SCHJ vs SPY
Schwab 1-5 Year Corporate Bond ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, SCHJ or SPY?
Short Term Bond against Large Cap Blend.
SCHJ has a lower expense ratio. SPY led over 1Y, 3Y, 5Y 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 | SCHJ | SPY |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.09% |
| AUM | $911M | $797.9B |
| Dividend Yield | 4.58% | 1.00% |
| Holdings | 3,333 | 504 |
| YTD Return | +0.23% | +11.28%Best |
| 1Y Return | +1.05% | +13.46%Best |
| 3Y Return (annualized) | +4.75% | +20.37%Best |
| 5Y Return (annualized) | +2.33% | +11.54%Best |
| Volatility (annualized) | 3.4%Best | 16.6% |
| Max Drawdown | -13.6%Best | -34.1% |
| $10,000 over 5 years | $11,221 | $17,264Best |
| Fund Family | Charles Schwab Asset Management | State Street Investment Management |
| Category | Fixed Income | Equity |
| Style | Short Term Bond | Large Cap Blend |
| Inception | Oct 10, 2019 | Jan 22, 1993 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Oct 10, 2019 to Nov 13, 2026 (7.1 years).
SCHJ vs SPY 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
SCHJ vs SPY Performance
Schwab 1-5 Year Corporate Bond ETF (SCHJ) is an ETF from Charles Schwab Asset Management and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year SCHJ returned +1.05% while SPY returned +13.46%. Year to date, SCHJ is up 0.23% versus a gain of 11.28% for SPY.
Over three years, SCHJ compounded at +4.75% per year against +20.37% for SPY; over five years the annualized figures are +2.33% and +11.54% respectively. Across the full 7-year window we track, SPY has the edge at +15.49% annualized vs +1.92%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 16.6% compared with 3.4% for SCHJ. 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 -13.6% for SCHJ and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.62. They move together some of the time, and apart the rest.
Fees and Cost Over Time
SCHJ charges 0.03% per year while SPY charges 0.09%. On a $10,000 position that is $3 vs $9 annually, a gap of $6 per year that compounds over a long holding period. On income, SCHJ currently yields 4.58% against 1.00% for SPY.
Holdings Overlap
At least 3.5% of SPY's money is in holdings SCHJ also owns.
Stated as a floor: for SCHJ, our book for it covers 61.4% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
SPY and SCHJ share little of their money.
12 positions in common, counted across the 2,124 positions we hold weights for in SCHJ and 502 in SPY, against full books of 3,333 and 504.
Top Shared Holdings
| Stock | Weight in SCHJ | Weight in SPY | Difference |
|---|---|---|---|
| AVGOBroadcom Inc | 0.08% | 2.36% | 2.28% |
| GSGoldman Sachs Group Inc. | 0.09% | 0.40% | 0.31% |
| TMUST-Mobile Usa Inc Esrw Usd Npv Ref Sm#585558 | 0.22% | 0.12% | 0.10% |
| AONAon Plc-Class A | 0.10% | 0.11% | 0.01% |
| HONAHoneywell Aerospace Inc | 0.06% | 0.08% | 0.02% |
| FDXFedex Corp. | 0.02% | 0.11% | 0.09% |
| KDPKeurig Dr Pepper Inc. | 0.03% | 0.08% | 0.05% |
| DVNDevon Energy Corp. | 0.02% | 0.08% | 0.06% |
| VTRSViatris Inc. | 0.04% | 0.03% | 0.01% |
| CNPCenterpoint Energy Inc. | 0.02% | 0.04% | 0.02% |
You are not choosing between two funds in isolation.
Whichever of SCHJ and SPY 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, SCHJ or SPY?
SCHJ has an expense ratio of 0.03% while SPY charges 0.09%. SCHJ is the cheaper option, by $6 a year on a $10,000 investment.
Which performed better, SCHJ or SPY?
Over the past year SCHJ returned +1.05% vs +13.46% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (7 years), SCHJ annualized +1.92% vs +15.49% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHJ or SPY?
SPY has been the more volatile fund at 16.6% annualized versus 3.4% for SCHJ. Worst drawdown: SCHJ -13.6% vs SPY -34.1%.
Should I hold both SCHJ and SPY?
SCHJ and SPY have a monthly-return correlation of 0.62, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between SCHJ and SPY?
At least 3.5% of SPY's money is in holdings SCHJ also owns. Our book for SCHJ is partial, so the real figure is this or higher. They hold 12 positions in common, counted across the 2,124 positions we hold weights for in SCHJ and 502 in SPY.
Which pays a higher dividend, SCHJ or SPY?
SCHJ yields 4.58% while SPY yields 1.00%, so SCHJ currently pays the higher dividend yield.
Is SPY better than SCHJ?
SCHJ has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.