IUS vs SCHD

Quick Verdict

SCHD has a lower expense ratio. IUS delivered stronger 1-year returns. IUS offers more diversification with 501 holdings.

Lower Fees: SCHDHigher Returns: IUSMore Diversified: IUS

Side-by-Side Comparison

MetricIUSSCHDWinner
Expense Ratio0.19%0.06%
AUM$912M$103.7B
Dividend Yield1.29%3.31%
Holdings546104
YTD Return+20.28%+23.02%
1Y Return+34.81%+30.75%
3Y Return (annualized)+20.95%+14.89%
5Y Return (annualized)+14.71%+9.38%
Volatility (annualized)16.7%13.6%
Max Drawdown-35.2%-33.4%
Fund FamilyInvesco (US)Charles Schwab Asset Management
CategoryEquityEquity
InceptionSep 12, 2018Oct 20, 2011

IUS vs SCHD Performance

Invesco RAFI Strategic US ETF (IUS) is a ETF from Invesco (US) and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year IUS returned +34.81% while SCHD returned +30.75%. Year to date, IUS is up 20.28% versus a gain of 23.02% for SCHD.

Over three years, IUS compounded at +20.95% per year against +14.89% for SCHD; over five years the annualized figures are +14.71% and +9.38% respectively. Across the full 8-year window we track, IUS has the edge at +15.09% annualized vs +11.33%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IUS has been the more volatile fund, with annualized monthly volatility of 16.7% 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 -35.2% for IUS 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

IUS charges 0.19% per year while SCHD charges 0.06%. On a $10,000 position that is $19 vs $6 annually, a gap of $13 per year that compounds over a long holding period. On income, IUS currently yields 1.29% against 3.31% for SCHD.

Holdings Overlap

15.1%overlap

IUS and SCHD share 48 holdings out of 553 unique holdings combined, representing a 15.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in IUSWeight in SCHDDifference
UNH1.49%4.54%3.05%
CVX1.28%3.95%2.67%
MRK0.71%4.32%3.61%
PGProProPro
ABTProProPro
HDProProPro
VZProProPro
AMGNProProPro
KOProProPro
COPProProPro
See all 10 holdings IUS shares with SCHD
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, IUS or SCHD?

IUS has an expense ratio of 0.19% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $13 per year of difference.

Which performed better, IUS or SCHD?

Over the past year IUS returned +34.81% vs +30.75% for SCHD, so IUS leads on 1-year performance. Over the longest common window we track (8 years), IUS annualized +15.09% vs +11.33% for SCHD. Past performance does not guarantee future results.

Which is riskier, IUS or SCHD?

IUS has been the more volatile fund at 16.7% annualized versus 13.6% for SCHD. Worst drawdown: IUS -35.2% vs SCHD -33.4%.

Should I hold both IUS and SCHD?

IUS and SCHD have a monthly-return correlation of 0.91, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between IUS and SCHD?

IUS and SCHD share 48 common holdings with a 15.1% weight overlap. Combined, they hold 553 unique securities.

Which pays a higher dividend, IUS or SCHD?

IUS yields 1.29% while SCHD yields 3.31%, so SCHD currently pays the higher dividend yield.

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