SCHD vs VLUE
Schwab US Dividend Equity ETF vs iShares MSCI USA Value Factor ETF
Quick Verdict
SCHD has a lower expense ratio. VLUE delivered stronger 1-year returns. VLUE offers more diversification with 156 holdings.
Side-by-Side Comparison
| Metric | SCHD | VLUE | Winner |
|---|---|---|---|
| Expense Ratio | 0.06% | 0.15% | |
| AUM | $108.7B | $9.9B | |
| Dividend Yield | 3.13% | 1.45% | |
| Holdings | 104 | 156 | |
| YTD Return | +26.54% | +47.09% | |
| 1Y Return | +30.90% | +75.81% | |
| 3Y Return (annualized) | +16.29% | +32.56% | |
| 5Y Return (annualized) | +9.65% | +17.07% | |
| Volatility (annualized) | 13.6% | 18.9% | |
| Max Drawdown | -33.4% | -39.5% | |
| Fund Family | Charles Schwab Asset Management | iShares by BlackRock (US) | |
| Category | Equity | Equity | |
| Inception | Oct 20, 2011 | Apr 16, 2013 |
SCHD vs VLUE Performance
Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and iShares MSCI USA Value Factor ETF (VLUE) is a ETF from iShares by BlackRock (US). Over the past year SCHD returned +30.90% while VLUE returned +75.81%. Year to date, SCHD is up 26.54% versus a gain of 47.09% for VLUE.
Over three years, SCHD compounded at +16.29% per year against +32.56% for VLUE; over five years the annualized figures are +9.65% and +17.07% respectively. Across the full 13-year window we track, VLUE has the edge at +12.41% annualized vs +11.51%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VLUE has been the more volatile fund, with annualized monthly volatility of 18.9% 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 -39.5% for VLUE. 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 0.82. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SCHD charges 0.06% per year while VLUE charges 0.15%. On a $10,000 position that is $6 vs $15 annually, a gap of $9 per year that compounds over a long holding period. On income, SCHD currently yields 3.13% against 1.45% for VLUE.
Holdings Overlap
SCHD and VLUE share 18 holdings out of 234 unique holdings combined, representing a 14.2% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, SCHD or VLUE?
SCHD has an expense ratio of 0.06% while VLUE charges 0.15%. SCHD is the cheaper option. On a $10,000 investment, that is $9 per year of difference.
Which performed better, SCHD or VLUE?
Over the past year SCHD returned +30.90% vs +75.81% for VLUE, so VLUE leads on 1-year performance. Over the longest common window we track (13 years), SCHD annualized +11.51% vs +12.41% for VLUE. Past performance does not guarantee future results.
Which is riskier, SCHD or VLUE?
VLUE has been the more volatile fund at 18.9% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs VLUE -39.5%.
Should I hold both SCHD and VLUE?
SCHD and VLUE have a monthly-return correlation of 0.82, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between SCHD and VLUE?
SCHD and VLUE share 18 common holdings with a 14.2% weight overlap. Combined, they hold 234 unique securities.
Which pays a higher dividend, SCHD or VLUE?
SCHD yields 3.13% while VLUE yields 1.45%, 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.