BGT vs SCHD
BGT vs SCHD
BlackRock Floating Rate Income Trust vs Schwab US Dividend Equity ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. BGT offers more diversification with 233 holdings.
Side-by-Side Comparison
| Metric | BGT | SCHD | Winner |
|---|---|---|---|
| Expense Ratio | 2.10% | 0.06% | |
| AUM | $331M | $103.7B | |
| Dividend Yield | 12.94% | 3.31% | |
| Holdings | 485 | 104 | |
| YTD Return | +4.24% | +23.31% | |
| 1Y Return | -0.90% | +30.42% | |
| 3Y Return (annualized) | +9.36% | +14.66% | |
| 5Y Return (annualized) | +6.92% | +9.59% | |
| Volatility (annualized) | 14.1% | 13.6% | |
| Max Drawdown | -64.1% | -33.4% | |
| Fund Family | BlackRock, Inc. (US) | Charles Schwab Asset Management | |
| Category | Fixed Income | Equity | |
| Inception | Aug 30, 2004 | Oct 20, 2011 |
BGT vs SCHD Performance
BlackRock Floating Rate Income Trust (BGT) is a ETF from BlackRock, Inc. (US) and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year BGT returned -0.90% while SCHD returned +30.42%. Year to date, BGT is up 4.24% versus a gain of 23.31% for SCHD.
Over three years, BGT compounded at +9.36% per year against +14.66% for SCHD; over five years the annualized figures are +6.92% and +9.59% respectively. Across the full 15-year window we track, SCHD has the edge at +11.34% annualized vs -0.31%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
BGT has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 13.6% for SCHD. 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 -64.1% for BGT and -33.4% for SCHD. 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 0.60. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
BGT charges 2.10% per year while SCHD charges 0.06%. On a $10,000 position that is $210 vs $6 annually, a gap of $204 per year that compounds over a long holding period. On income, BGT currently yields 12.94% against 3.31% for SCHD.
Holdings Overlap
BGT and SCHD share 1 holdings out of 332 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in BGT | Weight in SCHD | Difference |
|---|---|---|---|
| AFG | 0.00% | 0.25% | 0.25% |
Frequently Asked Questions
Which is cheaper, BGT or SCHD?
BGT has an expense ratio of 2.10% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $204 per year of difference.
Which performed better, BGT or SCHD?
Over the past year BGT returned -0.90% vs +30.42% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), BGT annualized -0.31% vs +11.34% for SCHD. Past performance does not guarantee future results.
Which is riskier, BGT or SCHD?
BGT has been the more volatile fund at 14.1% annualized versus 13.6% for SCHD. Worst drawdown: BGT -64.1% vs SCHD -33.4%.
Should I hold both BGT and SCHD?
BGT and SCHD have a monthly-return correlation of 0.60, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between BGT and SCHD?
BGT and SCHD share 1 common holdings with a 0.0% weight overlap. Combined, they hold 332 unique securities.
Which pays a higher dividend, BGT or SCHD?
BGT yields 12.94% while SCHD yields 3.31%, so BGT currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.