HDV vs. SCHD

Last updated Jun 24, 2026

HDV (iShares Core High Dividend ETF) and SCHD (Schwab U.S. Dividend Equity ETF) are both Dividend funds - HDV tracks the Morningstar Dividend Yield Focus Index while SCHD tracks the Dow Jones U.S. Dividend 100 Index. Both are passively managed. Over the past 10 years, HDV returned 9.45%/yr vs 12.72%/yr for SCHD. Their correlation of 0.90 suggests significant overlap in exposure. HDV charges 0.08%/yr vs 0.06%/yr for SCHD.

Performance

HDV vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core High Dividend ETF (HDV) 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, HDV achieves a 14.07% return, which is significantly lower than SCHD's 17.72% return. Over the past 10 years, HDV has underperformed SCHD with an annualized return of 9.45%, while SCHD has yielded a comparatively higher 12.72% annualized return.

HDV

• 1D: 1.33%
• 1M: -1.35%
• YTD: 14.07%
• 6M: 14.08%
• 1Y: 21.06%
• 3Y*: 15.48%
• 5Y*: 11.09%
• 10Y*: 9.45%

SCHD

• 1D: 0.41%
• 1M: -2.47%
• YTD: 17.72%
• 6M: 17.25%
• 1Y: 24.56%
• 3Y*: 14.60%
• 5Y*: 8.71%
• 10Y*: 12.72%

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

HDV vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HDV iShares Core High Dividend ETF	14.07%	11.90%	14.16%	1.72%	7.05%	19.45%	-6.48%	20.22%	-3.01%	13.40%
SCHD Schwab U.S. Dividend Equity ETF	17.72%	4.34%	11.66%	4.54%	-3.26%	29.87%	15.03%	27.29%	-5.56%	20.85%

Correlation

The correlation between HDV and SCHD is 0.84, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.84
Correlation (3Y) Calculated over the trailing 3-year period	0.86
Correlation (5Y) Calculated over the trailing 5-year period	0.88
Correlation (10Y) Calculated over the trailing 10-year period	0.89
Correlation (All Time) Calculated using the full available price history since Oct 20, 2011	0.90

The correlation between HDV and SCHD has been stable across timeframes, ranging from 0.84 to 0.90 - a consistent structural relationship.

HDV vs. SCHD - Sectors Allocation Comparison

Sectors	HDV	SCHD
Consumer Defensive	24.5%	18.5%
Healthcare	22.6%	18.4%
Energy	20.2%	14.6%
Consumer Cyclical	9.2%	6.7%
Utilities	8.1%	0.0%
Communication Services	5.7%	6.0%
Financial Services	4.7%	9.1%
Industrials	3.5%	7.4%
Basic Materials	0.8%	1.2%
Technology	0.2%	19.4%
Real Estate	-	-

Return for Risk

HDV vs. SCHD — Risk / Return Rank

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

HDV

HDV Risk / Return Rank: 70
HDV Sharpe Ratio Rank: 68
HDV Sortino Ratio Rank: 73
HDV Omega Ratio Rank: 62
HDV Calmar Ratio Rank: 81
HDV Martin Ratio Rank: 64

SCHD

SCHD Risk / Return Rank: 77
SCHD Sharpe Ratio Rank: 72
SCHD Sortino Ratio Rank: 80
SCHD Omega Ratio Rank: 70
SCHD Calmar Ratio Rank: 90
SCHD Martin Ratio Rank: 71

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.

HDV vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core High Dividend ETF (HDV) 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.

	HDV	SCHD	Difference
Sharpe ratio: Return per unit of total volatility	2.13	2.23	-0.10
Sortino ratio: Return per unit of downside risk	3.13	3.40	-0.27
Omega ratio: Gain probability vs. loss probability	1.36	1.40	-0.03
Calmar ratio: Return relative to maximum drawdown	4.09	5.35	-1.26
Martin ratio: Return relative to average drawdown	11.19	12.94	-1.75

HDV vs. SCHD - Sharpe Ratio Comparison

The current HDV Sharpe Ratio is 2.13, which is comparable to the SCHD Sharpe Ratio of 2.23. The chart below compares the historical Sharpe Ratios of HDV 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

HDV vs. SCHD - Drawdown Comparison

The maximum HDV drawdown since its inception was -37.04%, which is greater than SCHD's maximum drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for HDV and SCHD.

Drawdown Indicators

	HDV	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-37.04%	-33.37%	-3.67%
Max Drawdown (1Y) Largest decline over 1 year	-5.18%	-4.61%	-0.57%
Max Drawdown (3Y) Largest decline over 3 years	-10.49%	-16.13%	+5.64%
Max Drawdown (5Y) Largest decline over 5 years	-15.42%	-16.85%	+1.43%
Max Drawdown (10Y) Largest decline over 10 years	-37.04%	-33.37%	-3.67%
Current Drawdown Current decline from peak	-1.35%	-2.47%	+1.12%
Average Drawdown Average peak-to-trough decline	-3.08%	-3.31%	+0.23%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.89%	1.90%	-0.01%

Volatility

HDV vs. SCHD - Volatility Comparison

iShares Core High Dividend ETF (HDV) and Schwab U.S. Dividend Equity ETF (SCHD) have volatilities of 3.64% and 3.58%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HDV	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.64%	3.58%	+0.06%
Volatility (6M) Calculated over the trailing 6-month period	7.61%	7.73%	-0.12%
Volatility (1Y) Calculated over the trailing 1-year period	9.93%	11.07%	-1.14%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.81%	14.36%	-1.55%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.73%	16.71%	-0.98%

HDV vs. SCHD - Expense Ratio Comparison

HDV has a 0.08% expense ratio, which is higher than SCHD's 0.06% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

HDV vs. SCHD - Dividend Comparison

HDV's dividend yield for the trailing twelve months is around 2.90%, less than SCHD's 3.30% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HDV iShares Core High Dividend ETF	2.90%	3.22%	3.67%	3.82%	3.56%	3.47%	4.07%	3.27%	3.67%	3.27%	3.28%	3.92%
SCHD Schwab U.S. Dividend Equity ETF	3.30%	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 HDV and SCHD in my portfolio?

HDV and SCHD have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HDV or SCHD?

HDV has higher volatility (3.64%) compared to SCHD (3.58%). In terms of maximum drawdown, HDV dropped -37.04% vs SCHD's -33.37%.

Which ETF is better, HDV or SCHD?

On 10-year performance, SCHD leads with 12.72% vs 9.45% for HDV. On fees, SCHD is cheaper at 0.06% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HDV or SCHD?

Over the 10-year period, SCHD has performed better with a 12.72% return vs 9.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HDV or SCHD?

SCHD is cheaper with a 0.06% expense ratio, compared with 0.08% for HDV.

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

SCHD has the higher dividend yield at 3.30%, compared with 2.90% for HDV.

What is the main difference between HDV and SCHD?

HDV tracks Morningstar Dividend Yield Focus Index, while SCHD tracks Dow Jones U.S. Dividend 100 Index. They also come from different issuers: iShares and Charles Schwab. Their fees differ too: 0.08% for HDV and 0.06% for SCHD.

Which has better risk-adjusted returns?

SCHD currently has the higher Sharpe Ratio (2.23 vs 2.13), 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.