SCHD vs XTJL

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

MetricSCHDXTJLWinner
Expense Ratio0.06%0.79%
AUM$103.7B$13M
Dividend Yield3.31%0.00%
Holdings1045
YTD Return+24.26%+8.67%
1Y Return+31.38%+15.42%
3Y Return (annualized)+15.08%+15.28%
5Y Return (annualized)+9.72%+9.93%
Volatility (annualized)13.6%12.4%
Max Drawdown-33.4%-23.2%
Fund FamilyCharles Schwab Asset ManagementInnovator ETFs Trust
CategoryEquityAlternative
InceptionOct 20, 2011Jun 30, 2021

SCHD vs XTJL Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Innovator US Equity Accelerated Plus ETF - July (XTJL) is a ETF from Innovator ETFs Trust. Over the past year SCHD returned +31.38% while XTJL returned +15.42%. Year to date, SCHD is up 24.26% versus a gain of 8.67% for XTJL.

Over three years, SCHD compounded at +15.08% per year against +15.28% for XTJL; over five years the annualized figures are +9.72% and +9.93% respectively. Across the full 5-year window we track, SCHD has the edge at +11.39% annualized vs +10.09%. 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 12.4% for XTJL. 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 -23.2% for XTJL. 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 0.69. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while XTJL 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 XTJL.

Frequently Asked Questions

Which is cheaper, SCHD or XTJL?

SCHD has an expense ratio of 0.06% while XTJL 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 XTJL?

Over the past year SCHD returned +31.38% vs +15.42% for XTJL, so SCHD leads on 1-year performance. Over the longest common window we track (5 years), SCHD annualized +11.39% vs +10.09% for XTJL. Past performance does not guarantee future results.

Which is riskier, SCHD or XTJL?

SCHD has been the more volatile fund at 13.6% annualized versus 12.4% for XTJL. Worst drawdown: SCHD -33.4% vs XTJL -23.2%.

Should I hold both SCHD and XTJL?

SCHD and XTJL have a monthly-return correlation of 0.69, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, SCHD or XTJL?

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

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