PHEQ vs SCHD
PHEQ vs SCHD
Parametric Hedged Equity ETF vs Schwab US Dividend Equity ETF
Quick Verdict
SCHD has a lower expense ratio. SCHD delivered stronger 1-year returns. PHEQ offers more diversification with 173 holdings.
Side-by-Side Comparison
| Metric | PHEQ | SCHD | Winner |
|---|---|---|---|
| Expense Ratio | 0.29% | 0.06% | |
| AUM | $137M | $103.7B | |
| Dividend Yield | 0.94% | 3.31% | |
| Holdings | 186 | 104 | |
| YTD Return | +6.93% | +23.31% | |
| 1Y Return | +13.44% | +30.42% | |
| 3Y Return (annualized) | - | +14.66% | |
| 5Y Return (annualized) | - | +9.59% | |
| Volatility (annualized) | 6.8% | 13.6% | |
| Max Drawdown | -12.6% | -33.4% | |
| Fund Family | Parametric | Charles Schwab Asset Management | |
| Category | Equity | Equity | |
| Inception | Oct 16, 2023 | Oct 20, 2011 |
PHEQ vs SCHD Performance
Parametric Hedged Equity ETF (PHEQ) is a ETF from Parametric and Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management. Over the past year PHEQ returned +13.44% while SCHD returned +30.42%. Year to date, PHEQ is up 6.93% 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 6.8% for PHEQ. 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 -12.6% for PHEQ 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 0.38. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
PHEQ 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, PHEQ currently yields 0.94% against 3.31% for SCHD.
Holdings Overlap
PHEQ and SCHD share 18 holdings out of 255 unique holdings combined, representing a 9.1% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in PHEQ | Weight in SCHD | Difference |
|---|---|---|---|
| UNH | 0.81% | 4.54% | 3.73% |
| MRK | 0.77% | 4.32% | 3.55% |
| PG | 0.77% | 4.15% | 3.38% |
| KO | Pro | Pro | Pro |
| HD | Pro | Pro | Pro |
| CVX | Pro | Pro | Pro |
| AMGN | Pro | Pro | Pro |
| PEP | Pro | Pro | Pro |
| TXN | Pro | Pro | Pro |
| QCOM | Pro | Pro | Pro |
See all 10 holdings PHEQ shares with SCHD Exact weights in each fund and the difference, for every overlapping position. Get FundXLS Pro: $29/moFirst 500 subscribers, then $49/mo. Cancel anytime. | |||
Frequently Asked Questions
Which is cheaper, PHEQ or SCHD?
PHEQ 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, PHEQ or SCHD?
Over the past year PHEQ returned +13.44% vs +30.42% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (3 years), PHEQ annualized +15.00% vs +11.34% for SCHD. Past performance does not guarantee future results.
Which is riskier, PHEQ or SCHD?
SCHD has been the more volatile fund at 13.6% annualized versus 6.8% for PHEQ. Worst drawdown: PHEQ -12.6% vs SCHD -33.4%.
Should I hold both PHEQ and SCHD?
PHEQ and SCHD have a monthly-return correlation of 0.38, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between PHEQ and SCHD?
PHEQ and SCHD share 18 common holdings with a 9.1% weight overlap. Combined, they hold 255 unique securities.
Which pays a higher dividend, PHEQ or SCHD?
PHEQ yields 0.94% while SCHD yields 3.31%, so SCHD currently pays the higher dividend yield.
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