SCHM vs SPY
Schwab US Mid Cap ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, SCHM or SPY?
Mid Cap Blend against Large Cap Blend.
SCHM has a lower expense ratio. SCHM led over 1Y, SPY over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. SCHM is less concentrated, with 12.4% of the fund in its ten largest positions against 37.8%.
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 | SCHM | SPY |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.09% |
| AUM | $14.7B | $804.7B |
| Dividend Yield | 1.24% | 0.98% |
| Holdings | 495 | 505 |
| YTD Return | +14.96%Best | +12.09% |
| 1Y Return | +17.46%Best | +16.29% |
| 3Y Return (annualized) | +16.23% | +21.20%Best |
| 5Y Return (annualized) | +7.87% | +13.37%Best |
| Volatility (annualized) | 17.2% | 14.2%Best |
| Max Drawdown | -42.4% | -34.1%Best |
| $10,000 over 5 years | $14,605 | $18,728Best |
| Top 10 Weight | 12.4%Best | 37.8% |
| Fund Family | Charles Schwab Asset Management | State Street Investment Management |
| Category | Equity | Equity |
| Style | Mid Cap Blend | Large Cap Blend |
| Inception | Jan 13, 2011 | Jan 22, 1993 |
Volatility and max drawdown are measured over the window both funds cover: Jan 13, 2011 to Sep 18, 2026 (15.7 years).
SCHM 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 covers the 15.7 years both funds cover.
SCHM vs SPY Performance
Schwab US Mid Cap ETF (SCHM) 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 SCHM returned +17.46% while SPY returned +16.29%. Year to date, SCHM is up 14.96% versus a gain of 12.09% for SPY.
Over three years, SCHM compounded at +16.23% per year against +21.20% for SPY; over five years the annualized figures are +7.87% and +13.37% respectively. Across the full 16-year window we track, SPY has the edge at +12.56% annualized vs +10.07%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHM has been the more volatile fund, with annualized monthly volatility of 17.2% compared with 14.2% for SPY. 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 -42.4% for SCHM 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
SCHM 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, SCHM currently yields 1.24% against 0.98% for SPY.
Holdings Overlap
29.6% of SCHM's money is in holdings SPY also owns. 2.8% of SPY's money is in holdings SCHM also owns.
SCHM and SPY share little of their money.
84 positions in common, counted across the 492 positions we hold weights for in SCHM and 504 in SPY, against full books of 495 and 505.
What only one of them owns
Our book lists 413 positions for SPY that do not appear in our book for SCHM (96.5% of the fund), and 393 for SCHM that do not appear in SPY (66.4%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in SCHM | Weight in SPY | Difference |
|---|---|---|---|
| SNDKSandisk Corp/De | 4.32% | 0.35% | 3.97% |
| LITELumentum Holdings Inc | 1.33% | 0.10% | 1.23% |
| CIENCiena Corp | 1.01% | 0.08% | 0.93% |
| COHRCoherent Corp | 1.01% | 0.08% | 0.93% |
| MRNAModerna therapeutics | 0.92% | 0.08% | 0.84% |
| STLDSteel Dynamics, Inc. | 0.59% | 0.05% | 0.54% |
| CNCCentene | 0.56% | 0.05% | 0.51% |
| CASYCaseys General | 0.52% | 0.04% | 0.48% |
| RTXRaytheon Co. | 0.12% | 0.42% | 0.30% |
| OMCOmnicom Group Inc. | 0.46% | 0.04% | 0.42% |
29.6% of SCHM is already inside SPY.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SCHM or SPY?
SCHM has an expense ratio of 0.03% while SPY charges 0.09%. SCHM is the cheaper option, by $6 a year on a $10,000 investment.
Which performed better, SCHM or SPY?
Over the past year SCHM returned +17.46% vs +16.29% for SPY, so SCHM leads on 1-year performance. Over the longest common window we track (16 years), SCHM annualized +10.07% vs +12.56% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHM or SPY?
SCHM has been the more volatile fund at 17.2% annualized versus 14.2% for SPY. Worst drawdown: SCHM -42.4% vs SPY -34.1%.
Should I hold both SCHM and SPY?
SCHM and SPY have a monthly-return correlation of 0.92, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between SCHM and SPY?
29.6% of SCHM's money is in holdings SPY also owns. 2.8% of SPY's is in holdings SCHM also owns. They hold 84 positions in common, counted across the 492 positions we hold weights for in SCHM and 504 in SPY.
Which pays a higher dividend, SCHM or SPY?
SCHM yields 1.24% while SPY yields 0.98%, so SCHM currently pays the higher dividend yield.
Is SPY better than SCHM?
SCHM has a lower expense ratio. SCHM led over 1Y, SPY over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. SCHM is less concentrated, with 12.4% of the fund in its ten largest positions against 37.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.