IWS vs SCHD

Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. IWS offers more diversification with 698 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: IWS

Side-by-Side Comparison

MetricIWSSCHDWinner
Expense Ratio0.23%0.06%
AUM$15.6B$103.7B
Dividend Yield1.32%3.31%
Holdings724104
YTD Return+19.08%+23.02%
1Y Return+26.26%+30.75%
3Y Return (annualized)+16.41%+14.89%
5Y Return (annualized)+9.57%+9.38%
Volatility (annualized)17.1%13.6%
Max Drawdown-63.9%-33.4%
Fund FamilyiShares by BlackRock (US)Charles Schwab Asset Management
CategoryEquityEquity
InceptionJul 17, 2001Oct 20, 2011

IWS vs SCHD Performance

iShares Russell Mid-cap Value ETF (IWS) 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 IWS returned +26.26% while SCHD returned +30.75%. Year to date, IWS is up 19.08% versus a gain of 23.02% for SCHD.

Over three years, IWS compounded at +16.41% per year against +14.89% for SCHD; over five years the annualized figures are +9.57% and +9.38% respectively. Across the full 15-year window we track, SCHD has the edge at +11.33% annualized vs +8.23%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IWS has been the more volatile fund, with annualized monthly volatility of 17.1% 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 -63.9% for IWS 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 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

IWS charges 0.23% per year while SCHD charges 0.06%. On a $10,000 position that is $23 vs $6 annually, a gap of $17 per year that compounds over a long holding period. On income, IWS currently yields 1.32% against 3.31% for SCHD.

Holdings Overlap

6.2%overlap

IWS and SCHD share 35 holdings out of 763 unique holdings combined, representing a 6.2% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in IWSWeight in SCHDDifference
OKE0.54%1.50%0.96%
F0.53%1.44%0.91%
FITB0.51%1.35%0.84%
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See all 10 holdings IWS shares with SCHD
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Frequently Asked Questions

Which is cheaper, IWS or SCHD?

IWS has an expense ratio of 0.23% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $17 per year of difference.

Which performed better, IWS or SCHD?

Over the past year IWS returned +26.26% vs +30.75% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), IWS annualized +8.23% vs +11.33% for SCHD. Past performance does not guarantee future results.

Which is riskier, IWS or SCHD?

IWS has been the more volatile fund at 17.1% annualized versus 13.6% for SCHD. Worst drawdown: IWS -63.9% vs SCHD -33.4%.

Should I hold both IWS and SCHD?

IWS and SCHD have a monthly-return correlation of 0.90, 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 IWS and SCHD?

IWS and SCHD share 35 common holdings with a 6.2% weight overlap. Combined, they hold 763 unique securities.

Which pays a higher dividend, IWS or SCHD?

IWS yields 1.32% while SCHD yields 3.31%, so SCHD currently pays the higher dividend yield.

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