HFSI vs. SCHD

Last updated Jun 7, 2026

HFSI (Hartford Strategic Income ETF) and SCHD (Schwab U.S. Dividend Equity ETF) are both exchange-traded funds - HFSI is a Multisector Bonds fund actively managed by Hartford, while SCHD is a Dividend fund tracking the Dow Jones U.S. Dividend 100 Index. HFSI is actively managed, while SCHD is passively managed. Over the past 3 years, HFSI returned 8.11%/yr vs 15.14%/yr for SCHD. At a 0.30 correlation, their price movements are largely independent. HFSI charges 0.49%/yr vs 0.06%/yr for SCHD.

Performance

HFSI vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Hartford Strategic Income ETF (HFSI) 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, HFSI achieves a 1.03% return, which is significantly lower than SCHD's 18.75% return.

HFSI

• 1D: -0.51%
• 1M: -0.01%
• YTD: 1.03%
• 6M: 1.43%
• 1Y: 8.07%
• 3Y*: 8.11%
• 5Y*: —
• 10Y*: —

SCHD

• 1D: -0.89%
• 1M: 2.41%
• YTD: 18.75%
• 6M: 18.75%
• 1Y: 26.41%
• 3Y*: 15.14%
• 5Y*: 8.31%
• 10Y*: 12.64%

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

HFSI vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
HFSI Hartford Strategic Income ETF	1.03%	9.56%	7.91%	9.91%	-12.60%	-1.57%
SCHD Schwab U.S. Dividend Equity ETF	18.75%	4.34%	11.66%	4.54%	-3.26%	9.67%

Correlation

The correlation between HFSI and SCHD is 0.23, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.23
Correlation (3Y) Calculated over the trailing 3-year period	0.29
Correlation (All Time) Calculated using the full available price history since Sep 23, 2021	0.30

Return for Risk

HFSI vs. SCHD — Risk / Return Rank

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

HFSI

HFSI Risk / Return Rank: 65
HFSI Sharpe Ratio Rank: 68
HFSI Sortino Ratio Rank: 73
HFSI Omega Ratio Rank: 72
HFSI Calmar Ratio Rank: 52
HFSI Martin Ratio Rank: 59

SCHD

SCHD Risk / Return Rank: 83
SCHD Sharpe Ratio Rank: 80
SCHD Sortino Ratio Rank: 88
SCHD Omega Ratio Rank: 78
SCHD Calmar Ratio Rank: 92
SCHD Martin Ratio Rank: 78

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.

HFSI vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Hartford Strategic Income ETF (HFSI) 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.

	HFSI	SCHD	Difference
Sharpe ratio: Return per unit of total volatility	2.16	2.55	-0.40
Sortino ratio: Return per unit of downside risk	3.18	3.94	-0.76
Omega ratio: Gain probability vs. loss probability	1.41	1.46	-0.04
Calmar ratio: Return relative to maximum drawdown	2.51	6.07	-3.56
Martin ratio: Return relative to average drawdown	10.08	14.90	-4.82
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HFSI vs. SCHD - Sharpe Ratio Comparison

The current HFSI Sharpe Ratio is 2.16, which is comparable to the SCHD Sharpe Ratio of 2.55. The chart below compares the historical Sharpe Ratios of HFSI 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.

Sharpe Ratios by Period

	HFSI	SCHD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.16	2.55	-0.40
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.58	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.76	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.53	0.86	-0.33

Drawdowns

HFSI vs. SCHD - Drawdown Comparison

The maximum HFSI drawdown since its inception was -19.34%, smaller than the maximum SCHD drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for HFSI and SCHD.

Drawdown Indicators

	HFSI	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-19.34%	-33.37%	+14.03%
Max Drawdown (1Y) Largest decline over 1 year	-3.06%	-4.61%	+1.55%
Max Drawdown (3Y) Largest decline over 3 years	-5.11%	-16.13%	+11.02%
Max Drawdown (5Y) Largest decline over 5 years	—	-16.85%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.37%	—
Current Drawdown Current decline from peak	-0.54%	-1.61%	+1.07%
Average Drawdown Average peak-to-trough decline	-5.72%	-3.32%	-2.40%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.76%	1.88%	-1.12%

Volatility

HFSI vs. SCHD - Volatility Comparison

The current volatility for Hartford Strategic Income ETF (HFSI) is 1.18%, while Schwab U.S. Dividend Equity ETF (SCHD) has a volatility of 2.87%. This indicates that HFSI 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

	HFSI	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.18%	2.87%	-1.69%
Volatility (6M) Calculated over the trailing 6-month period	2.57%	7.61%	-5.04%
Volatility (1Y) Calculated over the trailing 1-year period	3.58%	10.98%	-7.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.97%	14.38%	-9.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.97%	16.72%	-11.75%

HFSI vs. SCHD - Expense Ratio Comparison

HFSI has a 0.49% expense ratio, which is higher than SCHD's 0.06% expense ratio.

Dividends

HFSI vs. SCHD - Dividend Comparison

HFSI's dividend yield for the trailing twelve months is around 5.56%, more than SCHD's 3.27% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HFSI Hartford Strategic Income ETF	5.56%	5.67%	6.51%	5.77%	4.87%	0.71%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SCHD Schwab U.S. Dividend Equity ETF	3.27%	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 HFSI and SCHD in my portfolio?

HFSI and SCHD have a correlation of 0.23, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HFSI or SCHD?

SCHD has higher volatility (2.87%) compared to HFSI (1.18%). In terms of maximum drawdown, HFSI dropped -19.34% vs SCHD's -33.37%.

Which ETF is better, HFSI or SCHD?

On 3-year performance, SCHD leads with 15.14% vs 8.11% for HFSI. On fees, SCHD is cheaper at 0.06% per year. On volatility, HFSI has been the lower-risk option at 1.18%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HFSI or SCHD?

Over the 3-year period, SCHD has performed better with a 15.14% return vs 8.11%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HFSI or SCHD?

SCHD is cheaper with a 0.06% expense ratio, compared with 0.49% for HFSI.

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

HFSI has the higher dividend yield at 5.56%, compared with 3.27% for SCHD.

What is the main difference between HFSI and SCHD?

HFSI is categorized as Multisector Bonds, while SCHD is Dividend. They also come from different issuers: Hartford and Charles Schwab. Their fees differ too: 0.49% for HFSI and 0.06% for SCHD.

Which has better risk-adjusted returns?

SCHD currently has the higher Sharpe Ratio (2.55 vs 2.16), 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.