SCHD vs USD

Quick Verdict

SCHD has a lower expense ratio. USD delivered stronger 1-year returns. SCHD offers more diversification with 100 holdings.

Lower Fees: SCHDHigher Returns: USDMore Diversified: SCHD

Side-by-Side Comparison

MetricSCHDUSDWinner
Expense Ratio0.06%0.95%
AUM$103.7B$2.5B
Dividend Yield3.31%0.29%
Holdings10451
YTD Return+24.26%+71.79%
1Y Return+31.38%+113.18%
3Y Return (annualized)+15.08%+105.59%
5Y Return (annualized)+9.72%+59.51%
Volatility (annualized)13.6%54.5%
Max Drawdown-33.4%-89.3%
Fund FamilyCharles Schwab Asset ManagementProShares
CategoryEquityAlternative
InceptionOct 20, 2011Jan 30, 2007

SCHD vs USD Performance

Schwab US Dividend Equity ETF (SCHD) is a ETF from Charles Schwab Asset Management and ProShares Ultra Semiconductors (USD) is a ETF from ProShares. Over the past year SCHD returned +31.38% while USD returned +113.18%. Year to date, SCHD is up 24.26% versus a gain of 71.79% for USD.

Over three years, SCHD compounded at +15.08% per year against +105.59% for USD; over five years the annualized figures are +9.72% and +59.51% respectively. Across the full 15-year window we track, USD has the edge at +28.26% annualized vs +11.39%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

USD has been the more volatile fund, with annualized monthly volatility of 54.5% 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 -33.4% for SCHD and -89.3% for USD. 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 0.52. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SCHD charges 0.06% per year while USD charges 0.95%. On a $10,000 position that is $6 vs $95 annually, a gap of $89 per year that compounds over a long holding period. On income, SCHD currently yields 3.31% against 0.29% for USD.

Holdings Overlap

1.2%overlap

SCHD and USD share 3 holdings out of 134 unique holdings combined, representing a 1.2% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SCHDWeight in USDDifference
TXN3.70%0.71%2.99%
QCOM2.72%0.50%2.22%
SWKS0.24%0.02%0.22%

Frequently Asked Questions

Which is cheaper, SCHD or USD?

SCHD has an expense ratio of 0.06% while USD charges 0.95%. SCHD is the cheaper option. On a $10,000 investment, that is $89 per year of difference.

Which performed better, SCHD or USD?

Over the past year SCHD returned +31.38% vs +113.18% for USD, so USD leads on 1-year performance. Over the longest common window we track (15 years), SCHD annualized +11.39% vs +28.26% for USD. Past performance does not guarantee future results.

Which is riskier, SCHD or USD?

USD has been the more volatile fund at 54.5% annualized versus 13.6% for SCHD. Worst drawdown: SCHD -33.4% vs USD -89.3%.

Should I hold both SCHD and USD?

SCHD and USD have a monthly-return correlation of 0.52, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SCHD and USD?

SCHD and USD share 3 common holdings with a 1.2% weight overlap. Combined, they hold 134 unique securities.

Which pays a higher dividend, SCHD or USD?

SCHD yields 3.31% while USD yields 0.29%, so SCHD currently pays the higher dividend yield.

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