SCHD vs TAIL

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

MetricSCHDTAILWinner
Expense Ratio0.06%0.59%
AUM$103.7B$149M
Dividend Yield3.31%2.93%
Holdings10425
YTD Return+24.26%-9.67%
1Y Return+31.38%-11.58%
3Y Return (annualized)+15.08%-5.84%
5Y Return (annualized)+9.72%-9.19%
Volatility (annualized)13.6%11.1%
Max Drawdown-33.4%-53.5%
Fund FamilyCharles Schwab Asset ManagementCambria Investment Management
CategoryEquityAlternative
InceptionOct 20, 2011Apr 5, 2017

SCHD vs TAIL Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Cambria Tail Risk ETF (TAIL) is a ETF from Cambria Investment Management. Over the past year SCHD returned +31.38% while TAIL returned -11.58%. Year to date, SCHD is up 24.26% versus a loss of 9.67% for TAIL.

Over three years, SCHD compounded at +15.08% per year against -5.84% for TAIL; over five years the annualized figures are +9.72% and -9.19% respectively. Across the full 9-year window we track, SCHD has the edge at +11.39% annualized vs -7.45%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 11.1% for TAIL. 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 -53.5% for TAIL. 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 -0.66. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while TAIL charges 0.59%. On a $10,000 position that is $6 vs $59 annually, a gap of $53 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 2.93% for TAIL.

Holdings Overlap

0.0%overlap

SCHD and TAIL share 0 holdings out of 102 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 TAIL?

SCHD has an expense ratio of 0.06% while TAIL charges 0.59%. SCHD is the cheaper option. On a $10,000 investment, that is $53 per year of difference.

Which performed better, SCHD or TAIL?

Over the past year SCHD returned +31.38% vs -11.58% for TAIL, so SCHD leads on 1-year performance. Over the longest common window we track (9 years), SCHD annualized +11.39% vs -7.45% for TAIL. Past performance does not guarantee future results.

Which is riskier, SCHD or TAIL?

SCHD has been the more volatile fund at 13.6% annualized versus 11.1% for TAIL. Worst drawdown: SCHD -33.4% vs TAIL -53.5%.

Should I hold both SCHD and TAIL?

SCHD and TAIL have a monthly-return correlation of -0.66, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and TAIL?

SCHD and TAIL share 0 common holdings with a 0.0% weight overlap. Combined, they hold 102 unique securities.

Which pays a higher dividend, SCHD or TAIL?

SCHD yields 3.31% while TAIL yields 2.93%, so SCHD currently pays the higher dividend yield.

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