ADP vs. SCHD

Last updated Aug 1, 2026

ADP (Automatic Data Processing, Inc.) is a stock, while SCHD (Schwab U.S. Dividend Equity ETF) is Dividend fund tracking the Dow Jones U.S. Dividend 100 Index. Over the past 10 years, ADP returned 14.19%/yr vs 12.76%/yr for SCHD. Their 0.65 correlation means they have sometimes moved together and sometimes differently.

Performance

ADP vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Automatic Data Processing, Inc. (ADP) and Schwab U.S. Dividend Equity ETF (SCHD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ADP achieves a 5.24% return, which is significantly lower than SCHD's 24.03% return. Over the past 10 years, ADP has outperformed SCHD with an annualized return of 14.19%, while SCHD has yielded a comparatively lower 12.76% annualized return.

ADP

• 1D: 0.98%
• 1M: 9.98%
• 6M: 9.68%
• YTD: 5.24%
• 1Y: -8.85%
• 3Y*: 4.81%
• 5Y*: 7.24%
• 10Y*: 14.19%
• ALL TIME*: 14.17%

SCHD

• 1D: 0.18%
• 1M: 3.33%
• 6M: 14.09%
• YTD: 24.03%
• 1Y: 31.54%
• 3Y*: 14.19%
• 5Y*: 9.54%
• 10Y*: 12.76%
• ALL TIME*: 13.39%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
ADP Automatic Data Processing, Inc.	$692.52M	$605.05M	$636.26M
SCHD Schwab U.S. Dividend Equity ETF	$786.88M	$715.86M	$685.58M

ADP vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ADP Automatic Data Processing, Inc.	5.24%	-10.18%	28.41%	-0.25%	-1.29%	42.60%	5.86%	32.71%	14.25%	16.54%
SCHD Schwab U.S. Dividend Equity ETF	24.03%	4.34%	11.66%	4.54%	-3.26%	29.87%	15.03%	27.29%	-5.56%	20.85%

Correlation

The correlation between ADP and SCHD is 0.32, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.32
Correlation (3Y) Balances recent behavior with more history.	0.45
Correlation (5Y) Shows whether the relationship held over a longer period.	0.58
Correlation (10Y) Provides a long-term view across more market conditions.	0.60
Correlation (All Time) Calculated using the full available price history since Oct 20, 2011	0.65

Over the past year, the correlation between ADP and SCHD has dropped to 0.32 - well below their long-term average of 0.65, suggesting their price drivers have been diverging.

Return for Risk

ADP vs. SCHD — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

ADP

ADP Risk / Return Rank: 28
ADP Sharpe Ratio Rank: 25
ADP Sortino Ratio Rank: 22
ADP Omega Ratio Rank: 23
ADP Calmar Ratio Rank: 34
ADP Martin Ratio Rank: 34

SCHD

SCHD Risk / Return Rank: 95
SCHD Sharpe Ratio Rank: 96
SCHD Sortino Ratio Rank: 96
SCHD Omega Ratio Rank: 94
SCHD Calmar Ratio Rank: 96
SCHD Martin Ratio Rank: 93

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

ADP vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Automatic Data Processing, Inc. (ADP) and Schwab U.S. Dividend Equity ETF (SCHD). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

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.

	ADP	SCHD	Difference
Sharpe ratio: Return per unit of total volatility	-0.43	2.81	-3.24
Sortino ratio: Return per unit of downside risk	-0.47	4.37	-4.84
Omega ratio: Gain probability vs. loss probability	0.95	1.51	-0.56
Calmar ratio: Return relative to maximum drawdown	-0.31	6.74	-7.04
Martin ratio: Return relative to average drawdown	-0.54	17.01	-17.55

ADP vs. SCHD - Sharpe Ratio Comparison

The current ADP Sharpe Ratio is -0.43, which is lower than the SCHD Sharpe Ratio of 2.81. The chart below compares the historical Sharpe Ratios of ADP and SCHD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

ADP vs. SCHD - Drawdown Comparison

The maximum ADP drawdown since its inception was -59.51%, which is greater than SCHD's maximum drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for ADP and SCHD.

Drawdown Indicators

	ADP	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-59.51%	-33.37%	-26.14%
Max Drawdown (1Y) Largest decline over 1 year	-37.68%	-4.61%	-33.07%
Max Drawdown (3Y) Largest decline over 3 years	-40.78%	-16.13%	-24.65%
Max Drawdown (5Y) Largest decline over 5 years	-40.78%	-16.85%	-23.93%
Max Drawdown (10Y) Largest decline over 10 years	-40.78%	-33.37%	-7.41%
Current Drawdown Current decline from peak	-15.78%	-1.24%	-14.54%
Average Drawdown Average peak-to-trough decline	-12.63%	-3.30%	-9.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	21.40%	1.82%	+19.58%

Volatility

ADP vs. SCHD - Volatility Comparison

Automatic Data Processing, Inc. (ADP) has a higher volatility of 10.56% compared to Schwab U.S. Dividend Equity ETF (SCHD) at 4.11%. This indicates that ADP's price experiences larger fluctuations and is considered to be riskier than SCHD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ADP	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	10.56%	4.11%	+6.45%
Volatility (6M) Calculated over the trailing 6-month period	23.32%	8.11%	+15.21%
Volatility (1Y) Calculated over the trailing 1-year period	26.92%	11.13%	+15.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.72%	14.39%	+8.33%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.71%	16.72%	+7.99%

Dividends

ADP vs. SCHD - Dividend Comparison

ADP's dividend yield for the trailing twelve months is around 2.49%, less than SCHD's 3.13% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ADP Automatic Data Processing, Inc.	2.49%	2.46%	1.96%	2.21%	1.83%	1.55%	2.08%	1.92%	2.14%	2.00%	2.10%	2.36%
SCHD Schwab U.S. Dividend Equity ETF	3.13%	3.82%	3.64%	3.49%	3.39%	2.78%	3.16%	2.98%	3.06%	2.63%	2.89%	2.97%

Frequently Asked Questions

Can I hold both ADP and SCHD in my portfolio?

ADP and SCHD have a correlation of 0.32, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ADP or SCHD?

ADP has higher volatility (10.56%) compared to SCHD (4.11%). In terms of maximum drawdown, ADP dropped -59.51% vs SCHD's -33.37%.

Which has better risk-adjusted returns?

SCHD currently has the higher Sharpe Ratio (2.81 vs -0.43), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.