SCHD vs USSG
Schwab US Dividend Equity ETF vs Xtrackers MSCI USA Selection Equity ETF
Which is better, SCHD or USSG?
Large Cap Value against Large Cap Blend.
SCHD has a lower expense ratio. SCHD led over 1Y, USSG over 3Y, 5Y and the full window. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 48.2%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | SCHD | USSG |
|---|---|---|
| Expense Ratio | 0.06%Best | 0.09% |
| AUM | $108.9B | $586M |
| Dividend Yield | 3.00% | 0.95% |
| Holdings | 206 | 510 |
| YTD Return | +20.89%Best | +13.88% |
| 1Y Return | +23.87%Best | +17.71% |
| 3Y Return (annualized) | +16.42% | +24.12%Best |
| 5Y Return (annualized) | +9.40% | +14.09%Best |
| Volatility (annualized) | 16.4%Best | 16.8% |
| Max Drawdown | -33.4%Best | -34.4% |
| $10,000 over 5 years | $15,671 | $19,330Best |
| Top 10 Weight | 41.8%Best | 48.2% |
| Fund Family | Charles Schwab Asset Management | Xtrackers ETFs |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Blend |
| Inception | Oct 20, 2011 | Mar 6, 2019 |
Volatility and max drawdown are measured over the window both funds cover: Mar 7, 2019 to Oct 2, 2026 (7.6 years).
SCHD vs USSG growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 7.6 years both funds cover.
SCHD vs USSG Performance
Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Xtrackers MSCI USA Selection Equity ETF (USSG) is an ETF from Xtrackers ETFs. Over the past year SCHD returned +23.87% while USSG returned +17.71%. Year to date, SCHD is up 20.89% versus a gain of 13.88% for USSG.
Over three years, SCHD compounded at +16.42% per year against +24.12% for USSG; over five years the annualized figures are +9.40% and +14.09% respectively. Across the full 8-year window we track, USSG has the edge at +16.25% annualized vs +11.91%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
USSG has been the more volatile fund, with annualized monthly volatility of 16.8% compared with 16.4% 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 -34.4% for USSG. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.77. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SCHD charges 0.06% per year while USSG charges 0.09%. On a $10,000 position that is $6 vs $9 annually, a gap of $3 per year that compounds over a long holding period. On income, SCHD currently yields 3.00% against 0.95% for USSG.
Holdings Overlap
50.4% of SCHD's money is in holdings USSG also owns. 8.3% of USSG's money is in holdings SCHD also owns.
The two portfolios partly overlap.
25 positions in common, counted across the 99 positions we hold weights for in SCHD and 251 in USSG, against full books of 206 and 510.
What only one of them owns
Our book lists 217 positions for USSG that do not appear in our book for SCHD (90.3% of the fund), and 73 for SCHD that do not appear in USSG (49.5%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in SCHD | Weight in USSG | Difference |
|---|---|---|---|
| MRKMerck & Company Inc | 4.77% | 1.04% | 3.73% |
| KOCoca Cola Co. | 4.26% | 1.01% | 3.25% |
| PGProcter & Gamble Company | 3.94% | 0.99% | 2.95% |
| AMGNAmgen Inc. | 4.24% | 0.60% | 3.64% |
| VZVerizon Communications Inc Vz | 4.12% | 0.62% | 3.50% |
| HDHome Depot Inc/The | 3.75% | 0.90% | 2.85% |
| PEPPepsico Inc. | 3.63% | 0.54% | 3.09% |
| BMYBristol-Myers Squibb Co. | 3.25% | 0.38% | 2.87% |
| ADPAutomatic Data Processing, Inc. | 2.68% | 0.32% | 2.36% |
| CMCSAComcast Corp-class A Cmcsa | 2.25% | 0.26% | 1.99% |
50.4% of SCHD is already inside USSG.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SCHD or USSG?
SCHD has an expense ratio of 0.06% while USSG charges 0.09%. SCHD is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, SCHD or USSG?
Over the past year SCHD returned +23.87% vs +17.71% for USSG, so SCHD leads on 1-year performance. Over the longest common window we track (8 years), SCHD annualized +11.91% vs +16.25% for USSG. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHD or USSG?
USSG has been the more volatile fund at 16.8% annualized versus 16.4% for SCHD. Worst drawdown: SCHD -33.4% vs USSG -34.4%.
Should I hold both SCHD and USSG?
SCHD and USSG have a monthly-return correlation of 0.77, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between SCHD and USSG?
50.4% of SCHD's money is in holdings USSG also owns. 8.3% of USSG's is in holdings SCHD also owns. They hold 25 positions in common, counted across the 99 positions we hold weights for in SCHD and 251 in USSG.
Which pays a higher dividend, SCHD or USSG?
SCHD yields 3.00% while USSG yields 0.95%, so SCHD currently pays the higher dividend yield.
Is USSG better than SCHD?
SCHD has a lower expense ratio. SCHD led over 1Y, USSG over 3Y, 5Y and the full window. SCHD is less concentrated, with 41.8% of the fund in its ten largest positions against 48.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.