SCHD vs TMFM
Schwab US Dividend Equity ETF vs Motley Fool Mid Cap Growth ETF
Which is better, SCHD or TMFM?
Large Cap Value against Mid Cap Growth.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y and the full window. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 46.8%.
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
| Metric | SCHD | TMFM |
|---|---|---|
| Expense Ratio | 0.06%Best | 0.85% |
| AUM | $112.1B | $117M |
| Dividend Yield | 3.00% | 0.00% |
| Holdings | 103 | 36 |
| YTD Return | +23.68%Best | -7.15% |
| 1Y Return | +28.36%Best | -13.86% |
| 3Y Return (annualized) | +16.20%Best | +2.46% |
| 5Y Return (annualized) | +10.07% | - |
| Volatility (annualized) | 14.8%Best | 18.3% |
| Max Drawdown | -16.9%Best | -31.8% |
| $10,000 over 4.8 years | $15,297Best | $8,908 |
| Top 10 Weight | 41.8%Best | 46.8% |
| Fund Family | Charles Schwab Asset Management | Motley Fool Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Mid Cap Growth |
| Inception | Oct 20, 2011 | Jun 17, 2014 |
Volatility and max drawdown, and the $10,000 over 4.8 years row, are measured over the window both funds cover: Dec 13, 2021 to Sep 22, 2026 (4.8 years).
SCHD vs TMFM 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 covers the 4.8 years both funds cover.
SCHD vs TMFM Performance
Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Motley Fool Mid Cap Growth ETF (TMFM) is an ETF from Motley Fool Asset Management. Over the past year SCHD returned +28.36% while TMFM returned -13.86%. Year to date, SCHD is up 23.68% versus a loss of 7.15% for TMFM.
Over three years, SCHD compounded at +16.20% per year against +2.46% for TMFM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TMFM has been the more volatile fund, with annualized monthly volatility of 18.3% compared with 14.8% 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 -16.9% for SCHD and -31.8% for TMFM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.67. They move together some of the time, and apart the rest.
Fees and Cost Over Time
SCHD charges 0.06% per year while TMFM charges 0.85%. On a $10,000 position that is $6 vs $85 annually, a gap of $79 per year that compounds over a long holding period. On income, SCHD currently yields 3.00% against 0.00% for TMFM.
Holdings Overlap
2.1% of SCHD's money is in holdings TMFM also owns. 8.0% of TMFM's money is in holdings SCHD also owns.
TMFM and SCHD share little of their money.
3 positions in common, counted across the 100 positions we hold weights for in SCHD and 32 in TMFM, against full books of 103 and 36.
What only one of them owns
Our book lists 27 positions for TMFM that do not appear in our book for SCHD (88.0% of the fund), and 96 for SCHD that do not appear in TMFM (97.8%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of SCHD and TMFM you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SCHD or TMFM?
SCHD has an expense ratio of 0.06% while TMFM charges 0.85%. SCHD is the cheaper option, by $79 a year on a $10,000 investment.
Which performed better, SCHD or TMFM?
Over the past year SCHD returned +28.36% vs -13.86% for TMFM, so SCHD leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHD or TMFM?
TMFM has been the more volatile fund at 18.3% annualized versus 14.8% for SCHD. Worst drawdown: SCHD -16.9% vs TMFM -31.8%.
Should I hold both SCHD and TMFM?
SCHD and TMFM have a monthly-return correlation of 0.67, 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 TMFM?
8.0% of TMFM's money is in holdings SCHD also owns. 8.0% of TMFM's is in holdings SCHD also owns. They hold 3 positions in common, counted across the 100 positions we hold weights for in SCHD and 32 in TMFM.
Which pays a higher dividend, SCHD or TMFM?
SCHD yields 3.00% while TMFM yields 0.00%, so SCHD currently pays the higher dividend yield.
Is TMFM better than SCHD?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y and the full window. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 46.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.