SCHD vs ZSEP
Schwab US Dividend Equity ETF vs Innovator Equity Defined Protection ETF - 1 Yr September
Which is better, SCHD or ZSEP?
Large Cap Value against Option Writing.
SCHD has a lower expense ratio. SCHD led over 1Y and the full window.
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 | ZSEP |
|---|---|---|
| Expense Ratio | 0.06%Best | 0.79% |
| AUM | $108.9B | $231M |
| Dividend Yield | 3.00% | 0.00% |
| Holdings | 206 | 20 |
| YTD Return | +20.89%Best | +4.21% |
| 1Y Return | +23.87%Best | +5.23% |
| 3Y Return (annualized) | +16.42% | - |
| 5Y Return (annualized) | +9.40% | - |
| Volatility (annualized) | 14.1% | 2.6%Best |
| Max Drawdown | -16.1% | -4.0%Best |
| $10,000 over 2.1 years | $12,737Best | $11,394 |
| Fund Family | Charles Schwab Asset Management | Innovator ETFs Trust |
| Category | Equity | Alternative |
| Style | Large Cap Value | Option Writing |
| Inception | Oct 20, 2011 | Aug 31, 2024 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2.1 years row, are measured over the window both funds cover: Sep 3, 2024 to Oct 2, 2026 (2.1 years).
SCHD vs ZSEP 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 2.1 years both funds cover.
SCHD vs ZSEP Performance
Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management and Innovator Equity Defined Protection ETF - 1 Yr September (ZSEP) is an ETF from Innovator ETFs Trust. Over the past year SCHD returned +23.87% while ZSEP returned +5.23%. Year to date, SCHD is up 20.89% versus a gain of 4.21% for ZSEP.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 2.6% for ZSEP. 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 -16.1% for SCHD and -4.0% for ZSEP. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.39. They move together some of the time, and apart the rest.
Fees and Cost Over Time
SCHD charges 0.06% per year while ZSEP 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 3.00% against 0.00% for ZSEP.
Holdings Overlap
We hold position weights for 99 holdings in SCHD and 1 in ZSEP, totalling 100.0% and 98.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 99 positions we hold weights for in SCHD and 1 in ZSEP, against full books of 206 and 20.
You are not choosing between two funds in isolation.
Whichever of SCHD and ZSEP 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 ZSEP?
SCHD has an expense ratio of 0.06% while ZSEP charges 0.79%. SCHD is the cheaper option, by $73 a year on a $10,000 investment.
Which performed better, SCHD or ZSEP?
Over the past year SCHD returned +23.87% vs +5.23% for ZSEP, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), SCHD annualized +12.21% vs +6.41% for ZSEP. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHD or ZSEP?
SCHD has been the more volatile fund at 14.1% annualized versus 2.6% for ZSEP. Worst drawdown: SCHD -16.1% vs ZSEP -4.0%.
Should I hold both SCHD and ZSEP?
SCHD and ZSEP have a monthly-return correlation of 0.39, 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 ZSEP?
SCHD yields 3.00% while ZSEP yields 0.00%, so SCHD currently pays the higher dividend yield.
Is ZSEP better than SCHD?
SCHD has a lower expense ratio. SCHD led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.