57.6%-33.4%
Fund FamilyThe Advisors Inner Circle FundCharles Schwab Asset Management
CategoryEquityEquity
InceptionDec 30, 2020Oct 20, 2011

RAYC vs SCHD Performance

Rayliant Quantamental China Equity ETF (RAYC) is a ETF from The Advisors Inner Circle Fund and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year RAYC returned +22.93% while SCHD returned +31.38%. Year to date, RAYC is up 31.98% versus a gain of 24.26% for SCHD.

Over three years, RAYC compounded at +2.77% per year against +15.08% for SCHD; over five years the annualized figures are -5.51% and +9.72% respectively. Across the full 5-year window we track, SCHD has the edge at +11.39% annualized vs -5.51%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

RAYC has been the more volatile fund, with annualized monthly volatility of 22.0% 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 -57.6% for RAYC 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 0.17. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

RAYC charges 0.80% per year while SCHD charges 0.06%. On a $10,000 position that is $80 vs $6 annually, a gap of $74 per year that compounds over a long holding period. On income, RAYC currently yields 5.19% against 3.31% for SCHD.

Holdings Overlap

0.0%overlap

RAYC and SCHD share 0 holdings out of 172 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, RAYC or SCHD?

RAYC has an expense ratio of 0.80% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $74 per year of difference.

Which performed better, RAYC or SCHD?

Over the past year RAYC returned +22.93% vs +31.38% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (5 years), RAYC annualized -5.51% vs +11.39% for SCHD. Past performance does not guarantee future results.

Which is riskier, RAYC or SCHD?

RAYC has been the more volatile fund at 22.0% annualized versus 13.6% for SCHD. Worst drawdown: RAYC -57.6% vs SCHD -33.4%.

Should I hold both RAYC and SCHD?

RAYC and SCHD have a monthly-return correlation of 0.17, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between RAYC and SCHD?

RAYC and SCHD share 0 common holdings with a 0.0% weight overlap. Combined, they hold 172 unique securities.

Which pays a higher dividend, RAYC or SCHD?

RAYC yields 5.19% while SCHD yields 3.31%, so RAYC currently pays the higher dividend yield.

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