SCHD vs TMV

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

MetricSCHDTMVWinner
Expense Ratio0.06%0.97%
AUM$103.7B$180M
Dividend Yield3.31%2.60%
Holdings1049
YTD Return+24.26%+13.74%
1Y Return+31.38%+15.58%
3Y Return (annualized)+15.08%+10.28%
5Y Return (annualized)+9.72%+25.82%
Volatility (annualized)13.6%40.1%
Max Drawdown-33.4%-99.1%
Fund FamilyCharles Schwab Asset ManagementDirexion Shares ETF Trust
CategoryEquityAlternative
InceptionOct 20, 2011Apr 16, 2009

SCHD vs TMV Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Direxion Daily 20+ Year Treasury Bear 3X ETF (TMV) is a ETF from Direxion Shares ETF Trust. Over the past year SCHD returned +31.38% while TMV returned +15.58%. Year to date, SCHD is up 24.26% versus a gain of 13.74% for TMV.

Over three years, SCHD compounded at +15.08% per year against +10.28% for TMV; over five years the annualized figures are +9.72% and +25.82% respectively. Across the full 15-year window we track, SCHD has the edge at +11.39% annualized vs -14.93%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TMV has been the more volatile fund, with annualized monthly volatility of 40.1% 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 -99.1% for TMV. 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 0.00. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while TMV charges 0.97%. On a $10,000 position that is $6 vs $97 annually, a gap of $91 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 2.60% for TMV.

Holdings Overlap

0.0%overlap

SCHD and TMV share 0 holdings out of 103 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 TMV?

SCHD has an expense ratio of 0.06% while TMV charges 0.97%. SCHD is the cheaper option. On a $10,000 investment, that is $91 per year of difference.

Which performed better, SCHD or TMV?

Over the past year SCHD returned +31.38% vs +15.58% for TMV, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.39% vs -14.93% for TMV. Past performance does not guarantee future results.

Which is riskier, SCHD or TMV?

TMV has been the more volatile fund at 40.1% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs TMV -99.1%.

Should I hold both SCHD and TMV?

SCHD and TMV have a monthly-return correlation of 0.00, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and TMV?

SCHD and TMV share 0 common holdings with a 0.0% weight overlap. Combined, they hold 103 unique securities.

Which pays a higher dividend, SCHD or TMV?

SCHD yields 3.31% while TMV yields 2.60%, so SCHD currently pays the higher dividend yield.

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