ITDD vs SCHD
ITDD vs SCHD
iShares LifePath Target Date 2040 ETF vs Schwab US Dividend Equity ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.
Side-by-Side Comparison
| Metric | ITDD | SCHD | Winner |
|---|---|---|---|
| Expense Ratio | 0.11% | 0.06% | |
| AUM | $103M | $103.7B | |
| Dividend Yield | 1.67% | 3.31% | |
| Holdings | 15 | 104 | |
| YTD Return | +10.39% | +23.31% | |
| 1Y Return | +19.43% | +30.42% | |
| 3Y Return (annualized) | - | +14.66% | |
| 5Y Return (annualized) | - | +9.59% | |
| Volatility (annualized) | 9.8% | 13.6% | |
| Max Drawdown | -12.5% | -33.4% | |
| Fund Family | iShares by BlackRock (US) | Charles Schwab Asset Management | |
| Category | Allocation/Balanced | Equity | |
| Inception | Oct 17, 2023 | Oct 20, 2011 |
ITDD vs SCHD Performance
iShares LifePath Target Date 2040 ETF (ITDD) is a ETF from iShares by BlackRock (US) and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year ITDD returned +19.43% while SCHD returned +30.42%. Year to date, ITDD is up 10.39% versus a gain of 23.31% for SCHD.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 13.6% compared with 9.8% for ITDD. 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 -12.5% for ITDD 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 0.61. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
ITDD charges 0.11% per year while SCHD charges 0.06%. On a $10,000 position that is $11 vs $6 annually, a gap of $5 per year that compounds over a long holding period. On income, ITDD currently yields 1.67% against 3.31% for SCHD.
Holdings Overlap
ITDD and SCHD share 0 holdings out of 114 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, ITDD or SCHD?
ITDD has an expense ratio of 0.11% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $5 per year of difference.
Which performed better, ITDD or SCHD?
Over the past year ITDD returned +19.43% vs +30.42% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (3 years), ITDD annualized +20.09% vs +11.34% for SCHD. Past performance does not guarantee future results.
Which is riskier, ITDD or SCHD?
SCHD has been the more volatile fund at 13.6% annualized versus 9.8% for ITDD. Worst drawdown: ITDD -12.5% vs SCHD -33.4%.
Should I hold both ITDD and SCHD?
ITDD and SCHD have a monthly-return correlation of 0.61, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between ITDD and SCHD?
ITDD and SCHD share 0 common holdings with a 0.0% weight overlap. Combined, they hold 114 unique securities.
Which pays a higher dividend, ITDD or SCHD?
ITDD yields 1.67% while SCHD yields 3.31%, so SCHD 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.