SCHB vs SPY
Schwab US Broad Market ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, SCHB or SPY?
Nearly the same fund. SCHB costs less.
SCHB has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 1.00. SCHB is less concentrated, with 33.8% of the fund in its ten largest positions against 37.8%.
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 | SCHB | SPY |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.09% |
| AUM | $44.3B | $804.7B |
| Dividend Yield | 1.02% | 0.98% |
| Holdings | 2,354 | 505 |
| YTD Return | +12.39%Best | +12.09% |
| 1Y Return | +16.06% | +16.29%Best |
| 3Y Return (annualized) | +21.03% | +21.20%Best |
| 5Y Return (annualized) | +12.42% | +13.37%Best |
| Volatility (annualized) | 14.8% | 14.4%Best |
| Max Drawdown | -35.3% | -34.1%Best |
| $10,000 over 5 years | $17,956 | $18,728Best |
| Top 10 Weight | 33.8%Best | 37.8% |
| Fund Family | Charles Schwab Asset Management | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Nov 3, 2009 | Jan 22, 1993 |
Volatility and max drawdown are measured over the window both funds cover: Nov 3, 2009 to Sep 18, 2026 (16.9 years).
SCHB vs SPY 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 16.9 years both funds cover.
SCHB vs SPY Performance
Schwab US Broad Market ETF (SCHB) is an ETF from Charles Schwab Asset Management and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year SCHB returned +16.06% while SPY returned +16.29%. Year to date, SCHB is up 12.39% versus a gain of 12.09% for SPY.
Over three years, SCHB compounded at +21.03% per year against +21.20% for SPY; over five years the annualized figures are +12.42% and +13.37% respectively. Across the full 17-year window we track, SPY has the edge at +12.98% annualized vs +12.89%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHB has been the more volatile fund, with annualized monthly volatility of 14.8% compared with 14.4% for SPY. 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 -35.3% for SCHB and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 1.00. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
SCHB charges 0.03% per year while SPY charges 0.09%. On a $10,000 position that is $3 vs $9 annually, a gap of $6 per year that compounds over a long holding period. On income, SCHB currently yields 1.02% against 0.98% for SPY.
Holdings Overlap
88.4% of SCHB's money is in holdings SPY also owns. 99.4% of SPY's money is in holdings SCHB also owns.
Most of SPY is already inside SCHB. Owning both mostly buys the same companies twice.
495 positions in common, counted across the 2,345 positions we hold weights for in SCHB and 504 in SPY, against full books of 2,354 and 505.
What only one of them owns
Our book lists 4 positions for SPY that do not appear in our book for SCHB (0.2% of the fund), and 663 for SCHB that do not appear in SPY (9.4%).
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 SCHB | Weight in SPY | Difference |
|---|---|---|---|
| NVDANvidia Corp | 7.10% | 8.01% | 0.91% |
| AAPLApple, Inc | 6.11% | 7.26% | 1.15% |
| MSFTMicrosoft Corp | 4.84% | 5.66% | 0.82% |
| AMZNAmazon.Com Inc | 3.57% | 3.79% | 0.22% |
| GOOGLAlphabet Inc,class A | 2.84% | 2.99% | 0.15% |
| AVGOBroadcom Inc | 2.65% | 2.66% | 0.01% |
| GOOGAlphabet Inc | 2.28% | 2.39% | 0.11% |
| METAMeta Platforms Inc | 1.73% | 1.93% | 0.20% |
| MUMicron Technology, Inc. | 1.35% | 1.60% | 0.25% |
| JPMJpmorgan Chase | 1.29% | 1.45% | 0.16% |
99.4% of SPY is already inside SCHB.
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, SCHB or SPY?
SCHB has an expense ratio of 0.03% while SPY charges 0.09%. SCHB is the cheaper option, by $6 a year on a $10,000 investment.
Which performed better, SCHB or SPY?
Over the past year SCHB returned +16.06% vs +16.29% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (17 years), SCHB annualized +12.89% vs +12.98% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHB or SPY?
SCHB has been the more volatile fund at 14.8% annualized versus 14.4% for SPY. Worst drawdown: SCHB -35.3% vs SPY -34.1%.
Should I hold both SCHB and SPY?
SCHB and SPY have a monthly-return correlation of 1.00, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between SCHB and SPY?
99.4% of SPY's money is in holdings SCHB also owns. 99.4% of SPY's is in holdings SCHB also owns. They hold 495 positions in common, counted across the 2,345 positions we hold weights for in SCHB and 504 in SPY.
Which pays a higher dividend, SCHB or SPY?
SCHB yields 1.02% while SPY yields 0.98%, so SCHB currently pays the higher dividend yield.
Is SPY better than SCHB?
SCHB has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 1.00. SCHB is less concentrated, with 33.8% of the fund in its ten largest positions against 37.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.