SCHD vs VB
Schwab US Dividend Equity ETF vs Vanguard Morningstar Small-Cap ETF
Which is better, SCHD or VB?
Large Cap Value against Small Cap Blend.
VB has a lower expense ratio. SCHD led over 1Y, 5Y and the full window, VB over 3Y. VB is less concentrated, with 4.3% of the fund in its ten largest positions against 41.8%.
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 | VB |
|---|---|---|
| Expense Ratio | 0.06% | 0.03%Best |
| AUM | $112.1B | $79.7B |
| Dividend Yield | 3.00% | 1.21% |
| Holdings | 103 | 1,319 |
| YTD Return | +25.07%Best | +12.96% |
| 1Y Return | +27.61%Best | +15.18% |
| 3Y Return (annualized) | +15.74% | +15.97%Best |
| 5Y Return (annualized) | +9.89%Best | +7.16% |
| Volatility (annualized) | 13.6%Best | 17.4% |
| Max Drawdown | -33.4%Best | -42.3% |
| $10,000 over 5 years | $16,025Best | $14,131 |
| Top 10 Weight | 41.8% | 4.3%Best |
| Fund Family | Charles Schwab Asset Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Small Cap Blend |
| Inception | Oct 20, 2011 | Jan 26, 2004 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 11, 2026 (14.9 years).
SCHD vs VB 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 14.9 years both funds cover.
SCHD vs VB Performance
Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Vanguard Morningstar Small-Cap ETF (VB) is an ETF from Vanguard (US). Over the past year SCHD returned +27.61% while VB returned +15.18%. Year to date, SCHD is up 25.07% versus a gain of 12.96% for VB.
Over three years, SCHD compounded at +15.74% per year against +15.97% for VB; over five years the annualized figures are +9.89% and +7.16% respectively. Across the full 15-year window we track, SCHD has the edge at +11.36% annualized vs +11.07%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VB has been the more volatile fund, with annualized monthly volatility of 17.4% 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 -42.3% for VB. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SCHD charges 0.06% per year while VB charges 0.03%. On a $10,000 position that is $6 vs $3 annually, a gap of $3 per year that compounds over a long holding period. On income, SCHD currently yields 3.00% against 1.21% for VB.
Holdings Overlap
6.6% of SCHD's money is in holdings VB also owns. 2.8% of VB's money is in holdings SCHD also owns.
SCHD and VB share little of their money.
The two holdings books were reported 62 days apart, SCHD as of Aug 31, 2026 and VB as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.
41 positions in common, counted across the 100 positions we hold weights for in SCHD and 1,303 in VB, against full books of 103 and 1,319.
What only one of them owns
Our book lists 1,205 positions for VB that do not appear in our book for SCHD (91.9% of the fund), and 59 for SCHD that do not appear in VB (93.4%).
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 VB | Difference |
|---|---|---|---|
| GISGeneral Mills Inc. | 0.54% | 0.11% | 0.43% |
| EWBCEast West Bancorp, Inc. | 0.42% | 0.21% | 0.21% |
| BRBroadridge Financial Solutions, Inc. | 0.51% | 0.09% | 0.42% |
| BBYBest Buy Co. Inc. | 0.38% | 0.18% | 0.20% |
| DINOHollyfrontier | 0.38% | 0.13% | 0.25% |
| APAApa Corp | 0.37% | 0.14% | 0.23% |
| WSOWatsco Inc | 0.26% | 0.17% | 0.09% |
| FNFFidelity National Financial Inc. | 0.29% | 0.14% | 0.15% |
| SWKSSkyworks Solutions Inc. | 0.25% | 0.12% | 0.13% |
| AFGAmerican Financial Group Inc/Oh | 0.24% | 0.11% | 0.13% |
You are not choosing between two funds in isolation.
Whichever of SCHD and VB you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SCHD or VB?
SCHD has an expense ratio of 0.06% while VB charges 0.03%. VB is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, SCHD or VB?
Over the past year SCHD returned +27.61% vs +15.18% for VB, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.36% vs +11.07% for VB. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHD or VB?
VB has been the more volatile fund at 17.4% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs VB -42.3%.
Should I hold both SCHD and VB?
SCHD and VB have a monthly-return correlation of 0.83, 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 VB?
6.6% of SCHD's money is in holdings VB also owns. 2.8% of VB's is in holdings SCHD also owns. They hold 41 positions in common, counted across the 100 positions we hold weights for in SCHD and 1,303 in VB.
Which pays a higher dividend, SCHD or VB?
SCHD yields 3.00% while VB yields 1.21%, so SCHD currently pays the higher dividend yield.
Is VB better than SCHD?
VB has a lower expense ratio. SCHD led over 1Y, 5Y and the full window, VB over 3Y. VB is less concentrated, with 4.3% of the fund in its ten largest positions against 41.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.