SCHD vs TDIV

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

MetricSCHDTDIVWinner
Expense Ratio0.06%0.50%
AUM$103.7B$4.1B
Dividend Yield3.31%1.14%
Holdings10496
YTD Return+24.26%+21.25%
1Y Return+31.38%+31.09%
3Y Return (annualized)+15.08%+28.07%
5Y Return (annualized)+9.72%+17.17%
Volatility (annualized)13.6%17.0%
Max Drawdown-33.4%-32.0%
Fund FamilyCharles Schwab Asset ManagementFirst Trust Portfolios (US)
CategoryEquityEquity
InceptionOct 20, 2011Aug 13, 2012

SCHD vs TDIV Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and First Trust NASDAQ Technology Dividend Index Fund (TDIV) is a ETF from First Trust Portfolios (US). Over the past year SCHD returned +31.38% while TDIV returned +31.09%. Year to date, SCHD is up 24.26% versus a gain of 21.25% for TDIV.

Over three years, SCHD compounded at +15.08% per year against +28.07% for TDIV; over five years the annualized figures are +9.72% and +17.17% respectively. Across the full 14-year window we track, TDIV has the edge at +14.32% annualized vs +11.39%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TDIV has been the more volatile fund, with annualized monthly volatility of 17.0% 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 -32.0% for TDIV. 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 0.74. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SCHD charges 0.06% per year while TDIV charges 0.50%. On a $10,000 position that is $6 vs $50 annually, a gap of $44 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 1.14% for TDIV.

Holdings Overlap

10.6%overlap

SCHD and TDIV share 5 holdings out of 189 unique holdings combined, representing a 10.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SCHDWeight in TDIVDifference
TXN3.70%7.26%3.56%
QCOM2.72%3.24%0.52%
VZ3.68%1.93%1.75%
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SWKSProProPro
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Frequently Asked Questions

Which is cheaper, SCHD or TDIV?

SCHD has an expense ratio of 0.06% while TDIV charges 0.50%. SCHD is the cheaper option. On a $10,000 investment, that is $44 per year of difference.

Which performed better, SCHD or TDIV?

Over the past year SCHD returned +31.38% vs +31.09% for TDIV, so SCHD leads on 1-year performance. Over the longest common window we track (14 years), SCHD annualized +11.39% vs +14.32% for TDIV. Past performance does not guarantee future results.

Which is riskier, SCHD or TDIV?

TDIV has been the more volatile fund at 17.0% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs TDIV -32.0%.

Should I hold both SCHD and TDIV?

SCHD and TDIV have a monthly-return correlation of 0.74, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and TDIV?

SCHD and TDIV share 5 common holdings with a 10.6% weight overlap. Combined, they hold 189 unique securities.

Which pays a higher dividend, SCHD or TDIV?

SCHD yields 3.31% while TDIV yields 1.14%, so SCHD currently pays the higher dividend yield.

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