BDEC vs. SCHD

Last updated Jun 14, 2026

BDEC (Innovator U.S. Equity Buffer ETF - December) and SCHD (Schwab U.S. Dividend Equity ETF) are both exchange-traded funds - BDEC is a Defined Outcome fund tracking the Cboe S&P 500 Buffer Protect Index December, while SCHD is a Dividend fund tracking the Dow Jones U.S. Dividend 100 Index. Both are passively managed. Over the past 5 years, BDEC returned 9.87%/yr vs 8.75%/yr for SCHD. A 0.70 correlation means they provide meaningful diversification when combined. BDEC charges 0.79%/yr vs 0.06%/yr for SCHD.

Performance

BDEC vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Innovator U.S. Equity Buffer ETF - December (BDEC) 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, BDEC achieves a 6.51% return, which is significantly lower than SCHD's 20.66% return.

BDEC

• 1D: 0.34%
• 1M: -0.01%
• YTD: 6.51%
• 6M: 6.90%
• 1Y: 20.50%
• 3Y*: 14.06%
• 5Y*: 9.87%
• 10Y*: —

SCHD

• 1D: 0.89%
• 1M: 3.21%
• YTD: 20.66%
• 6M: 19.57%
• 1Y: 26.72%
• 3Y*: 14.90%
• 5Y*: 8.75%
• 10Y*: 12.91%

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

BDEC vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
BDEC Innovator U.S. Equity Buffer ETF - December	6.51%	14.96%	12.71%	19.86%	-9.42%	15.45%	13.39%	1.55%
SCHD Schwab U.S. Dividend Equity ETF	20.66%	4.34%	11.66%	4.54%	-3.26%	29.87%	15.03%	2.28%

Correlation

The correlation between BDEC and SCHD is 0.37, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.37
Correlation (3Y) Calculated over the trailing 3-year period	0.54
Correlation (5Y) Calculated over the trailing 5-year period	0.68
Correlation (All Time) Calculated using the full available price history since Dec 2, 2019	0.70

Over the past year, the correlation between BDEC and SCHD has dropped to 0.37 - well below their long-term average of 0.70, suggesting their price drivers have been diverging.

BDEC vs. SCHD - Sectors Allocation Comparison

Sectors	BDEC	SCHD
Technology	38.4%	19.4%
Financial Services	11.0%	9.1%
Communication Services	10.8%	6.0%
Consumer Cyclical	10.0%	6.7%
Healthcare	8.4%	18.4%
Industrials	7.9%	7.4%
Consumer Defensive	4.6%	18.5%
Energy	3.2%	14.6%
Utilities	2.1%	0.0%
Real Estate	1.8%	-
Basic Materials	1.7%	1.2%

Return for Risk

BDEC vs. SCHD — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

BDEC

BDEC Risk / Return Rank: 76
BDEC Sharpe Ratio Rank: 77
BDEC Sortino Ratio Rank: 78
BDEC Omega Ratio Rank: 79
BDEC Calmar Ratio Rank: 67
BDEC Martin Ratio Rank: 81

SCHD

SCHD Risk / Return Rank: 87
SCHD Sharpe Ratio Rank: 86
SCHD Sortino Ratio Rank: 90
SCHD Omega Ratio Rank: 83
SCHD Calmar Ratio Rank: 93
SCHD Martin Ratio Rank: 81

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.

BDEC vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Innovator U.S. Equity Buffer ETF - December (BDEC) 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.

	BDEC	SCHD	Difference
Sharpe ratio: Return per unit of total volatility	2.17	2.41	-0.24
Sortino ratio: Return per unit of downside risk	3.04	3.72	-0.68
Omega ratio: Gain probability vs. loss probability	1.41	1.43	-0.02
Calmar ratio: Return relative to maximum drawdown	2.99	5.70	-2.71
Martin ratio: Return relative to average drawdown	14.06	13.97	+0.10

BDEC vs. SCHD - Sharpe Ratio Comparison

The current BDEC Sharpe Ratio is 2.17, which is comparable to the SCHD Sharpe Ratio of 2.41. The chart below compares the historical Sharpe Ratios of BDEC 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

BDEC vs. SCHD - Drawdown Comparison

The maximum BDEC drawdown since its inception was -25.60%, smaller than the maximum SCHD drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for BDEC and SCHD.

Drawdown Indicators

	BDEC	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-25.60%	-33.37%	+7.77%
Max Drawdown (1Y) Largest decline over 1 year	-6.52%	-4.61%	-1.91%
Max Drawdown (3Y) Largest decline over 3 years	-13.95%	-16.13%	+2.18%
Max Drawdown (5Y) Largest decline over 5 years	-16.44%	-16.85%	+0.41%
Max Drawdown (10Y) Largest decline over 10 years	—	-33.37%	—
Current Drawdown Current decline from peak	-1.15%	-0.03%	-1.12%
Average Drawdown Average peak-to-trough decline	-3.04%	-3.31%	+0.27%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.38%	1.89%	-0.51%

Volatility

BDEC vs. SCHD - Volatility Comparison

The current volatility for Innovator U.S. Equity Buffer ETF - December (BDEC) is 2.38%, while Schwab U.S. Dividend Equity ETF (SCHD) has a volatility of 3.05%. This indicates that BDEC experiences smaller price fluctuations and is considered to be less risky than SCHD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BDEC	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.38%	3.05%	-0.67%
Volatility (6M) Calculated over the trailing 6-month period	6.64%	7.53%	-0.89%
Volatility (1Y) Calculated over the trailing 1-year period	8.96%	10.93%	-1.97%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	11.99%	14.38%	-2.39%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.26%	16.72%	-2.46%

BDEC vs. SCHD - Expense Ratio Comparison

BDEC has a 0.79% expense ratio, which is higher than SCHD's 0.06% expense ratio.

Dividends

BDEC vs. SCHD - Dividend Comparison

BDEC has not paid dividends to shareholders, while SCHD's dividend yield for the trailing twelve months is around 3.22%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BDEC Innovator U.S. Equity Buffer ETF - December	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SCHD Schwab U.S. Dividend Equity ETF	3.22%	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 BDEC and SCHD in my portfolio?

BDEC and SCHD have a correlation of 0.37, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BDEC or SCHD?

SCHD has higher volatility (3.05%) compared to BDEC (2.38%). In terms of maximum drawdown, BDEC dropped -25.60% vs SCHD's -33.37%.

Which ETF is better, BDEC or SCHD?

On 5-year performance, BDEC leads with 9.87% vs 8.75% for SCHD. On fees, SCHD is cheaper at 0.06% per year. On volatility, BDEC has been the lower-risk option at 2.38%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BDEC or SCHD?

Over the 5-year period, BDEC has performed better with a 9.87% return vs 8.75%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BDEC or SCHD?

SCHD is cheaper with a 0.06% expense ratio, compared with 0.79% for BDEC.

Which ETF pays a higher dividend yield, BDEC or SCHD?

SCHD has the higher dividend yield at 3.22%, compared with 0.00% for BDEC.

What is the main difference between BDEC and SCHD?

BDEC is categorized as Defined Outcome, while SCHD is Dividend. BDEC tracks Cboe S&P 500 Buffer Protect Index December, while SCHD tracks Dow Jones U.S. Dividend 100 Index. They also come from different issuers: Innovator and Charles Schwab. Their fees differ too: 0.79% for BDEC and 0.06% for SCHD.

Which has better risk-adjusted returns?

SCHD currently has the higher Sharpe Ratio (2.41 vs 2.17), 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.