SCHG vs SPY

Quick Verdict

SCHG has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.

Lower Fees: SCHGHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricSCHGSPYWinner
Expense Ratio0.04%0.09%
AUM$58.8B$789.1B
Dividend Yield0.39%1.01%
Holdings196505
YTD Return+9.54%+13.50%
1Y Return+18.46%+23.56%
3Y Return (annualized)+23.91%+21.17%
5Y Return (annualized)+13.90%+13.46%
Volatility (annualized)16.7%15.3%
Max Drawdown-34.6%-56.5%
Fund FamilyCharles Schwab Asset ManagementState Street Investment Management
CategoryEquityEquity
InceptionDec 11, 2009Jan 22, 1993

SCHG vs SPY Performance

Schwab US Large-Cap Growth ETF (SCHG) is a ETF from Charles Schwab Asset Management and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year SCHG returned +18.46% while SPY returned +23.56%. Year to date, SCHG is up 9.54% versus a gain of 13.50% for SPY.

Over three years, SCHG compounded at +23.91% per year against +21.17% for SPY; over five years the annualized figures are +13.90% and +13.46% respectively. Across the full 17-year window we track, SCHG has the edge at +15.80% annualized vs +8.85%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SCHG has been the more volatile fund, with annualized monthly volatility of 16.7% compared with 15.3% for SPY. 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 -34.6% for SCHG and -56.5% for SPY. 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

SCHG charges 0.04% per year while SPY charges 0.09%. On a $10,000 position that is $4 vs $9 annually, a gap of $5 per year that compounds over a long holding period. On income, SCHG currently yields 0.39% against 1.01% for SPY.

Holdings Overlap

52.6%overlap

SCHG and SPY share 120 holdings out of 577 unique holdings combined, representing a 52.6% weight overlap.

High overlap means holding both may not provide much additional diversification.

Top Shared Holdings

StockWeight in SCHGWeight in SPYDifference
NVDA10.65%7.31%3.34%
AAPL10.40%7.09%3.31%
MSFT6.03%4.43%1.60%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
LLYProProPro
TSLAProProPro
See all 10 holdings SCHG shares with SPY
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, SCHG or SPY?

SCHG has an expense ratio of 0.04% while SPY charges 0.09%. SCHG is the cheaper option. On a $10,000 investment, that is $5 per year of difference.

Which performed better, SCHG or SPY?

Over the past year SCHG returned +18.46% vs +23.56% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (17 years), SCHG annualized +15.80% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, SCHG or SPY?

SCHG has been the more volatile fund at 16.7% annualized versus 15.3% for SPY. Worst drawdown: SCHG -34.6% vs SPY -56.5%.

Should I hold both SCHG and SPY?

SCHG and SPY have a monthly-return correlation of 0.95, 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 SCHG and SPY?

SCHG and SPY share 120 common holdings with a 52.6% weight overlap. Combined, they hold 577 unique securities.

Which pays a higher dividend, SCHG or SPY?

SCHG yields 0.39% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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