SCHO vs VYM
Schwab Short-Term US Treasury ETF vs Vanguard High Dividend Yield ETF
Which is better, SCHO or VYM?
Short Term Government Bond against Large Cap Value.
SCHO has a lower expense ratio. VYM 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 | SCHO | VYM |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.04% |
| AUM | $15.1B | $81.6B |
| Dividend Yield | 3.87% | 2.22% |
| Holdings | 97 | 613 |
| YTD Return | +0.67% | +13.91%Best |
| 1Y Return | +1.84% | +17.57%Best |
| 3Y Return (annualized) | +4.01% | +18.12%Best |
| 5Y Return (annualized) | +1.77% | +12.17%Best |
| Volatility (annualized) | 1.4%Best | 12.9% |
| Max Drawdown | -6.3%Best | -35.7% |
| $10,000 over 5 years | $10,917 | $17,758Best |
| Fund Family | Charles Schwab Asset Management | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Short Term Government Bond | Large Cap Value |
| Inception | Aug 5, 2010 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Aug 5, 2010 to Sep 11, 2026 (16.1 years).
SCHO vs VYM 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.
SCHO vs VYM Performance
Schwab Short-Term US Treasury ETF (SCHO) is an ETF from Charles Schwab Asset Management and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year SCHO returned +1.84% while VYM returned +17.57%. Year to date, SCHO is up 0.67% versus a gain of 13.91% for VYM.
Over three years, SCHO compounded at +4.01% per year against +18.12% for VYM; over five years the annualized figures are +1.77% and +12.17% respectively. Across the full 16-year window we track, VYM has the edge at +10.47% annualized vs +0.71%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 12.9% compared with 1.4% for SCHO. 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 -6.3% for SCHO and -35.7% for VYM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.05. They move largely independently of each other.
Fees and Cost Over Time
SCHO charges 0.03% per year while VYM charges 0.04%. On a $10,000 position that is $3 vs $4 annually, a gap of $1 per year that compounds over a long holding period. On income, SCHO currently yields 3.87% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 75 holdings in SCHO and 603 in VYM, totalling 73.0% and 99.5% 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 75 positions we hold weights for in SCHO and 603 in VYM, against full books of 97 and 613.
You are not choosing between two funds in isolation.
Whichever of SCHO and VYM 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, SCHO or VYM?
SCHO has an expense ratio of 0.03% while VYM charges 0.04%. SCHO is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, SCHO or VYM?
Over the past year SCHO returned +1.84% vs +17.57% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (16 years), SCHO annualized +0.71% vs +10.47% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SCHO or VYM?
VYM has been the more volatile fund at 12.9% annualized versus 1.4% for SCHO. Worst drawdown: SCHO -6.3% vs VYM -35.7%.
Should I hold both SCHO and VYM?
SCHO and VYM have a monthly-return correlation of 0.05, 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, SCHO or VYM?
SCHO yields 3.87% while VYM yields 2.22%, so SCHO currently pays the higher dividend yield.
Is VYM better than SCHO?
SCHO has a lower expense ratio. VYM 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.