PBP vs SCHD

Quick Verdict

SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. PBP offers more diversification with 499 holdings.

Lower Fees: SCHDHigher Returns: SCHDMore Diversified: PBP

Side-by-Side Comparison

MetricPBPSCHDWinner
Expense Ratio0.29%0.06%
AUM$354M$103.7B
Dividend Yield10.25%3.31%
Holdings506104
YTD Return+1.79%+24.08%
1Y Return+9.44%+31.88%
3Y Return (annualized)+11.68%+14.92%
5Y Return (annualized)+8.05%+9.85%
Volatility (annualized)49.5%13.6%
Max Drawdown-79.6%-33.4%
Fund FamilyInvesco (US)Charles Schwab Asset Management
CategoryEquityEquity
InceptionDec 20, 2007Oct 20, 2011

PBP vs SCHD Performance

Invesco S&P 500 BuyWrite ETF (PBP) 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 PBP returned +9.44% while SCHD returned +31.88%. Year to date, PBP is up 1.79% versus a gain of 24.08% for SCHD.

Over three years, PBP compounded at +11.68% per year against +14.92% for SCHD; over five years the annualized figures are +8.05% and +9.85% respectively. Across the full 15-year window we track, SCHD has the edge at +11.39% annualized vs +5.62%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PBP has been the more volatile fund, with annualized monthly volatility of 49.5% 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 -79.6% for PBP 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 0.76. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PBP charges 0.29% per year while SCHD charges 0.06%. On a $10,000 position that is $29 vs $6 annually, a gap of $23 per year that compounds over a long holding period. On income, PBP currently yields 10.25% against 3.31% for SCHD.

Holdings Overlap

7.8%overlap

PBP and SCHD share 46 holdings out of 553 unique holdings combined, representing a 7.8% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in PBPWeight in SCHDDifference
UNH0.60%4.54%3.94%
MRK0.51%4.32%3.81%
ABT0.25%4.49%4.24%
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PEPProProPro
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Frequently Asked Questions

Which is cheaper, PBP or SCHD?

PBP has an expense ratio of 0.29% while SCHD charges 0.06%. SCHD is the cheaper option. On a $10,000 investment, that is $23 per year of difference.

Which performed better, PBP or SCHD?

Over the past year PBP returned +9.44% vs +31.88% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), PBP annualized +5.62% vs +11.39% for SCHD. Past performance does not guarantee future results.

Which is riskier, PBP or SCHD?

PBP has been the more volatile fund at 49.5% annualized versus 13.6% for SCHD. Worst drawdown: PBP -79.6% vs SCHD -33.4%.

Should I hold both PBP and SCHD?

PBP and SCHD have a monthly-return correlation of 0.76, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between PBP and SCHD?

PBP and SCHD share 46 common holdings with a 7.8% weight overlap. Combined, they hold 553 unique securities.

Which pays a higher dividend, PBP or SCHD?

PBP yields 10.25% while SCHD yields 3.31%, so PBP currently pays the higher dividend yield.

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