SCHD vs SPHB

Quick Verdict

SCHD has a lower expense ratio. SPHB delivered stronger 1-year returns.

Lower Fees: SCHDHigher Returns: SPHBMore Diversified: Tied

Side-by-Side Comparison

MetricSCHDSPHBWinner
Expense Ratio0.06%0.25%
AUM$103.7B$983M
Dividend Yield3.31%0.52%
Holdings104103
YTD Return+24.08%+25.58%
1Y Return+31.88%+46.63%
3Y Return (annualized)+14.92%+25.32%
5Y Return (annualized)+9.85%+16.48%
Volatility (annualized)13.6%24.6%
Max Drawdown-33.4%-47.8%
Fund FamilyCharles Schwab Asset ManagementInvesco (US)
CategoryEquityEquity
InceptionOct 20, 2011May 5, 2011

SCHD vs SPHB Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and Invesco S&P 500 High Beta ETF (SPHB) is a ETF from Invesco (US). Over the past year SCHD returned +31.88% while SPHB returned +46.63%. Year to date, SCHD is up 24.08% versus a gain of 25.58% for SPHB.

Over three years, SCHD compounded at +14.92% per year against +25.32% for SPHB; over five years the annualized figures are +9.85% and +16.48% respectively. Across the full 15-year window we track, SPHB has the edge at +12.98% annualized vs +11.39%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPHB has been the more volatile fund, with annualized monthly volatility of 24.6% 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 -33.4% for SCHD and -47.8% for SPHB. 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 0.75. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SCHD charges 0.06% per year while SPHB charges 0.25%. On a $10,000 position that is $6 vs $25 annually, a gap of $19 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 0.52% for SPHB.

Holdings Overlap

2.4%overlap

SCHD and SPHB share 4 holdings out of 196 unique holdings combined, representing a 2.4% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SCHDWeight in SPHBDifference
QCOM2.72%0.76%1.96%
BX2.38%0.71%1.67%
ARES0.66%0.73%0.07%
SWKSProProPro
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Frequently Asked Questions

Which is cheaper, SCHD or SPHB?

SCHD has an expense ratio of 0.06% while SPHB charges 0.25%. SCHD is the cheaper option. On a $10,000 investment, that is $19 per year of difference.

Which performed better, SCHD or SPHB?

Over the past year SCHD returned +31.88% vs +46.63% for SPHB, so SPHB leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.39% vs +12.98% for SPHB. Past performance does not guarantee future results.

Which is riskier, SCHD or SPHB?

SPHB has been the more volatile fund at 24.6% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs SPHB -47.8%.

Should I hold both SCHD and SPHB?

SCHD and SPHB have a monthly-return correlation of 0.75, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and SPHB?

SCHD and SPHB share 4 common holdings with a 2.4% weight overlap. Combined, they hold 196 unique securities.

Which pays a higher dividend, SCHD or SPHB?

SCHD yields 3.31% while SPHB yields 0.52%, so SCHD currently pays the higher dividend yield.

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