SCHD vs XSMO

SCHD vs XSMO

Which is better, SCHD or XSMO?

Large Cap Value against Small Cap Growth.

SCHD has a lower expense ratio. SCHD led over 1Y, XSMO over 3Y, 5Y and the full window. XSMO is less concentrated, with 23.1% of the fund in its ten largest positions against 41.8%.

Lower Fees: SCHDHigher Returns: splitLess Concentrated: XSMO

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

MetricSCHDXSMO
Expense Ratio0.06%Best0.36%
AUM$112.1B$2.9B
Dividend Yield3.00%0.57%
Holdings103113
YTD Return+23.46%Best+13.07%
1Y Return+27.20%Best+11.54%
3Y Return (annualized)+15.41%+19.15%Best
5Y Return (annualized)+10.16%+10.68%Best
Volatility (annualized)13.7%Best18.6%
Max Drawdown-33.4%Best-39.8%
$10,000 over 5 years$16,223$16,609Best
Top 10 Weight41.8%23.1%Best
Fund FamilyCharles Schwab Asset ManagementInvesco (US)
CategoryEquityEquity
StyleLarge Cap ValueSmall Cap Growth
InceptionOct 20, 2011Mar 3, 2005

Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 18, 2026 (14.9 years).

SCHD vs XSMO 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 XSMO Performance

Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Invesco S&P SmallCap Momentum ETF (XSMO) is an ETF from Invesco (US). Over the past year SCHD returned +27.20% while XSMO returned +11.54%. Year to date, SCHD is up 23.46% versus a gain of 13.07% for XSMO.

Over three years, SCHD compounded at +15.41% per year against +19.15% for XSMO; over five years the annualized figures are +10.16% and +10.68% respectively. Across the full 15-year window we track, XSMO has the edge at +12.30% annualized vs +11.25%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

XSMO has been the more volatile fund, with annualized monthly volatility of 18.6% compared with 13.7% 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 -39.8% for XSMO. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.74. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SCHD charges 0.06% per year while XSMO charges 0.36%. On a $10,000 position that is $6 vs $36 annually, a gap of $30 per year that compounds over a long holding period. On income, SCHD currently yields 3.00% against 0.57% for XSMO.

Holdings Overlap

SCHD already in XSMO0.1%
XSMO already in SCHD0.9%

0.1% of SCHD's money is in holdings XSMO also owns. 0.9% of XSMO's money is in holdings SCHD also owns.

We cannot see either book well enough to say how much of this pair is duplicated.

1 positions in common, counted across the 100 positions we hold weights for in SCHD and 108 in XSMO, against full books of 103 and 113.

What only one of them owns

Our book lists 103 positions for XSMO that do not appear in our book for SCHD (95.3% of the fund), and 98 for SCHD that do not appear in XSMO (99.8%).

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

StockWeight in SCHDWeight in XSMODifference
CWENClearway Energy, Inc., Class C0.09%0.87%0.78%

You are not choosing between two funds in isolation.

Whichever of SCHD and XSMO you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

SCHDXSMO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, SCHD or XSMO?

SCHD has an expense ratio of 0.06% while XSMO charges 0.36%. SCHD is the cheaper option, by $30 a year on a $10,000 investment.

Which performed better, SCHD or XSMO?

Over the past year SCHD returned +27.20% vs +11.54% for XSMO, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.25% vs +12.30% for XSMO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, SCHD or XSMO?

XSMO has been the more volatile fund at 18.6% annualized versus 13.7% for SCHD. Worst drawdown: SCHD -33.4% vs XSMO -39.8%.

Should I hold both SCHD and XSMO?

SCHD and XSMO have a monthly-return correlation of 0.74, 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 XSMO?

SCHD yields 3.00% while XSMO yields 0.57%, so SCHD currently pays the higher dividend yield.

Is XSMO better than SCHD?

SCHD has a lower expense ratio. SCHD led over 1Y, XSMO over 3Y, 5Y and the full window. XSMO is less concentrated, with 23.1% 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.