SCHD vs TSEL

SCHD vs TSEL
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Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 104 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricSCHDTSELWinner
Expense Ratio0.06%0.67%
AUM$108.7B$83M
Dividend Yield3.13%0.00%
Holdings10429
YTD Return+25.69%+6.09%
1Y Return+30.41%+1.65%
3Y Return (annualized)+16.03%-
5Y Return (annualized)+9.64%-
Volatility (annualized)13.6%23.5%
Max Drawdown-33.4%-28.9%
Fund FamilyCharles Schwab Asset ManagementTouchstone Investments
CategoryEquityEquity
InceptionOct 20, 2011Jan 2, 2025

SCHD vs TSEL Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Touchstone Sands Capital US Select Growth ETF (TSEL) is a ETF from Touchstone Investments. Over the past year SCHD returned +30.41% while TSEL returned +1.65%. Year to date, SCHD is up 25.69% versus a gain of 6.09% for TSEL.

Risk: Volatility and Drawdowns

TSEL has been the more volatile fund, with annualized monthly volatility of 23.5% 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 -28.9% for TSEL. 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 -0.11. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while TSEL charges 0.67%. On a $10,000 position that is $6 vs $67 annually, a gap of $61 per year that compounds over a long holding period. On income, SCHD currently yields 3.13% against 0.00% for TSEL.

Holdings Overlap

0.0%overlap

SCHD and TSEL share 0 holdings out of 128 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 TSEL?

SCHD has an expense ratio of 0.06% while TSEL charges 0.67%. SCHD is the cheaper option. On a $10,000 investment, that is $61 per year of difference.

Which performed better, SCHD or TSEL?

Over the past year SCHD returned +30.41% vs +1.65% for TSEL, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), SCHD annualized +11.46% vs +9.95% for TSEL. Past performance does not guarantee future results.

Which is riskier, SCHD or TSEL?

TSEL has been the more volatile fund at 23.5% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs TSEL -28.9%.

Should I hold both SCHD and TSEL?

SCHD and TSEL have a monthly-return correlation of -0.11, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and TSEL?

SCHD and TSEL share 0 common holdings with a 0.0% weight overlap. Combined, they hold 128 unique securities.

Which pays a higher dividend, SCHD or TSEL?

SCHD yields 3.13% while TSEL yields 0.00%, so SCHD currently pays the higher dividend yield.

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