SCHD vs SCO

SCHD vs SCO
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Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 103 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricSCHDSCOWinner
Expense Ratio0.06%0.95%
AUM$112.2B$759M
Dividend Yield3.13%0.00%
Holdings1035
YTD Return+27.60%-71.39%
1Y Return+29.63%-65.21%
3Y Return (annualized)+16.43%-31.47%
5Y Return (annualized)+10.05%-42.65%
Volatility (annualized)13.6%114.3%
Max Drawdown-33.4%-99.8%
Fund FamilyCharles Schwab Asset ManagementProShares
CategoryEquityAlternative
InceptionOct 20, 2011Nov 24, 2008

SCHD vs SCO Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and ProShares UltraShort Bloomberg Crude Oil (SCO) is a ETF from ProShares. Over the past year SCHD returned +29.63% while SCO returned -65.21%. Year to date, SCHD is up 27.60% versus a loss of 71.39% for SCO.

Over three years, SCHD compounded at +16.43% per year against -31.47% for SCO; over five years the annualized figures are +10.05% and -42.65% respectively. Across the full 15-year window we track, SCHD has the edge at +11.54% annualized vs -19.78%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCO has been the more volatile fund, with annualized monthly volatility of 114.3% 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 -33.4% for SCHD and -99.8% for SCO. 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 -0.44. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while SCO charges 0.95%. On a $10,000 position that is $6 vs $95 annually, a gap of $89 per year that compounds over a long holding period. On income, SCHD currently yields 3.13% against 0.00% for SCO.

Holdings Overlap

0.0%overlap

SCHD and SCO share 0 holdings out of 101 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, SCHD or SCO?

SCHD has an expense ratio of 0.06% while SCO charges 0.95%. SCHD is the cheaper option. On a $10,000 investment, that is $89 per year of difference.

Which performed better, SCHD or SCO?

Over the past year SCHD returned +29.63% vs -65.21% for SCO, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.54% vs -19.78% for SCO. Past performance does not guarantee future results.

Which is riskier, SCHD or SCO?

SCO has been the more volatile fund at 114.3% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs SCO -99.8%.

Should I hold both SCHD and SCO?

SCHD and SCO have a monthly-return correlation of -0.44, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and SCO?

SCHD and SCO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 101 unique securities.

Which pays a higher dividend, SCHD or SCO?

SCHD yields 3.13% while SCO yields 0.00%, so SCHD currently pays the higher dividend yield.

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