SCHD vs XHB
Schwab US Dividend Equity ETF vs State Street SPDR S&P Homebuilders ETF
Which is better, SCHD or XHB?
Large Cap Value against Mid Cap Blend.
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y and 5Y, XHB over the full window. XHB is less concentrated, with 39.6% 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 | XHB |
|---|---|---|
| Expense Ratio | 0.06%Best | 0.35% |
| AUM | $112.1B | $1.3B |
| Dividend Yield | 3.00% | 0.55% |
| Holdings | 103 | 35 |
| YTD Return | +24.59%Best | -6.96% |
| 1Y Return | +28.14%Best | -15.71% |
| 3Y Return (annualized) | +15.58%Best | +6.37% |
| 5Y Return (annualized) | +9.90%Best | +5.63% |
| Volatility (annualized) | 13.6%Best | 24.4% |
| Max Drawdown | -33.4%Best | -49.8% |
| $10,000 over 5 years | $16,032Best | $13,150 |
| Top 10 Weight | 41.8% | 39.6%Best |
| Fund Family | Charles Schwab Asset Management | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Mid Cap Blend |
| Inception | Oct 20, 2011 | Jan 31, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 10, 2026 (14.9 years).
SCHD vs XHB 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 XHB Performance
Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and State Street SPDR S&P Homebuilders ETF (XHB) is an ETF from State Street Investment Management. Over the past year SCHD returned +28.14% while XHB returned -15.71%. Year to date, SCHD is up 24.59% versus a loss of 6.96% for XHB.
Over three years, SCHD compounded at +15.58% per year against +6.37% for XHB; over five years the annualized figures are +9.90% and +5.63% respectively. Across the full 15-year window we track, XHB has the edge at +13.46% annualized vs +11.34%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XHB has been the more volatile fund, with annualized monthly volatility of 24.4% 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 -49.8% for XHB. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.71. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SCHD charges 0.06% per year while XHB charges 0.35%. On a $10,000 position that is $6 vs $35 annually, a gap of $29 per year that compounds over a long holding period. On income, SCHD currently yields 3.00% against 0.55% for XHB.
Holdings Overlap
3.9% of SCHD's money is in holdings XHB also owns. 3.7% of XHB's money is in holdings SCHD also owns.
SCHD and XHB share little of their money.
1 positions in common, counted across the 100 positions we hold weights for in SCHD and 34 in XHB, against full books of 103 and 35.
What only one of them owns
Measured across the 100 and 34 positions we hold weights for.
SCHD holds 97 positions XHB does not, 96.0% of the fund.
Largest: MRK 4.77%, AMGN 4.70%, ABT 4.69%, KO 4.17%, CVX 4.02%
Top Shared Holdings
| Stock | Weight in SCHD | Weight in XHB | Difference |
|---|---|---|---|
| HDHome Depot Inc/The | 3.88% | 3.66% | 0.22% |
You are not choosing between two funds in isolation.
Whichever of SCHD and XHB 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 XHB?
SCHD has an expense ratio of 0.06% while XHB charges 0.35%. SCHD is the cheaper option, by $29 a year on a $10,000 investment.
Which performed better, SCHD or XHB?
Over the past year SCHD returned +28.14% vs -15.71% for XHB, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.34% vs +13.46% for XHB. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHD or XHB?
XHB has been the more volatile fund at 24.4% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs XHB -49.8%.
Should I hold both SCHD and XHB?
SCHD and XHB have a monthly-return correlation of 0.71, 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 XHB?
3.9% of SCHD's money is in holdings XHB also owns. 3.7% of XHB's is in holdings SCHD also owns. They hold 1 positions in common, counted across the 100 positions we hold weights for in SCHD and 34 in XHB.
Which pays a higher dividend, SCHD or XHB?
SCHD yields 3.00% while XHB yields 0.55%, so SCHD currently pays the higher dividend yield.
Is XHB better than SCHD?
SCHD has a lower expense ratio. SCHD led over 1Y, 3Y and 5Y, XHB over the full window. XHB is less concentrated, with 39.6% 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.