SCHD vs TPAY

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

MetricSCHDTPAYWinner
Expense Ratio0.06%0.49%
AUM$103.7B$2M
Dividend Yield3.31%3.15%
Holdings1040
YTD Return+24.26%+8.28%
1Y Return+31.38%+8.28%
3Y Return (annualized)+15.08%-
5Y Return (annualized)+9.72%+3.17%
Volatility (annualized)13.6%56.5%
Max Drawdown-33.4%-49.6%
Fund FamilyCharles Schwab Asset ManagementRoundhill Investments
CategoryEquityAlternative
InceptionOct 20, 2011Feb 18, 2026

SCHD vs TPAY Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Roundhill S&P 500 Target 10 Managed Distribution ETF (TPAY) is a ETF from Roundhill Investments. Over the past year SCHD returned +31.38% while TPAY returned +8.28%. Year to date, SCHD is up 24.26% versus a gain of 8.28% for TPAY.

Risk: Volatility and Drawdowns

TPAY has been the more volatile fund, with annualized monthly volatility of 56.5% 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 -49.6% for TPAY. 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 0.48. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while TPAY charges 0.49%. On a $10,000 position that is $6 vs $49 annually, a gap of $43 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 3.15% for TPAY.

Frequently Asked Questions

Which is cheaper, SCHD or TPAY?

SCHD has an expense ratio of 0.06% while TPAY charges 0.49%. SCHD is the cheaper option. On a $10,000 investment, that is $43 per year of difference.

Which performed better, SCHD or TPAY?

Over the past year SCHD returned +31.38% vs +8.28% for TPAY, so SCHD leads on 1-year performance. Over the longest common window we track (8 years), SCHD annualized +11.39% vs +11.33% for TPAY. Past performance does not guarantee future results.

Which is riskier, SCHD or TPAY?

TPAY has been the more volatile fund at 56.5% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs TPAY -49.6%.

Should I hold both SCHD and TPAY?

SCHD and TPAY have a monthly-return correlation of 0.48, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, SCHD or TPAY?

SCHD yields 3.31% while TPAY yields 3.15%, so SCHD currently pays the higher dividend yield.

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