SCHD vs VRIG
Schwab US Dividend Equity ETF vs Invesco Variable Rate Investment Grade ETF
Which is better, SCHD or VRIG?
Large Cap Value against Investment Grade Bond.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window.
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 | VRIG |
|---|---|---|
| Expense Ratio | 0.06%Best | 0.30% |
| AUM | $112.1B | $1.9B |
| Dividend Yield | 3.00% | 4.59% |
| Holdings | 103 | 347 |
| YTD Return | +23.46%Best | +3.00% |
| 1Y Return | +27.20%Best | +4.44% |
| 3Y Return (annualized) | +15.41%Best | +5.64% |
| 5Y Return (annualized) | +10.16%Best | +4.64% |
| Volatility (annualized) | 15.3% | 3.4%Best |
| Max Drawdown | -33.4% | -14.3%Best |
| $10,000 over 5 years | $16,223Best | $12,546 |
| Fund Family | Charles Schwab Asset Management | Invesco (US) |
| Category | Equity | Fixed Income |
| Style | Large Cap Value | Investment Grade Bond |
| Inception | Oct 20, 2011 | Sep 20, 2016 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 22, 2016 to Sep 18, 2026 (10 years).
SCHD vs VRIG 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 10 years both funds cover.
SCHD vs VRIG Performance
Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Invesco Variable Rate Investment Grade ETF (VRIG) is an ETF from Invesco (US). Over the past year SCHD returned +27.20% while VRIG returned +4.44%. Year to date, SCHD is up 23.46% versus a gain of 3.00% for VRIG.
Over three years, SCHD compounded at +15.41% per year against +5.64% for VRIG; over five years the annualized figures are +10.16% and +4.64% respectively. Across the full 10-year window we track, SCHD has the edge at +11.26% annualized vs +2.38%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 3.4% for VRIG. 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 -14.3% for VRIG. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.41. They move together some of the time, and apart the rest.
Fees and Cost Over Time
SCHD charges 0.06% per year while VRIG charges 0.30%. On a $10,000 position that is $6 vs $30 annually, a gap of $24 per year that compounds over a long holding period. On income, SCHD currently yields 3.00% against 4.59% for VRIG.
Holdings Overlap
We hold position weights for 100 holdings in SCHD and 273 in VRIG, totalling 100.0% and 57.6% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 100 positions we hold weights for in SCHD and 273 in VRIG, against full books of 103 and 347.
You are not choosing between two funds in isolation.
Whichever of SCHD and VRIG 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 VRIG?
SCHD has an expense ratio of 0.06% while VRIG charges 0.30%. SCHD is the cheaper option, by $24 a year on a $10,000 investment.
Which performed better, SCHD or VRIG?
Over the past year SCHD returned +27.20% vs +4.44% for VRIG, so SCHD leads on 1-year performance. Over the longest common window we track (10 years), SCHD annualized +11.26% vs +2.38% for VRIG. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHD or VRIG?
SCHD has been the more volatile fund at 15.3% annualized versus 3.4% for VRIG. Worst drawdown: SCHD -33.4% vs VRIG -14.3%.
Should I hold both SCHD and VRIG?
SCHD and VRIG have a monthly-return correlation of 0.41, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, SCHD or VRIG?
SCHD yields 3.00% while VRIG yields 4.59%, so VRIG currently pays the higher dividend yield.
Is VRIG better than SCHD?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.