SCHD vs UMI

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

MetricSCHDUMIWinner
Expense Ratio0.06%0.69%
AUM$103.7B$504M
Dividend Yield3.31%5.95%
Holdings10425
YTD Return+25.33%+23.33%
1Y Return+32.31%+28.01%
3Y Return (annualized)+15.40%+25.12%
5Y Return (annualized)+9.70%+22.26%
Volatility (annualized)13.6%17.6%
Max Drawdown-33.4%-20.1%
Fund FamilyCharles Schwab Asset ManagementUSCF Investments
CategoryEquityEquity
InceptionOct 20, 2011Mar 24, 2021

SCHD vs UMI Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and USCF Midstream Energy Income ETF (UMI) is a ETF from USCF Investments. Over the past year SCHD returned +32.31% while UMI returned +28.01%. Year to date, SCHD is up 25.33% versus a gain of 23.33% for UMI.

Over three years, SCHD compounded at +15.40% per year against +25.12% for UMI; over five years the annualized figures are +9.70% and +22.26% respectively. Across the full 5-year window we track, UMI has the edge at +23.80% annualized vs +11.45%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

UMI has been the more volatile fund, with annualized monthly volatility of 17.6% 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 -20.1% for UMI. 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 0.68. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while UMI charges 0.69%. On a $10,000 position that is $6 vs $69 annually, a gap of $63 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 5.95% for UMI.

Holdings Overlap

1.5%overlap

SCHD and UMI share 1 holdings out of 122 unique holdings combined, representing a 1.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SCHDWeight in UMIDifference
OKE1.50%4.82%3.32%

Frequently Asked Questions

Which is cheaper, SCHD or UMI?

SCHD has an expense ratio of 0.06% while UMI charges 0.69%. SCHD is the cheaper option. On a $10,000 investment, that is $63 per year of difference.

Which performed better, SCHD or UMI?

Over the past year SCHD returned +32.31% vs +28.01% for UMI, so SCHD leads on 1-year performance. Over the longest common window we track (5 years), SCHD annualized +11.45% vs +23.80% for UMI. Past performance does not guarantee future results.

Which is riskier, SCHD or UMI?

UMI has been the more volatile fund at 17.6% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs UMI -20.1%.

Should I hold both SCHD and UMI?

SCHD and UMI have a monthly-return correlation of 0.68, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and UMI?

SCHD and UMI share 1 common holdings with a 1.5% weight overlap. Combined, they hold 122 unique securities.

Which pays a higher dividend, SCHD or UMI?

SCHD yields 3.31% while UMI yields 5.95%, so UMI currently pays the higher dividend yield.

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