SCHD vs SEPI
Schwab US Dividend Equity ETF vs Shelton Equity Premium Income ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SEPI offers more diversification with 151 holdings.
Side-by-Side Comparison
| Metric | SCHD | SEPI | Winner |
|---|---|---|---|
| Expense Ratio | 0.06% | 0.54% | |
| AUM | $112.2B | $185M | |
| Dividend Yield | 3.13% | 6.77% | |
| Holdings | 103 | 151 | |
| YTD Return | +28.33% | +13.97% | |
| 1Y Return | +30.37% | +23.60% | |
| 3Y Return (annualized) | +16.64% | - | |
| 5Y Return (annualized) | +10.04% | - | |
| Volatility (annualized) | 13.6% | 10.7% | |
| Max Drawdown | -33.4% | -7.7% | |
| Fund Family | Charles Schwab Asset Management | Shelton Capital Management | |
| Category | Equity | Equity | |
| Inception | Oct 20, 2011 | Sep 8, 2025 |
SCHD vs SEPI Performance
Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Shelton Equity Premium Income ETF (SEPI) is a ETF from Shelton Capital Management. Over the past year SCHD returned +30.37% while SEPI returned +23.60%. Year to date, SCHD is up 28.33% versus a gain of 13.97% for SEPI.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 10.7% for SEPI. 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 -7.7% for SEPI. 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 0.26. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
SCHD charges 0.06% per year while SEPI charges 0.54%. On a $10,000 position that is $6 vs $54 annually, a gap of $48 per year that compounds over a long holding period. On income, SCHD currently yields 3.13% against 6.77% for SEPI.
Holdings Overlap
SCHD and SEPI share 4 holdings out of 136 unique holdings combined, representing a 5.6% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, SCHD or SEPI?
SCHD has an expense ratio of 0.06% while SEPI charges 0.54%. SCHD is the cheaper option. On a $10,000 investment, that is $48 per year of difference.
Which performed better, SCHD or SEPI?
Over the past year SCHD returned +30.37% vs +23.60% for SEPI, so SCHD leads on 1-year performance. Past performance does not guarantee future results.
Which is riskier, SCHD or SEPI?
SCHD has been the more volatile fund at 13.6% annualized versus 10.7% for SEPI. Worst drawdown: SCHD -33.4% vs SEPI -7.7%.
Should I hold both SCHD and SEPI?
SCHD and SEPI have a monthly-return correlation of 0.26, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between SCHD and SEPI?
SCHD and SEPI share 4 common holdings with a 5.6% weight overlap. Combined, they hold 136 unique securities.
Which pays a higher dividend, SCHD or SEPI?
SCHD yields 3.13% while SEPI yields 6.77%, so SEPI currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.