SCHD vs TMFX
Schwab US Dividend Equity ETF vs Motley Fool Next Index ETF
Which is better, SCHD or TMFX?
Large Cap Value against Mid Cap Growth.
SCHD has a lower expense ratio. SCHD led over 1Y and the full window, TMFX over 3Y. TMFX is less concentrated, with 17.7% of the fund in its ten largest positions against 41.8%.
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 | TMFX |
|---|---|---|
| Expense Ratio | 0.06%Best | 0.50% |
| AUM | $112.1B | $35M |
| Dividend Yield | 3.00% | 0.04% |
| Holdings | 103 | 200 |
| YTD Return | +23.46%Best | +8.93% |
| 1Y Return | +27.20%Best | +7.39% |
| 3Y Return (annualized) | +15.41% | +16.22%Best |
| 5Y Return (annualized) | +10.16% | - |
| Volatility (annualized) | 14.9%Best | 20.3% |
| Max Drawdown | -16.9%Best | -34.3% |
| $10,000 over 4.7 years | $14,686Best | $11,916 |
| Top 10 Weight | 41.8% | 17.7%Best |
| Fund Family | Charles Schwab Asset Management | Motley Fool Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Mid Cap Growth |
| Inception | Oct 20, 2011 | Dec 30, 2021 |
Volatility and max drawdown, and the $10,000 over 4.7 years row, are measured over the window both funds cover: Dec 31, 2021 to Sep 18, 2026 (4.7 years).
SCHD vs TMFX 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 4.7 years both funds cover.
SCHD vs TMFX Performance
Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Motley Fool Next Index ETF (TMFX) is an ETF from Motley Fool Asset Management. Over the past year SCHD returned +27.20% while TMFX returned +7.39%. Year to date, SCHD is up 23.46% versus a gain of 8.93% for TMFX.
Over three years, SCHD compounded at +15.41% per year against +16.22% for TMFX.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TMFX has been the more volatile fund, with annualized monthly volatility of 20.3% compared with 14.9% 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 -34.3% for TMFX. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.68. They move together some of the time, and apart the rest.
Fees and Cost Over Time
SCHD charges 0.06% per year while TMFX 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 3.00% against 0.04% for TMFX.
Holdings Overlap
0.4% of SCHD's money is in holdings TMFX also owns. 1.4% of TMFX's money is in holdings SCHD also owns.
TMFX and SCHD share little of their money.
3 positions in common, counted across the 100 positions we hold weights for in SCHD and 197 in TMFX, against full books of 103 and 200.
What only one of them owns
Measured across the 100 and 197 positions we hold weights for.
SCHD holds 96 positions TMFX does not, 99.5% of the fund.
Largest: MRK 4.77%, AMGN 4.70%, ABT 4.69%, KO 4.17%, CVX 4.02%
You are not choosing between two funds in isolation.
Whichever of SCHD and TMFX 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 TMFX?
SCHD has an expense ratio of 0.06% while TMFX charges 0.50%. SCHD is the cheaper option, by $44 a year on a $10,000 investment.
Which performed better, SCHD or TMFX?
Over the past year SCHD returned +27.20% vs +7.39% for TMFX, 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 TMFX?
TMFX has been the more volatile fund at 20.3% annualized versus 14.9% for SCHD. Worst drawdown: SCHD -16.9% vs TMFX -34.3%.
Should I hold both SCHD and TMFX?
SCHD and TMFX have a monthly-return correlation of 0.68, 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 TMFX?
1.4% of TMFX's money is in holdings SCHD also owns. 1.4% of TMFX'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 197 in TMFX.
Which pays a higher dividend, SCHD or TMFX?
SCHD yields 3.00% while TMFX yields 0.04%, so SCHD currently pays the higher dividend yield.
Is TMFX better than SCHD?
SCHD has a lower expense ratio. SCHD led over 1Y and the full window, TMFX over 3Y. TMFX is less concentrated, with 17.7% of the fund in its ten largest positions against 41.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.