Quick Verdict

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

Lower Fees: XTREHigher Returns: SCHDMore Diversified: SCHD

Side-by-Side Comparison

MetricSCHDXTREWinner
Expense Ratio0.06%0.05%
AUM$103.7B$164M
Dividend Yield3.31%3.94%
Holdings10475
YTD Return+24.26%-0.04%
1Y Return+31.38%+1.79%
3Y Return (annualized)+15.08%+3.82%
5Y Return (annualized)+9.72%-
Volatility (annualized)13.6%3.0%
Max Drawdown-33.4%-2.9%
Fund FamilyCharles Schwab Asset ManagementBondBloxx
CategoryEquityFixed Income
InceptionOct 20, 2011Sep 13, 2022

SCHD vs XTRE Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and BondBloxx Bloomberg Three Year Target Duration US Treasury ETF (XTRE) is a ETF from BondBloxx. Over the past year SCHD returned +31.38% while XTRE returned +1.79%. Year to date, SCHD is up 24.26% versus a loss of 0.04% for XTRE.

Over three years, SCHD compounded at +15.08% per year against +3.82% for XTRE. Across the full 4-year window we track, SCHD has the edge at +11.39% annualized vs +3.34%. 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 3.0% for XTRE. 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 -2.9% for XTRE. 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 0.33. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while XTRE charges 0.05%. On a $10,000 position that is $6 vs $5 annually, a gap of $1 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 3.94% for XTRE.

Holdings Overlap

0.0%overlap

SCHD and XTRE share 0 holdings out of 165 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 XTRE?

SCHD has an expense ratio of 0.06% while XTRE charges 0.05%. XTRE is the cheaper option. On a $10,000 investment, that is $1 per year of difference.

Which performed better, SCHD or XTRE?

Over the past year SCHD returned +31.38% vs +1.79% for XTRE, so SCHD leads on 1-year performance. Over the longest common window we track (4 years), SCHD annualized +11.39% vs +3.34% for XTRE. Past performance does not guarantee future results.

Which is riskier, SCHD or XTRE?

SCHD has been the more volatile fund at 13.6% annualized versus 3.0% for XTRE. Worst drawdown: SCHD -33.4% vs XTRE -2.9%.

Should I hold both SCHD and XTRE?

SCHD and XTRE have a monthly-return correlation of 0.33, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and XTRE?

SCHD and XTRE share 0 common holdings with a 0.0% weight overlap. Combined, they hold 165 unique securities.

Which pays a higher dividend, SCHD or XTRE?

SCHD yields 3.31% while XTRE yields 3.94%, so XTRE currently pays the higher dividend yield.

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