SCHD vs VEU
SCHD vs VEU
Schwab US Dividend Equity ETF vs Vanguard FTSE All World Ex US ETF
Quick Verdict
VEU has a lower expense ratio. SCHD delivered stronger 1-year returns. VEU offers more diversification with 2818 holdings.
Side-by-Side Comparison
| Metric | SCHD | VEU | Winner |
|---|---|---|---|
| Expense Ratio | 0.06% | 0.04% | |
| AUM | $103.7B | $67.3B | |
| Dividend Yield | 3.31% | 2.54% | |
| Holdings | 104 | 3,921 | |
| YTD Return | +24.26% | +14.81% | |
| 1Y Return | +31.38% | +28.44% | |
| 3Y Return (annualized) | +15.08% | +19.56% | |
| 5Y Return (annualized) | +9.72% | +9.56% | |
| Volatility (annualized) | 13.6% | 17.7% | |
| Max Drawdown | -33.4% | -62.8% | |
| Fund Family | Charles Schwab Asset Management | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Oct 20, 2011 | Mar 2, 2007 |
SCHD vs VEU Performance
Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Vanguard FTSE All World Ex US ETF (VEU) is a ETF from Vanguard (US). Over the past year SCHD returned +31.38% while VEU returned +28.44%. Year to date, SCHD is up 24.26% versus a gain of 14.81% for VEU.
Over three years, SCHD compounded at +15.08% per year against +19.56% for VEU; over five years the annualized figures are +9.72% and +9.56% respectively. Across the full 15-year window we track, SCHD has the edge at +11.39% annualized vs +3.57%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VEU has been the more volatile fund, with annualized monthly volatility of 17.7% 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 -62.8% for VEU. 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 0.75. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SCHD charges 0.06% per year while VEU charges 0.04%. On a $10,000 position that is $6 vs $4 annually, a gap of $2 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 2.54% for VEU.
Holdings Overlap
SCHD and VEU share 1 holdings out of 2917 unique holdings combined, representing a 0.9% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in SCHD | Weight in VEU | Difference |
|---|---|---|---|
| SLB:CW | 1.80% | 0.90% | 0.90% |
Frequently Asked Questions
Which is cheaper, SCHD or VEU?
SCHD has an expense ratio of 0.06% while VEU charges 0.04%. VEU is the cheaper option. On a $10,000 investment, that is $2 per year of difference.
Which performed better, SCHD or VEU?
Over the past year SCHD returned +31.38% vs +28.44% for VEU, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.39% vs +3.57% for VEU. Past performance does not guarantee future results.
Which is riskier, SCHD or VEU?
VEU has been the more volatile fund at 17.7% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs VEU -62.8%.
Should I hold both SCHD and VEU?
SCHD and VEU have a monthly-return correlation of 0.75, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between SCHD and VEU?
SCHD and VEU share 1 common holdings with a 0.9% weight overlap. Combined, they hold 2917 unique securities.
Which pays a higher dividend, SCHD or VEU?
SCHD yields 3.31% while VEU yields 2.54%, 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.