Asset Allocation
Find the right asset allocation for Charles Schwab
Add portfolio to the optimizer to find optimal allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
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Performance Chart
The chart shows the growth of an initial investment of $10,000 in Charles Schwab, comparing it to the performance of the S&P 500 index or another benchmark. All prices have been adjusted for splits and dividends. The portfolio is rebalanced Every 3 months.
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Returns By Period
| Position | 1D | 1M | YTD | 6M | 1Y | 3Y* | 5Y* | 10Y* |
|---|---|---|---|---|---|---|---|---|
Benchmark S&P 500 Index | -0.37% | -0.01% | 9.16% | 8.64% | 25.22% | 19.78% | 11.99% | 13.88% |
Portfolio Charles Schwab | 0.47% | -1.95% | 20.68% | 19.79% | 31.88% | 18.93% | 10.64% | — |
| Portfolio components: | ||||||||
BCI abrdn Bloomberg All Commodity Strategy K-1 Free ETF | -0.65% | -8.66% | 16.69% | 16.52% | 22.05% | 11.86% | 9.82% | — |
IAU iShares Gold Trust | -0.67% | -7.09% | -2.92% | -5.73% | 24.19% | 29.42% | 18.45% | 11.97% |
IDGT iShares U.S. Digital Infrastructure and Real Estate ETF | 1.64% | 1.10% | 48.60% | 47.03% | 58.23% | 24.83% | 12.59% | 14.61% |
SCHC Schwab International Small-Cap Equity ETF | -0.20% | -1.97% | 8.19% | 8.34% | 24.95% | 18.14% | 6.51% | 8.68% |
SCHD Schwab U.S. Dividend Equity ETF | 0.09% | -2.86% | 17.24% | 16.44% | 24.06% | 14.45% | 8.77% | 12.68% |
SCHE Schwab Emerging Markets Equity ETF | 0.98% | 4.17% | 13.71% | 14.37% | 31.95% | 18.83% | 5.77% | 9.30% |
SCHH Schwab US REIT ETF | 1.24% | -0.08% | 13.92% | 14.36% | 14.58% | 11.60% | 3.36% | 4.16% |
Monthly Returns
Based on dividend-adjusted daily data since Mar 31, 2017, Charles Schwab's average daily return is +0.05%, while the average monthly return is +0.97%. At this rate, an investment would double in approximately 6.0 years.
Historically, 65% of months were positive and 35% were negative. The best month was Nov 2020 with a return of +10.3%, while the worst month was Mar 2020 at -11.6%. The longest winning streak lasted 10 consecutive months, and the longest losing streak was 3 months.
On a daily basis, Charles Schwab closed higher 55% of trading days. The best single day was Mar 24, 2020 with a return of +6.3%, while the worst single day was Mar 16, 2020 at -8.7%.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Total | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 7.43% | 6.64% | -2.34% | 8.25% | 2.08% | -2.39% | 20.68% | ||||||
| 2025 | 2.25% | 0.97% | -0.07% | -2.37% | 2.17% | 3.12% | 0.27% | 3.12% | 2.65% | 0.73% | 1.53% | -0.12% | 15.07% |
| 2024 | -0.01% | 2.19% | 4.00% | -3.23% | 2.81% | 0.37% | 4.37% | 1.90% | 3.43% | -0.59% | 2.56% | -3.70% | 14.63% |
| 2023 | 3.42% | -4.06% | 1.58% | -2.33% | -2.13% | 4.03% | 2.59% | -1.75% | -4.68% | -3.37% | 5.32% | 5.42% | 3.31% |
| 2022 | -3.56% | -0.35% | 2.68% | -5.16% | 0.98% | -7.15% | 6.08% | -1.78% | -8.04% | 7.82% | 6.09% | -3.51% | -7.23% |
| 2021 | 1.53% | 3.05% | 4.23% | 2.69% | 3.71% | -0.04% | 0.41% | 1.19% | -3.14% | 3.53% | -1.37% | 7.09% | 24.96% |
Benchmark Metrics
Charles Schwab has an annualized alpha of 1.91%, beta of 0.71, and R2 of 0.82 versus S&P 500 Index. Calculated based on daily prices since March 31, 2017.
- This portfolio participated in 76.27% of S&P 500 Index downside but only 74.59% of its upside - more exposed to losses than it benefited from rallies.
- Alpha
- 1.91%
- Beta
- 0.71
- R²
- 0.82
- Upside Capture
- 74.59%
- Downside Capture
- 76.27%
Expense Ratio
Charles Schwab has an expense ratio of 0.18%, which is considered low. Below, you can find the expense ratios of the portfolio's funds side by side and easily compare their relative costs.
Return for Risk
Risk / Return Rank
Charles Schwab ranks 89 for risk / return — in the top 89% of Portfolios on our site. This means strong returns relative to risk — exactly what professional investors look for. Well-suited for investors who want to maximize return per unit of risk.
Return / Risk — by metrics
The table below presents risk-adjusted performance metrics for Charles Schwab and compares them with S&P 500 Index.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| Portfolio | Benchmark | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | 2.94 | 2.03 | +0.91 |
| Sortino ratioReturn per unit of downside risk | 3.92 | 2.75 | +1.16 |
| Omega ratioGain probability vs. loss probability | 1.53 | 1.37 | +0.16 |
| Calmar ratioReturn relative to maximum drawdown | 6.54 | 2.78 | +3.75 |
| Martin ratioReturn relative to average drawdown | 22.51 | 12.44 | +10.07 |
How much return does each position deliver for the risk it carries? Higher values mean better reward for the risk taken.
| Position | Risk / Return Rank | Sharpe ratio | Sortino ratio | Omega ratio | Calmar ratio | Martin ratio |
|---|---|---|---|---|---|---|
BCI abrdn Bloomberg All Commodity Strategy K-1 Free ETF | 38 | 1.29 | 1.76 | 1.24 | 1.84 | 6.82 |
IAU iShares Gold Trust | 24 | 0.89 | 1.25 | 1.19 | 1.00 | 2.71 |
IDGT iShares U.S. Digital Infrastructure and Real Estate ETF | 86 | 2.75 | 3.45 | 1.46 | 6.49 | 18.73 |
SCHC Schwab International Small-Cap Equity ETF | 44 | 1.55 | 2.17 | 1.28 | 2.01 | 7.33 |
SCHD Schwab U.S. Dividend Equity ETF | 76 | 2.18 | 3.34 | 1.39 | 5.24 | 12.71 |
SCHE Schwab Emerging Markets Equity ETF | 58 | 1.88 | 2.57 | 1.35 | 2.84 | 10.03 |
SCHH Schwab US REIT ETF | 32 | 1.06 | 1.50 | 1.19 | 1.77 | 5.53 |
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Dividends
Dividend yield
Charles Schwab provided a 3.44% dividend yield over the last twelve months.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Portfolio | 3.44% | 4.03% | 2.76% | 2.56% | 3.92% | 3.62% | 1.89% | 2.05% | 2.04% | 2.15% | 1.77% | 1.82% |
| Portfolio components: | ||||||||||||
BCI abrdn Bloomberg All Commodity Strategy K-1 Free ETF | 14.13% | 16.49% | 3.29% | 3.93% | 19.98% | 19.43% | 0.68% | 1.47% | 1.13% | 5.02% | 0.00% | 0.00% |
IAU iShares Gold Trust | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
IDGT iShares U.S. Digital Infrastructure and Real Estate ETF | 0.72% | 1.17% | 1.64% | 0.37% | 0.30% | 0.28% | 0.60% | 0.42% | 0.65% | 0.57% | 0.75% | 0.72% |
SCHC Schwab International Small-Cap Equity ETF | 3.38% | 3.66% | 3.72% | 2.94% | 1.78% | 3.02% | 1.62% | 3.23% | 2.51% | 2.73% | 2.01% | 2.34% |
SCHD Schwab U.S. Dividend Equity ETF | 3.31% | 3.82% | 3.64% | 3.49% | 3.39% | 2.78% | 3.16% | 2.98% | 3.06% | 2.63% | 2.89% | 2.97% |
SCHE Schwab Emerging Markets Equity ETF | 2.53% | 2.88% | 3.03% | 3.83% | 2.88% | 2.86% | 2.09% | 3.27% | 2.64% | 2.31% | 2.27% | 2.50% |
SCHH Schwab US REIT ETF | 2.75% | 3.04% | 3.22% | 3.24% | 2.55% | 1.50% | 2.86% | 2.86% | 3.64% | 2.22% | 2.81% | 2.48% |
Drawdowns
Drawdowns Chart
The Drawdowns chart displays portfolio losses from any high point along the way. Drawdowns are calculated considering price movements and all distributions paid, if any.
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Worst Drawdowns
The table below displays the maximum drawdowns of the Charles Schwab. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.
The maximum drawdown for the Charles Schwab was 29.25%, occurring on Mar 23, 2020. Recovery took 161 trading sessions.
The current Charles Schwab drawdown is 3.52%.
Related event | Drawdown | Fall | Recovery | Underwater |
|---|---|---|---|---|
COVID crash2020 | -29.25%Mar 2020 | 2mo 2d | 7mo 21d | 9mo 23dJan 2020 - Nov 2020 |
Bear market2022 | -16.36%Sep 2022 | 8mo 25d | 1y 5mo | 2y 2moJan 2022 - Mar 2024 |
Rate-hike selloffLate 2018 | -14.61%Dec 2018 | 10mo 29d | 2mo 27d | 1y 1moJan 2018 - Mar 2019 |
2025 selloff2025 | -12.69%Apr 2025 | 1mo 16d | 2mo 3d | 3mo 19dFeb 2025 - Jun 2025 |
2019 pullback2019 | -7.99%May 2019 | 1mo 7d | 1mo 24d | 3mo 1dApr 2019 - Jul 2019 |
Volatility
Volatility Chart
The chart below shows the rolling one-month volatility.
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Diversification
Diversification Metrics
Number of Effective Assets
The portfolio contains 7 assets, with an effective number of assets of 4.26, reflecting the diversification based on asset allocation. Your allocation shows noticeable concentration: a few holdings carry significantly more weight than the rest. Rebalancing toward more even weights — or adding less correlated assets — could reduce risk.
Diversification Ratio
1Y | 3Y | 5Y | All Time | |
|---|---|---|---|---|
Diversification Ratio | 1.52 | 1.38 | 1.34 | 1.28 |
The portfolio has a diversification ratio of 1.28, in line with the typical range across portfolios. There's room to improve by adding less correlated assets.
Charles Schwab correlation to the S&P 500 Index
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.63 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.71 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.80 |
Correlation (All Time) Calculated using the full available price history since Mar 31, 2017 | 0.84 |
Benchmark Correlations
Correlation vs. S&P 500 Index. SCHC has the highest benchmark correlation at 0.77, while IAU has the lowest at 0.08.
Asset Correlations Table
Find what Charles Schwab is missing
See which holdings overlap, where Charles Schwab is concentrated, and which low-correlation assets could fill the gaps.
Analyze Diversification