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AGG vs. SCHB
Performance
Return for Risk
Drawdowns
Volatility
Dividends

AGG vs. SCHB

Last updated Jun 9, 2026

AGG (iShares Core U.S. Aggregate Bond ETF) and SCHB (Schwab U.S. Broad Market ETF) are both exchange-traded funds - AGG is a Total Bond Market fund tracking the Bloomberg U.S. Aggregate Bond Index, while SCHB is a Large Cap Blend Equities fund tracking the Dow Jones U.S. Broad Stock Market Index. Both are passively managed. Over the past 10 years, AGG returned 1.52%/yr vs 14.83%/yr for SCHB. At a correlation of -0.07, they often move in opposite directions. Both charge a 0.03% expense ratio.

Performance

AGG vs. SCHB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core U.S. Aggregate Bond ETF (AGG) and Schwab U.S. Broad Market ETF (SCHB). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, AGG achieves a -0.08% return, which is significantly lower than SCHB's 9.14% return. Over the past 10 years, AGG has underperformed SCHB with an annualized return of 1.52%, while SCHB has yielded a comparatively higher 14.83% annualized return.

AGG

1D
0.00%
1M
-0.69%
YTD
-0.08%
6M
0.26%
1Y
4.97%
3Y*
3.88%
5Y*
-0.03%
10Y*
1.52%

SCHB

1D
0.35%
1M
0.46%
YTD
9.14%
6M
9.03%
1Y
24.95%
3Y*
21.09%
5Y*
12.31%
10Y*
14.83%
*Multi-year figures are annualized to reflect compound growth (CAGR)

AGG vs. SCHB - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
AGG
iShares Core U.S. Aggregate Bond ETF		-0.08%7.19%1.31%5.65%-13.02%-1.77%7.48%8.46%0.09%3.55%
SCHB
Schwab U.S. Broad Market ETF		9.14%16.94%23.93%26.16%-19.46%25.84%20.76%30.79%-5.43%21.20%

Correlation

The correlation between AGG and SCHB is 0.35, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.35

Correlation (3Y)
Calculated over the trailing 3-year period

0.26

Correlation (5Y)
Calculated over the trailing 5-year period

0.19

Correlation (10Y)
Calculated over the trailing 10-year period

0.08

Correlation (All Time)
Calculated using the full available price history since Nov 4, 2009

-0.07

The correlation between AGG and SCHB shifts across timeframes, from -0.07 (all time) to 0.35 (1 year), reflecting how their relationship changes across market environments.

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares Core U.S. Aggregate Bond ETF

Schwab U.S. Broad Market ETF

Often compared with AGG:
AGG vs. BNDAGG vs. TLTAGG vs. HYGAGG vs. FBNDAGG vs. PIMIXAGG vs. IUSBAGG vs. AGGH
Often compared with SCHB:
SCHB vs. VTISCHB vs. SCHGSCHB vs. SCHXSCHB vs. VOOSCHB vs. SCHDSCHB vs. SWTSXSCHB vs. SPY

Return for Risk

AGG vs. SCHB — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
AGG
AGG Risk / Return Rank: 4040
Overall Rank
AGG Sharpe Ratio Rank: 4141
Sharpe Ratio Rank
AGG Sortino Ratio Rank: 4242
Sortino Ratio Rank
AGG Omega Ratio Rank: 3939
Omega Ratio Rank
AGG Calmar Ratio Rank: 4040
Calmar Ratio Rank
AGG Martin Ratio Rank: 3838
Martin Ratio Rank
SCHB
SCHB Risk / Return Rank: 6868
Overall Rank
SCHB Sharpe Ratio Rank: 6868
Sharpe Ratio Rank
SCHB Sortino Ratio Rank: 6666
Sortino Ratio Rank
SCHB Omega Ratio Rank: 6868
Omega Ratio Rank
SCHB Calmar Ratio Rank: 6262
Calmar Ratio Rank
SCHB Martin Ratio Rank: 7575
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

AGG vs. SCHB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core U.S. Aggregate Bond ETF (AGG) and Schwab U.S. Broad Market ETF (SCHB). 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.

AGGSCHBDifference
Sharpe ratioReturn per unit of total volatility
1.32
2.02

-0.71

Sortino ratioReturn per unit of downside risk
1.94
2.73

-0.79

Omega ratioGain probability vs. loss probability

1.23

1.37

-0.13

Calmar ratioReturn relative to maximum drawdown

1.81

2.81

-1.01

Martin ratioReturn relative to average drawdown

5.44

12.80

-7.36

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AGG vs. SCHB - Sharpe Ratio Comparison

The current AGG Sharpe Ratio is 1.32, which is lower than the SCHB Sharpe Ratio of 2.02. The chart below compares the historical Sharpe Ratios of AGG and SCHB, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

AGGSCHBDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.32

2.02

-0.71

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

-0.00

0.72

-0.72

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.28

0.81

-0.53

Sharpe Ratio (All Time)

Calculated using the full available price history

0.59

0.82

-0.23

Drawdowns

AGG vs. SCHB - Drawdown Comparison

The maximum AGG drawdown since its inception was -18.43%, smaller than the maximum SCHB drawdown of -35.27%. Use the drawdown chart below to compare losses from any high point for AGG and SCHB.

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Drawdown Indicators

AGGSCHBDifference

Max Drawdown

Largest peak-to-trough decline

-18.43%

-35.27%

+16.84%

Max Drawdown (1Y)

Largest decline over 1 year

-2.76%

-8.91%

+6.15%

Max Drawdown (3Y)

Largest decline over 3 years

-6.11%

-19.34%

+13.23%

Max Drawdown (5Y)

Largest decline over 5 years

-17.82%

-25.41%

+7.59%

Max Drawdown (10Y)

Largest decline over 10 years

-18.43%

-35.27%

+16.84%

Current Drawdown

Current decline from peak

-2.47%

-2.63%

+0.16%

Average Drawdown

Average peak-to-trough decline

-2.71%

-4.11%

+1.40%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.92%

1.95%

-1.03%

Volatility

AGG vs. SCHB - Volatility Comparison

The current volatility for iShares Core U.S. Aggregate Bond ETF (AGG) is 1.29%, while Schwab U.S. Broad Market ETF (SCHB) has a volatility of 3.93%. This indicates that AGG experiences smaller price fluctuations and is considered to be less risky than SCHB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

AGGSCHBDifference

Volatility (1M)

Calculated over the trailing 1-month period

1.29%

3.93%

-2.64%

Volatility (6M)

Calculated over the trailing 6-month period

2.77%

9.57%

-6.80%

Volatility (1Y)

Calculated over the trailing 1-year period

3.80%

12.41%

-8.61%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

6.09%

17.28%

-11.19%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

5.41%

18.34%

-12.93%

AGG vs. SCHB - Expense Ratio Comparison

Both AGG and SCHB have an expense ratio of 0.03%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

AGG vs. SCHB - Dividend Comparison

AGG's dividend yield for the trailing twelve months is around 4.00%, more than SCHB's 1.04% yield.

PositionTTM20252024202320222021202020192018201720162015
AGG
iShares Core U.S. Aggregate Bond ETF		4.00%3.89%3.74%3.13%2.39%1.77%2.14%2.70%2.72%2.32%2.39%2.45%
SCHB
Schwab U.S. Broad Market ETF		1.04%1.11%1.24%1.40%1.61%1.21%1.63%1.80%2.00%1.65%1.86%2.00%

Frequently Asked Questions

AGG and SCHB have a correlation of 0.35, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

SCHB has higher volatility (3.93%) compared to AGG (1.29%). In terms of maximum drawdown, AGG dropped -18.43% vs SCHB's -35.27%.

On 10-year performance, SCHB leads with 14.83% vs 1.52% for AGG. Both ETFs have the same 0.03% expense ratio. On volatility, AGG has been the lower-risk option at 1.29%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, SCHB has performed better with a 14.83% return vs 1.52%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

AGG and SCHB have the same expense ratio: 0.03% per year.

AGG has the higher dividend yield at 4.00%, compared with 1.04% for SCHB.

AGG is categorized as Total Bond Market, while SCHB is Large Cap Blend Equities. AGG tracks Bloomberg U.S. Aggregate Bond Index, while SCHB tracks Dow Jones U.S. Broad Stock Market Index. They also come from different issuers: iShares and Charles Schwab.

SCHB currently has the higher Sharpe Ratio (2.02 vs 1.32), 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.

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