SCHD vs XTAP

Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricSCHDXTAPWinner
Expense Ratio0.06%0.79%
AUM$103.7B$23M
Dividend Yield3.31%0.00%
Holdings1047
YTD Return+24.26%+13.64%
1Y Return+31.38%+19.34%
3Y Return (annualized)+15.08%+17.46%
5Y Return (annualized)+9.72%+10.88%
Volatility (annualized)13.6%12.8%
Max Drawdown-33.4%-22.1%
Fund FamilyCharles Schwab Asset ManagementInnovator ETFs Trust
CategoryEquityAlternative
InceptionOct 20, 2011Mar 31, 2021

SCHD vs XTAP Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Innovator US Equity Accelerated Plus ETF - April (XTAP) is a ETF from Innovator ETFs Trust. Over the past year SCHD returned +31.38% while XTAP returned +19.34%. Year to date, SCHD is up 24.26% versus a gain of 13.64% for XTAP.

Over three years, SCHD compounded at +15.08% per year against +17.46% for XTAP; over five years the annualized figures are +9.72% and +10.88% respectively. Across the full 5-year window we track, XTAP has the edge at +11.61% annualized vs +11.39%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 12.8% for XTAP. 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 -22.1% for XTAP. 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 0.68. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while XTAP charges 0.79%. On a $10,000 position that is $6 vs $79 annually, a gap of $73 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 0.00% for XTAP.

Holdings Overlap

0.0%overlap

SCHD and XTAP share 0 holdings out of 101 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, SCHD or XTAP?

SCHD has an expense ratio of 0.06% while XTAP charges 0.79%. SCHD is the cheaper option. On a $10,000 investment, that is $73 per year of difference.

Which performed better, SCHD or XTAP?

Over the past year SCHD returned +31.38% vs +19.34% for XTAP, so SCHD leads on 1-year performance. Over the longest common window we track (5 years), SCHD annualized +11.39% vs +11.61% for XTAP. Past performance does not guarantee future results.

Which is riskier, SCHD or XTAP?

SCHD has been the more volatile fund at 13.6% annualized versus 12.8% for XTAP. Worst drawdown: SCHD -33.4% vs XTAP -22.1%.

Should I hold both SCHD and XTAP?

SCHD and XTAP have a monthly-return correlation of 0.68, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and XTAP?

SCHD and XTAP share 0 common holdings with a 0.0% weight overlap. Combined, they hold 101 unique securities.

Which pays a higher dividend, SCHD or XTAP?

SCHD yields 3.31% while XTAP yields 0.00%, so SCHD currently pays the higher dividend yield.

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