SCHD vs TSME
Schwab US Dividend Equity ETF vs Thrivent Small-Mid Cap Equity ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.
Side-by-Side Comparison
| Metric | SCHD | TSME | Winner |
|---|---|---|---|
| Expense Ratio | 0.06% | 0.65% | |
| AUM | $103.7B | $966M | |
| Dividend Yield | 3.31% | 0.14% | |
| Holdings | 104 | 67 | |
| YTD Return | +25.58% | +19.96% | |
| 1Y Return | +31.06% | +23.87% | |
| 3Y Return (annualized) | +15.55% | +20.15% | |
| 5Y Return (annualized) | +9.61% | - | |
| Volatility (annualized) | 13.6% | 21.5% | |
| Max Drawdown | -33.4% | -26.6% | |
| Fund Family | Charles Schwab Asset Management | Thrivent Funds | |
| Category | Equity | Equity | |
| Inception | Oct 20, 2011 | Oct 5, 2022 |
SCHD vs TSME Performance
Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Thrivent Small-Mid Cap Equity ETF (TSME) is a ETF from Thrivent Funds. Over the past year SCHD returned +31.06% while TSME returned +23.87%. Year to date, SCHD is up 25.58% versus a gain of 19.96% for TSME.
Over three years, SCHD compounded at +15.55% per year against +20.15% for TSME. Across the full 4-year window we track, TSME has the edge at +19.64% annualized vs +11.46%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TSME has been the more volatile fund, with annualized monthly volatility of 21.5% 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 -26.6% for TSME. 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 0.64. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
SCHD charges 0.06% per year while TSME charges 0.65%. On a $10,000 position that is $6 vs $65 annually, a gap of $59 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 0.14% for TSME.
Holdings Overlap
SCHD and TSME share 1 holdings out of 165 unique holdings combined, representing a 0.1% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in SCHD | Weight in TSME | Difference |
|---|---|---|---|
| AGM | 0.05% | 1.94% | 1.89% |
Frequently Asked Questions
Which is cheaper, SCHD or TSME?
SCHD has an expense ratio of 0.06% while TSME charges 0.65%. SCHD is the cheaper option. On a $10,000 investment, that is $59 per year of difference.
Which performed better, SCHD or TSME?
Over the past year SCHD returned +31.06% vs +23.87% for TSME, so SCHD leads on 1-year performance. Over the longest common window we track (4 years), SCHD annualized +11.46% vs +19.64% for TSME. Past performance does not guarantee future results.
Which is riskier, SCHD or TSME?
TSME has been the more volatile fund at 21.5% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs TSME -26.6%.
Should I hold both SCHD and TSME?
SCHD and TSME have a monthly-return correlation of 0.64, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between SCHD and TSME?
SCHD and TSME share 1 common holdings with a 0.1% weight overlap. Combined, they hold 165 unique securities.
Which pays a higher dividend, SCHD or TSME?
SCHD yields 3.31% while TSME yields 0.14%, so SCHD currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.