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IEFA vs. SCHB
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IEFA vs. SCHB

Last updated Jun 9, 2026

IEFA (iShares Core MSCI EAFE ETF) and SCHB (Schwab U.S. Broad Market ETF) are both exchange-traded funds - IEFA is a Foreign Large Cap Equities fund tracking the MSCI EAFE IMI Index (Net), 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, IEFA returned 9.37%/yr vs 14.83%/yr for SCHB. A 0.80 correlation means they provide meaningful diversification when combined. IEFA charges 0.07%/yr vs 0.03%/yr for SCHB.

Performance

IEFA vs. SCHB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core MSCI EAFE ETF (IEFA) 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, IEFA achieves a 7.49% return, which is significantly lower than SCHB's 9.14% return. Over the past 10 years, IEFA has underperformed SCHB with an annualized return of 9.37%, while SCHB has yielded a comparatively higher 14.83% annualized return.

IEFA

1D
0.63%
1M
-1.17%
YTD
7.49%
6M
10.04%
1Y
19.61%
3Y*
16.13%
5Y*
7.82%
10Y*
9.37%

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)

IEFA vs. SCHB - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
IEFA
iShares Core MSCI EAFE ETF		7.49%32.08%3.26%17.95%-15.24%11.63%8.18%22.64%-14.14%26.57%
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 IEFA and SCHB is 0.78, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

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

0.78

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

0.73

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

0.77

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

0.78

Correlation (All Time)
Calculated using the full available price history since Oct 25, 2012

0.80

The correlation between IEFA and SCHB has been stable across timeframes, ranging from 0.73 to 0.80 - a consistent structural relationship.

IEFA vs. SCHB - Sectors Allocation Comparison

Sectors
IEFA
SCHB

Financial Services

22.5%
12.2%

Industrials

20.1%
9.4%

Technology

10.8%
34.4%

Healthcare

9.5%
8.9%

Consumer Cyclical

8.0%
10.1%

Basic Materials

7.0%
2.0%

Consumer Defensive

6.6%
4.6%

Communication Services

4.4%
10.1%

Energy

3.8%
3.7%

Utilities

3.6%
2.3%

Real Estate

3.0%
2.4%

Financial Services

IEFA
22.5%
SCHB
12.2%

Industrials

IEFA
20.1%
SCHB
9.4%

Technology

IEFA
10.8%
SCHB
34.4%

Healthcare

IEFA
9.5%
SCHB
8.9%

Consumer Cyclical

IEFA
8.0%
SCHB
10.1%

Basic Materials

IEFA
7.0%
SCHB
2.0%

Consumer Defensive

IEFA
6.6%
SCHB
4.6%

Communication Services

IEFA
4.4%
SCHB
10.1%

Energy

IEFA
3.8%
SCHB
3.7%

Utilities

IEFA
3.6%
SCHB
2.3%

Real Estate

IEFA
3.0%
SCHB
2.4%

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 MSCI EAFE ETF

Schwab U.S. Broad Market ETF

Often compared with IEFA:
IEFA vs. VEAIEFA vs. VXUSIEFA vs. EFAIEFA vs. FSPSXIEFA vs. IEMGIEFA vs. XEF.TOIEFA vs. IXUS
Often compared with SCHB:
SCHB vs. VTISCHB vs. SCHGSCHB vs. SCHXSCHB vs. VOOSCHB vs. SCHDSCHB vs. SWTSXSCHB vs. SPY

Return for Risk

IEFA vs. SCHB — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IEFA
IEFA Risk / Return Rank: 4040
Overall Rank
IEFA Sharpe Ratio Rank: 4141
Sharpe Ratio Rank
IEFA Sortino Ratio Rank: 4040
Sortino Ratio Rank
IEFA Omega Ratio Rank: 4040
Omega Ratio Rank
IEFA Calmar Ratio Rank: 3838
Calmar Ratio Rank
IEFA Martin Ratio Rank: 4343
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.

IEFA vs. SCHB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core MSCI EAFE ETF (IEFA) 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.

IEFASCHBDifference
Sharpe ratioReturn per unit of total volatility
1.30
2.02

-0.73

Sortino ratioReturn per unit of downside risk
1.88
2.73

-0.85

Omega ratioGain probability vs. loss probability

1.24

1.37

-0.13

Calmar ratioReturn relative to maximum drawdown

1.71

2.81

-1.10

Martin ratioReturn relative to average drawdown

6.52

12.80

-6.28

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

IEFA vs. SCHB - Sharpe Ratio Comparison

The current IEFA Sharpe Ratio is 1.30, which is lower than the SCHB Sharpe Ratio of 2.02. The chart below compares the historical Sharpe Ratios of IEFA 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

IEFASCHBDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.30

2.02

-0.73

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.47

0.72

-0.24

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.54

0.81

-0.27

Sharpe Ratio (All Time)

Calculated using the full available price history

0.50

0.82

-0.32

Drawdowns

IEFA vs. SCHB - Drawdown Comparison

The maximum IEFA drawdown since its inception was -34.78%, roughly equal to the maximum SCHB drawdown of -35.27%. Use the drawdown chart below to compare losses from any high point for IEFA and SCHB.

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Drawdown Indicators

IEFASCHBDifference

Max Drawdown

Largest peak-to-trough decline

-34.78%

-35.27%

+0.49%

Max Drawdown (1Y)

Largest decline over 1 year

-11.50%

-8.91%

-2.59%

Max Drawdown (3Y)

Largest decline over 3 years

-13.76%

-19.34%

+5.58%

Max Drawdown (5Y)

Largest decline over 5 years

-30.41%

-25.41%

-5.00%

Max Drawdown (10Y)

Largest decline over 10 years

-34.78%

-35.27%

+0.49%

Current Drawdown

Current decline from peak

-2.44%

-2.63%

+0.19%

Average Drawdown

Average peak-to-trough decline

-6.69%

-4.11%

-2.58%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.02%

1.95%

+1.07%

Volatility

IEFA vs. SCHB - Volatility Comparison

iShares Core MSCI EAFE ETF (IEFA) has a higher volatility of 4.54% compared to Schwab U.S. Broad Market ETF (SCHB) at 3.93%. This indicates that IEFA's price experiences larger fluctuations and is considered to be riskier 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

IEFASCHBDifference

Volatility (1M)

Calculated over the trailing 1-month period

4.54%

3.93%

+0.61%

Volatility (6M)

Calculated over the trailing 6-month period

12.74%

9.57%

+3.17%

Volatility (1Y)

Calculated over the trailing 1-year period

15.22%

12.41%

+2.81%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

16.55%

17.28%

-0.73%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

17.32%

18.34%

-1.02%

IEFA vs. SCHB - Expense Ratio Comparison

IEFA has a 0.07% expense ratio, which is higher than SCHB's 0.03% 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

IEFA vs. SCHB - Dividend Comparison

IEFA's dividend yield for the trailing twelve months is around 3.30%, more than SCHB's 1.04% yield.

PositionTTM20252024202320222021202020192018201720162015
IEFA
iShares Core MSCI EAFE ETF		3.30%3.55%3.47%3.20%2.70%3.32%1.90%3.18%3.46%2.57%2.96%2.63%
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

IEFA and SCHB have a correlation of 0.78, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IEFA has higher volatility (4.54%) compared to SCHB (3.93%). In terms of maximum drawdown, IEFA dropped -34.78% vs SCHB's -35.27%.

On 10-year performance, SCHB leads with 14.83% vs 9.37% for IEFA. On fees, SCHB is cheaper at 0.03% per year. On volatility, SCHB has been the lower-risk option at 3.93%. 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 9.37%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

SCHB is cheaper with a 0.03% expense ratio, compared with 0.07% for IEFA.

IEFA has the higher dividend yield at 3.30%, compared with 1.04% for SCHB.

IEFA is categorized as Foreign Large Cap Equities, while SCHB is Large Cap Blend Equities. IEFA tracks MSCI EAFE IMI Index (Net), while SCHB tracks Dow Jones U.S. Broad Stock Market Index. They also come from different issuers: iShares and Charles Schwab. Their fees differ too: 0.07% for IEFA and 0.03% for SCHB.

SCHB currently has the higher Sharpe Ratio (2.02 vs 1.30), 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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