SCHD vs SOXL

SCHD vs SOXL

Which is better, SCHD or SOXL?

Large Cap Value against Multi Alternative.

SCHD has a lower expense ratio. SOXL led over 1Y, 3Y, 5Y and the full window.

Lower Fees: SCHDHigher Returns: SOXL

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

MetricSCHDSOXL
Expense Ratio0.06%Best0.75%
AUM$112.2B$19.0B
Dividend Yield3.13%0.01%
Holdings10344
YTD Return+27.56%+148.26%Best
1Y Return+30.29%+357.23%Best
3Y Return (annualized)+16.37%+70.24%Best
5Y Return (annualized)+10.23%+20.73%Best
Volatility (annualized)13.6%Best88.4%
Max Drawdown-33.4%Best-90.5%
$10,000 over 5 years$16,274$25,649Best
Fund FamilyCharles Schwab Asset ManagementDirexion Shares ETF Trust
CategoryEquityAlternative
StyleLarge Cap ValueMulti Alternative
InceptionOct 20, 2011Mar 11, 2010

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 4, 2026 (14.9 years).

SCHD vs SOXL 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

SCHD vs SOXL Performance

Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Direxion Daily Semiconductor Bull 3X ETF (SOXL) is an ETF from Direxion Shares ETF Trust. Over the past year SCHD returned +30.29% while SOXL returned +357.23%. Year to date, SCHD is up 27.56% versus a gain of 148.26% for SOXL.

Over three years, SCHD compounded at +16.37% per year against +70.24% for SOXL; over five years the annualized figures are +10.23% and +20.73% respectively. Across the full 15-year window we track, SOXL has the edge at +45.25% annualized vs +11.53%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SOXL has been the more volatile fund, with annualized monthly volatility of 88.4% 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 -90.5% for SOXL. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.53. They move together some of the time, and apart the rest.

Fees and Cost Over Time

SCHD charges 0.06% per year while SOXL charges 0.75%. On a $10,000 position that is $6 vs $75 annually, a gap of $69 per year that compounds over a long holding period. On income, SCHD currently yields 3.13% against 0.01% for SOXL.

Holdings Overlap

SCHD already in SOXL6.3%

At least 6.3% of SCHD's money is in holdings SOXL also owns.

Only one direction is shown: for SOXL, our book for it lists positions totalling 117.9% of the fund, which is what a leveraged book looks like and is not a denominator we can divide by.

SCHD and SOXL share little of their money.

3 positions in common, counted across the 100 positions we hold weights for in SCHD and 34 in SOXL, against full books of 103 and 44.

Top Shared Holdings

StockWeight in SCHDWeight in SOXLDifference
TXNTexas Instrument Inc3.53%2.71%0.82%
QCOMQualcomm Inc.2.55%1.89%0.66%
SWKSSkyworks Solutions Inc.0.27%0.36%0.09%

You are not choosing between two funds in isolation.

Whichever of SCHD and SOXL you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

SCHDSOXL

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, SCHD or SOXL?

SCHD has an expense ratio of 0.06% while SOXL charges 0.75%. SCHD is the cheaper option, by $69 a year on a $10,000 investment.

Which performed better, SCHD or SOXL?

Over the past year SCHD returned +30.29% vs +357.23% for SOXL, so SOXL leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.53% vs +45.25% for SOXL. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, SCHD or SOXL?

SOXL has been the more volatile fund at 88.4% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs SOXL -90.5%.

Should I hold both SCHD and SOXL?

SCHD and SOXL have a monthly-return correlation of 0.53, 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 SCHD and SOXL?

At least 6.3% of SCHD's money is in holdings SOXL also owns. Our book for SOXL is partial, so the real figure is this or higher. They hold 3 positions in common, counted across the 100 positions we hold weights for in SCHD and 34 in SOXL.

Which pays a higher dividend, SCHD or SOXL?

SCHD yields 3.13% while SOXL yields 0.01%, so SCHD currently pays the higher dividend yield.

Is SOXL better than SCHD?

SCHD has a lower expense ratio. SOXL led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.