MDY vs. SCHD

Last updated Jun 14, 2026

MDY (SPDR S&P MidCap 400 ETF) and SCHD (Schwab U.S. Dividend Equity ETF) are both exchange-traded funds - MDY is a Mid Cap Blend Equities fund tracking the S&P MidCap 400 Index, while SCHD is a Dividend fund tracking the Dow Jones U.S. Dividend 100 Index. Both are passively managed. Over the past 10 years, MDY returned 11.33%/yr vs 12.91%/yr for SCHD. Their correlation of 0.82 suggests significant overlap in exposure. MDY charges 0.23%/yr vs 0.06%/yr for SCHD.

Performance

MDY vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P MidCap 400 ETF (MDY) 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, MDY achieves a 15.28% return, which is significantly lower than SCHD's 20.66% return. Over the past 10 years, MDY has underperformed SCHD with an annualized return of 11.33%, while SCHD has yielded a comparatively higher 12.91% annualized return.

MDY

• 1D: 0.71%
• 1M: 3.51%
• YTD: 15.28%
• 6M: 13.84%
• 1Y: 27.52%
• 3Y*: 15.07%
• 5Y*: 7.99%
• 10Y*: 11.33%

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)

MDY vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MDY SPDR S&P MidCap 400 ETF	15.28%	7.19%	13.64%	16.07%	-13.28%	24.53%	13.50%	25.78%	-11.29%	15.93%
SCHD Schwab U.S. Dividend Equity ETF	20.66%	4.34%	11.66%	4.54%	-3.26%	29.87%	15.03%	27.29%	-5.56%	20.85%

Correlation

The correlation between MDY and SCHD is 0.61, 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	0.61
Correlation (3Y) Calculated over the trailing 3-year period	0.74
Correlation (5Y) Calculated over the trailing 5-year period	0.80
Correlation (10Y) Calculated over the trailing 10-year period	0.81
Correlation (All Time) Calculated using the full available price history since Oct 20, 2011	0.82

Over the past year, the correlation between MDY and SCHD has dropped to 0.61 - well below their long-term average of 0.82, suggesting their price drivers have been diverging.

MDY vs. SCHD - Sectors Allocation Comparison

Sectors	MDY	SCHD
Industrials	25.1%	7.4%
Technology	15.4%	19.4%
Financial Services	13.9%	9.1%
Consumer Cyclical	10.8%	6.7%
Healthcare	8.7%	18.4%
Real Estate	7.7%	-
Energy	5.6%	14.6%
Basic Materials	4.8%	1.2%
Consumer Defensive	3.8%	18.5%
Utilities	3.1%	0.0%
Communication Services	1.0%	6.0%

Return for Risk

MDY vs. SCHD — Risk / Return Rank

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

MDY

MDY Risk / Return Rank: 59
MDY Sharpe Ratio Rank: 54
MDY Sortino Ratio Rank: 57
MDY Omega Ratio Rank: 52
MDY Calmar Ratio Rank: 67
MDY Martin Ratio Rank: 67

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.

MDY vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P MidCap 400 ETF (MDY) 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.

	MDY	SCHD	Difference
Sharpe ratio: Return per unit of total volatility	1.62	2.41	-0.79
Sortino ratio: Return per unit of downside risk	2.37	3.72	-1.35
Omega ratio: Gain probability vs. loss probability	1.29	1.43	-0.14
Calmar ratio: Return relative to maximum drawdown	2.91	5.70	-2.79
Martin ratio: Return relative to average drawdown	10.60	13.97	-3.37

MDY vs. SCHD - Sharpe Ratio Comparison

The current MDY Sharpe Ratio is 1.62, which is lower than the SCHD Sharpe Ratio of 2.41. The chart below compares the historical Sharpe Ratios of MDY 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

MDY vs. SCHD - Drawdown Comparison

The maximum MDY drawdown since its inception was -55.33%, which is greater than SCHD's maximum drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for MDY and SCHD.

Drawdown Indicators

	MDY	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-55.33%	-33.37%	-21.96%
Max Drawdown (1Y) Largest decline over 1 year	-8.82%	-4.61%	-4.21%
Max Drawdown (3Y) Largest decline over 3 years	-24.03%	-16.13%	-7.90%
Max Drawdown (5Y) Largest decline over 5 years	-24.03%	-16.85%	-7.18%
Max Drawdown (10Y) Largest decline over 10 years	-42.22%	-33.37%	-8.85%
Current Drawdown Current decline from peak	0.00%	-0.03%	+0.03%
Average Drawdown Average peak-to-trough decline	-7.02%	-3.31%	-3.71%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.42%	1.89%	+0.53%

Volatility

MDY vs. SCHD - Volatility Comparison

SPDR S&P MidCap 400 ETF (MDY) has a higher volatility of 5.04% compared to Schwab U.S. Dividend Equity ETF (SCHD) at 3.05%. This indicates that MDY's price experiences larger fluctuations and is considered to be riskier than SCHD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MDY	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.04%	3.05%	+1.99%
Volatility (6M) Calculated over the trailing 6-month period	11.68%	7.53%	+4.15%
Volatility (1Y) Calculated over the trailing 1-year period	15.83%	10.93%	+4.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.82%	14.38%	+5.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.21%	16.72%	+4.49%

MDY vs. SCHD - Expense Ratio Comparison

MDY has a 0.23% 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

MDY vs. SCHD - Dividend Comparison

MDY's dividend yield for the trailing twelve months is around 1.03%, less than SCHD's 3.22% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MDY SPDR S&P MidCap 400 ETF	1.03%	1.15%	1.18%	1.21%	1.37%	0.96%	1.12%	1.34%	1.39%	1.18%	1.31%	1.35%
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 MDY and SCHD in my portfolio?

MDY and SCHD have a correlation of 0.61, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MDY or SCHD?

MDY has higher volatility (5.04%) compared to SCHD (3.05%). In terms of maximum drawdown, MDY dropped -55.33% vs SCHD's -33.37%.

Which ETF is better, MDY or SCHD?

On 10-year performance, SCHD leads with 12.91% vs 11.33% for MDY. On fees, SCHD is cheaper at 0.06% per year. On volatility, SCHD has been the lower-risk option at 3.05%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MDY or SCHD?

Over the 10-year period, SCHD has performed better with a 12.91% return vs 11.33%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MDY or SCHD?

SCHD is cheaper with a 0.06% expense ratio, compared with 0.23% for MDY.

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

SCHD has the higher dividend yield at 3.22%, compared with 1.03% for MDY.

What is the main difference between MDY and SCHD?

MDY is categorized as Mid Cap Blend Equities, while SCHD is Dividend. MDY tracks S&P MidCap 400 Index, while SCHD tracks Dow Jones U.S. Dividend 100 Index. They also come from different issuers: State Street and Charles Schwab. Their fees differ too: 0.23% for MDY and 0.06% for SCHD.

Which has better risk-adjusted returns?

SCHD currently has the higher Sharpe Ratio (2.41 vs 1.62), 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.