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REM vs. SCHD
Performance
Return for Risk
Drawdowns
Volatility
Dividends

REM vs. SCHD

Last updated Jun 4, 2026

REM (iShares Mortgage Real Estate ETF) and SCHD (Schwab U.S. Dividend Equity ETF) are both exchange-traded funds - REM is a REIT fund tracking the FTSE NAREIT All Mortgage Capped 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, REM returned 2.55%/yr vs 12.77%/yr for SCHD. A 0.58 correlation means they provide meaningful diversification when combined. REM charges 0.48%/yr vs 0.06%/yr for SCHD.

Performance

REM vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Mortgage Real Estate ETF (REM) and Schwab U.S. Dividend Equity ETF (SCHD). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, REM achieves a -2.10% return, which is significantly lower than SCHD's 19.01% return. Over the past 10 years, REM has underperformed SCHD with an annualized return of 2.55%, while SCHD has yielded a comparatively higher 12.77% annualized return.

REM

1D
-1.24%
1M
-4.86%
YTD
-2.10%
6M
-2.10%
1Y
11.53%
3Y*
8.00%
5Y*
-2.48%
10Y*
2.55%

SCHD

1D
0.00%
1M
2.70%
YTD
19.01%
6M
18.63%
1Y
27.16%
3Y*
15.09%
5Y*
8.36%
10Y*
12.77%
*Multi-year figures are annualized to reflect compound growth (CAGR)

REM vs. SCHD - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
REM
iShares Mortgage Real Estate ETF		-2.10%13.30%-1.00%14.43%-27.56%16.14%-19.99%21.34%-3.09%18.43%
SCHD
Schwab U.S. Dividend Equity ETF		19.01%4.34%11.66%4.54%-3.26%29.87%15.03%27.29%-5.56%20.85%

Correlation

The correlation between REM and SCHD is 0.53, 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

0.53

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

0.63

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

0.67

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

0.62

Correlation (All Time)
Calculated using the full available price history since Oct 21, 2011

0.58

The correlation between REM and SCHD shifts across timeframes, from 0.53 (1 year) to 0.67 (5 years), reflecting how their relationship changes across market environments.

REM vs. SCHD - Sectors Allocation Comparison

Sectors
REM
SCHD

Real Estate

97.2%

-

Financial Services

2.4%
9.3%

Basic Materials

-

1.2%

Communication Services

-

6.3%

Consumer Cyclical

-

6.3%

Consumer Defensive

-

19.2%

Energy

-

16.2%

Healthcare

-

18.8%

Industrials

-

7.5%

Technology

-

16.4%

Utilities

-

0.0%

Real Estate

REM
97.2%
SCHD

-

Financial Services

REM
2.4%
SCHD
9.3%

Basic Materials

REM

-

SCHD
1.2%

Communication Services

REM

-

SCHD
6.3%

Consumer Cyclical

REM

-

SCHD
6.3%

Consumer Defensive

REM

-

SCHD
19.2%

Energy

REM

-

SCHD
16.2%

Healthcare

REM

-

SCHD
18.8%

Industrials

REM

-

SCHD
7.5%

Technology

REM

-

SCHD
16.4%

Utilities

REM

-

SCHD
0.0%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares Mortgage Real Estate ETF

Schwab U.S. Dividend Equity ETF

Often compared with REM:
REM vs. MORTREM vs. VNQREM vs. REETREM vs. IYRREM vs. NLYREM vs. OREM vs. QQQ
Often compared with SCHD:
SCHD vs. VOOSCHD vs. VYMSCHD vs. SPYSCHD vs. SCHGSCHD vs. JEPISCHD vs. FDVVSCHD vs. VIG

Return for Risk

REM vs. SCHD — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
REM
REM Risk / Return Rank: 2020
Overall Rank
REM Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
REM Sortino Ratio Rank: 2020
Sortino Ratio Rank
REM Omega Ratio Rank: 1919
Omega Ratio Rank
REM Calmar Ratio Rank: 1919
Calmar Ratio Rank
REM Martin Ratio Rank: 2020
Martin Ratio Rank
SCHD
SCHD Risk / Return Rank: 8080
Overall Rank
SCHD Sharpe Ratio Rank: 7575
Sharpe Ratio Rank
SCHD Sortino Ratio Rank: 8484
Sortino Ratio Rank
SCHD Omega Ratio Rank: 7373
Omega Ratio Rank
SCHD Calmar Ratio Rank: 9191
Calmar Ratio Rank
SCHD 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.

REM vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Mortgage Real Estate ETF (REM) 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.

REMSCHDDifference
Sharpe ratioReturn per unit of total volatility
0.69
2.49

-1.80

Sortino ratioReturn per unit of downside risk
1.04
3.87

-2.82

Omega ratioGain probability vs. loss probability

1.13

1.45

-0.32

Calmar ratioReturn relative to maximum drawdown

0.81

5.91

-5.10

Martin ratioReturn relative to average drawdown

2.33

14.53

-12.19

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

REM vs. SCHD - Sharpe Ratio Comparison

The current REM Sharpe Ratio is 0.69, which is lower than the SCHD Sharpe Ratio of 2.49. The chart below compares the historical Sharpe Ratios of REM 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.

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Sharpe Ratios by Period

REMSCHDDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.69

2.49

-1.80

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

-0.11

0.58

-0.69

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.09

0.77

-0.68

Sharpe Ratio (All Time)

Calculated using the full available price history

-0.05

0.86

-0.91

Drawdowns

REM vs. SCHD - Drawdown Comparison

The maximum REM drawdown since its inception was -74.73%, which is greater than SCHD's maximum drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for REM and SCHD.

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Drawdown Indicators

REMSCHDDifference

Max Drawdown

Largest peak-to-trough decline

-74.73%

-33.37%

-41.36%

Max Drawdown (1Y)

Largest decline over 1 year

-14.25%

-4.61%

-9.64%

Max Drawdown (3Y)

Largest decline over 3 years

-21.91%

-16.13%

-5.78%

Max Drawdown (5Y)

Largest decline over 5 years

-43.31%

-16.85%

-26.46%

Max Drawdown (10Y)

Largest decline over 10 years

-68.52%

-33.37%

-35.15%

Current Drawdown

Current decline from peak

-23.85%

-1.40%

-22.45%

Average Drawdown

Average peak-to-trough decline

-38.35%

-3.32%

-35.03%

Ulcer Index

Depth and duration of drawdowns from previous peaks

4.95%

1.88%

+3.07%

Volatility

REM vs. SCHD - Volatility Comparison

iShares Mortgage Real Estate ETF (REM) has a higher volatility of 3.81% compared to Schwab U.S. Dividend Equity ETF (SCHD) at 2.66%. This indicates that REM'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.

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Volatility by Period

REMSCHDDifference

Volatility (1M)

Calculated over the trailing 1-month period

3.81%

2.66%

+1.15%

Volatility (6M)

Calculated over the trailing 6-month period

13.01%

7.66%

+5.35%

Volatility (1Y)

Calculated over the trailing 1-year period

16.85%

10.96%

+5.89%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

23.57%

14.38%

+9.19%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

28.27%

16.72%

+11.55%

REM vs. SCHD - Expense Ratio Comparison

REM has a 0.48% expense ratio, which is higher than SCHD's 0.06% expense ratio.

Dividends

REM vs. SCHD - Dividend Comparison

REM's dividend yield for the trailing twelve months is around 9.19%, more than SCHD's 3.26% yield.

PositionTTM20252024202320222021202020192018201720162015
REM
iShares Mortgage Real Estate ETF		9.19%8.70%9.61%9.46%11.13%7.29%7.72%8.16%10.00%9.97%10.03%11.99%
SCHD
Schwab U.S. Dividend Equity ETF		3.26%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

REM and SCHD have a correlation of 0.53, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

REM has higher volatility (3.81%) compared to SCHD (2.66%). In terms of maximum drawdown, REM dropped -74.73% vs SCHD's -33.37%.

On 10-year performance, SCHD leads with 12.77% vs 2.55% for REM. On fees, SCHD is cheaper at 0.06% per year. On volatility, SCHD has been the lower-risk option at 2.66%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, SCHD has performed better with a 12.77% return vs 2.55%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

SCHD is cheaper with a 0.06% expense ratio, compared with 0.48% for REM.

REM has the higher dividend yield at 9.19%, compared with 3.26% for SCHD.

REM is categorized as REIT, while SCHD is Dividend. REM tracks FTSE NAREIT All Mortgage Capped 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: 0.48% for REM and 0.06% for SCHD.

SCHD currently has the higher Sharpe Ratio (2.49 vs 0.69), 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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