SCHA vs. FHLC

Last updated Jun 9, 2026

SCHA (Schwab U.S. Small-Cap ETF) and FHLC (Fidelity MSCI Health Care Index ETF) are both exchange-traded funds - SCHA is a Small Cap Blend Equities fund tracking the Dow Jones U.S. Small-Cap Total Stock Market Index, while FHLC is a Health & Biotech Equities fund tracking the MSCI USA IMI Health Care Index. Both are passively managed. Over the past 10 years, SCHA returned 10.95%/yr vs 9.56%/yr for FHLC. A 0.66 correlation means they provide meaningful diversification when combined. SCHA charges 0.04%/yr vs 0.08%/yr for FHLC.

Performance

SCHA vs. FHLC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab U.S. Small-Cap ETF (SCHA) and Fidelity MSCI Health Care Index ETF (FHLC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SCHA achieves a 17.78% return, which is significantly higher than FHLC's -1.04% return. Over the past 10 years, SCHA has outperformed FHLC with an annualized return of 10.95%, while FHLC has yielded a comparatively lower 9.56% annualized return.

SCHA

• 1D: 0.93%
• 1M: 0.12%
• YTD: 17.78%
• 6M: 16.92%
• 1Y: 36.31%
• 3Y*: 17.52%
• 5Y*: 6.45%
• 10Y*: 10.95%

FHLC

• 1D: -0.23%
• 1M: 5.45%
• YTD: -1.04%
• 6M: 0.82%
• 1Y: 16.51%
• 3Y*: 7.13%
• 5Y*: 4.80%
• 10Y*: 9.56%

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

SCHA vs. FHLC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SCHA Schwab U.S. Small-Cap ETF	17.78%	11.60%	11.16%	18.46%	-19.81%	16.45%	19.34%	26.50%	-11.79%	14.94%
FHLC Fidelity MSCI Health Care Index ETF	-1.04%	15.42%	2.48%	2.58%	-5.55%	20.39%	18.13%	21.94%	4.71%	23.34%

Correlation

The correlation between SCHA and FHLC is 0.45, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.45
Correlation (3Y) Calculated over the trailing 3-year period	0.53
Correlation (5Y) Calculated over the trailing 5-year period	0.60
Correlation (10Y) Calculated over the trailing 10-year period	0.63
Correlation (All Time) Calculated using the full available price history since Oct 25, 2013	0.66

Over the past year, the correlation between SCHA and FHLC has dropped to 0.45 - well below their long-term average of 0.66, suggesting their price drivers have been diverging.

SCHA vs. FHLC - Sectors Allocation Comparison

Sectors	SCHA	FHLC
Technology	23.9%	0.0%
Industrials	15.6%	0.0%
Financial Services	15.3%	0.1%
Healthcare	13.2%	99.6%
Consumer Cyclical	9.0%	-
Real Estate	5.9%	-
Energy	5.4%	-
Basic Materials	4.4%	-
Consumer Defensive	2.5%	-
Utilities	2.3%	-
Communication Services	2.3%	-

Return for Risk

SCHA vs. FHLC — Risk / Return Rank

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

SCHA

SCHA Risk / Return Rank: 71
SCHA Sharpe Ratio Rank: 67
SCHA Sortino Ratio Rank: 68
SCHA Omega Ratio Rank: 61
SCHA Calmar Ratio Rank: 81
SCHA Martin Ratio Rank: 79

FHLC

FHLC Risk / Return Rank: 34
FHLC Sharpe Ratio Rank: 35
FHLC Sortino Ratio Rank: 37
FHLC Omega Ratio Rank: 33
FHLC Calmar Ratio Rank: 36
FHLC Martin Ratio Rank: 30

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.

SCHA vs. FHLC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab U.S. Small-Cap ETF (SCHA) and Fidelity MSCI Health Care Index ETF (FHLC). 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.

	SCHA	FHLC	Difference
Sharpe ratio: Return per unit of total volatility	2.00	1.14	+0.86
Sortino ratio: Return per unit of downside risk	2.79	1.78	+1.01
Omega ratio: Gain probability vs. loss probability	1.34	1.20	+0.13
Calmar ratio: Return relative to maximum drawdown	3.84	1.60	+2.24
Martin ratio: Return relative to average drawdown	14.05	4.00	+10.05
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SCHA vs. FHLC - Sharpe Ratio Comparison

The current SCHA Sharpe Ratio is 2.00, which is higher than the FHLC Sharpe Ratio of 1.14. The chart below compares the historical Sharpe Ratios of SCHA and FHLC, 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

	SCHA	FHLC	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.00	1.14	+0.86
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.29	0.32	-0.03
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.48	0.57	-0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.57	0.62	-0.05

Drawdowns

SCHA vs. FHLC - Drawdown Comparison

The maximum SCHA drawdown since its inception was -42.41%, which is greater than FHLC's maximum drawdown of -28.76%. Use the drawdown chart below to compare losses from any high point for SCHA and FHLC.

Drawdown Indicators

	SCHA	FHLC	Difference
Max Drawdown Largest peak-to-trough decline	-42.41%	-28.76%	-13.65%
Max Drawdown (1Y) Largest decline over 1 year	-9.50%	-10.38%	+0.88%
Max Drawdown (3Y) Largest decline over 3 years	-27.29%	-16.87%	-10.42%
Max Drawdown (5Y) Largest decline over 5 years	-30.79%	-17.73%	-13.06%
Max Drawdown (10Y) Largest decline over 10 years	-42.41%	-28.76%	-13.65%
Current Drawdown Current decline from peak	-2.50%	-4.18%	+1.68%
Average Drawdown Average peak-to-trough decline	-7.58%	-5.19%	-2.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.59%	4.14%	-1.55%

Volatility

SCHA vs. FHLC - Volatility Comparison

Schwab U.S. Small-Cap ETF (SCHA) has a higher volatility of 5.79% compared to Fidelity MSCI Health Care Index ETF (FHLC) at 4.86%. This indicates that SCHA's price experiences larger fluctuations and is considered to be riskier than FHLC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SCHA	FHLC	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.79%	4.86%	+0.93%
Volatility (6M) Calculated over the trailing 6-month period	13.28%	10.49%	+2.79%
Volatility (1Y) Calculated over the trailing 1-year period	18.31%	14.62%	+3.69%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.98%	15.02%	+6.96%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.74%	16.84%	+5.90%

SCHA vs. FHLC - Expense Ratio Comparison

SCHA has a 0.04% expense ratio, which is lower than FHLC's 0.08% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

SCHA vs. FHLC - Dividend Comparison

SCHA's dividend yield for the trailing twelve months is around 1.02%, less than FHLC's 1.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FHLC Fidelity MSCI Health Care Index ETF	1.38%	1.40%	1.51%	1.40%	1.30%	1.16%	1.45%	1.18%	1.38%	1.38%	1.40%	2.07%
SCHA Schwab U.S. Small-Cap ETF	1.02%	1.26%	1.51%	1.42%	1.37%	1.19%	1.05%	1.39%	1.58%	1.24%	1.50%	1.48%

Frequently Asked Questions

Can I hold both SCHA and FHLC in my portfolio?

SCHA and FHLC have a correlation of 0.45, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SCHA or FHLC?

SCHA has higher volatility (5.79%) compared to FHLC (4.86%). In terms of maximum drawdown, SCHA dropped -42.41% vs FHLC's -28.76%.

Which ETF is better, SCHA or FHLC?

On 10-year performance, SCHA leads with 10.95% vs 9.56% for FHLC. On fees, SCHA is cheaper at 0.04% per year. On volatility, FHLC has been the lower-risk option at 4.86%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SCHA or FHLC?

Over the 10-year period, SCHA has performed better with a 10.95% return vs 9.56%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SCHA or FHLC?

SCHA is cheaper with a 0.04% expense ratio, compared with 0.08% for FHLC.

Which ETF pays a higher dividend yield, SCHA or FHLC?

FHLC has the higher dividend yield at 1.38%, compared with 1.02% for SCHA.

What is the main difference between SCHA and FHLC?

SCHA is categorized as Small Cap Blend Equities, while FHLC is Health & Biotech Equities. SCHA tracks Dow Jones U.S. Small-Cap Total Stock Market Index, while FHLC tracks MSCI USA IMI Health Care Index. They also come from different issuers: Charles Schwab and Fidelity. Their fees differ too: 0.04% for SCHA and 0.08% for FHLC.

Which has better risk-adjusted returns?

SCHA currently has the higher Sharpe Ratio (2.00 vs 1.14), 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.