SCHM vs. SRHQ

Last updated Jul 17, 2026

SCHM (Schwab US Mid-Cap ETF) and SRHQ (SRH U.S. Quality ETF) are both Mid Cap Blend Equities funds - SCHM tracks the Dow Jones US Total Stock Market Mid-Cap while SRHQ tracks the SRH US Quality Index - Benchmark TR Gross. Both are passively managed. Over the past 3 years, SCHM returned 14.83%/yr vs 17.28%/yr for SRHQ. Their correlation of 0.88 suggests significant overlap in exposure. SCHM charges 0.04%/yr vs 0.35%/yr for SRHQ.

Performance

SCHM vs. SRHQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab US Mid-Cap ETF (SCHM) and SRH U.S. Quality ETF (SRHQ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SCHM achieves a 17.66% return, which is significantly lower than SRHQ's 20.66% return.

SCHM

• 1D: -0.54%
• 1M: -2.01%
• 6M: 9.91%
• YTD: 17.66%
• 1Y: 25.66%
• 3Y*: 14.83%
• 5Y*: 8.46%
• 10Y*: 10.94%

SRHQ

• 1D: 1.56%
• 1M: 6.20%
• 6M: 15.38%
• YTD: 20.66%
• 1Y: 30.10%
• 3Y*: 17.28%
• 5Y*: —
• 10Y*: —

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

SCHM vs. SRHQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
SCHM Schwab US Mid-Cap ETF	17.66%	10.17%	11.98%	16.69%	1.91%
SRHQ SRH U.S. Quality ETF	20.66%	7.34%	16.49%	21.81%	5.22%

Correlation

The correlation between SCHM and SRHQ is 0.74, 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	0.74
Correlation (3Y) Calculated over the trailing 3-year period	0.86
Correlation (All Time) Calculated using the full available price history since Oct 5, 2022	0.88

The correlation between SCHM and SRHQ shifts across timeframes, from 0.74 (1 year) to 0.88 (all time), reflecting how their relationship changes across market environments.

SCHM vs. SRHQ - Sectors Allocation Comparison

Sectors	SCHM	SRHQ
Technology	22.1%	19.8%
Industrials	21.7%	19.9%
Financial Services	10.9%	9.6%
Healthcare	10.9%	21.5%
Consumer Cyclical	10.8%	13.9%
Real Estate	6.4%	1.2%
Basic Materials	4.7%	3.0%
Consumer Defensive	3.4%	5.5%
Energy	3.4%	1.1%
Utilities	2.9%	1.2%
Communication Services	2.6%	2.0%

Return for Risk

SCHM vs. SRHQ — Risk / Return Rank

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

SCHM

SCHM Risk / Return Rank: 62
SCHM Sharpe Ratio Rank: 58
SCHM Sortino Ratio Rank: 60
SCHM Omega Ratio Rank: 54
SCHM Calmar Ratio Rank: 69
SCHM Martin Ratio Rank: 73

SRHQ

SRHQ Risk / Return Rank: 83
SRHQ Sharpe Ratio Rank: 80
SRHQ Sortino Ratio Rank: 79
SRHQ Omega Ratio Rank: 75
SRHQ Calmar Ratio Rank: 92
SRHQ Martin Ratio Rank: 91

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.

SCHM vs. SRHQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab US Mid-Cap ETF (SCHM) and SRH U.S. Quality ETF (SRHQ). 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.

	SCHM	SRHQ	Difference
Sharpe ratio: Return per unit of total volatility	1.56	2.03	-0.47
Sortino ratio: Return per unit of downside risk	2.27	2.85	-0.58
Omega ratio: Gain probability vs. loss probability	1.27	1.35	-0.08
Calmar ratio: Return relative to maximum drawdown	2.77	4.80	-2.03
Martin ratio: Return relative to average drawdown	10.60	16.81	-6.21

SCHM vs. SRHQ - Sharpe Ratio Comparison

The current SCHM Sharpe Ratio is 1.56, which is comparable to the SRHQ Sharpe Ratio of 2.03. The chart below compares the historical Sharpe Ratios of SCHM and SRHQ, 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

SCHM vs. SRHQ - Drawdown Comparison

The maximum SCHM drawdown since its inception was -42.43%, which is greater than SRHQ's maximum drawdown of -18.50%. Use the drawdown chart below to compare losses from any high point for SCHM and SRHQ.

Drawdown Indicators

	SCHM	SRHQ	Difference
Max Drawdown Largest peak-to-trough decline	-42.43%	-18.50%	-23.93%
Max Drawdown (1Y) Largest decline over 1 year	-9.32%	-6.31%	-3.01%
Max Drawdown (3Y) Largest decline over 3 years	-23.27%	-18.50%	-4.77%
Max Drawdown (5Y) Largest decline over 5 years	-26.46%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-42.43%	—	—
Current Drawdown Current decline from peak	-4.56%	0.00%	-4.56%
Average Drawdown Average peak-to-trough decline	-5.63%	-3.00%	-2.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.43%	1.80%	+0.63%

Volatility

SCHM vs. SRHQ - Volatility Comparison

Schwab US Mid-Cap ETF (SCHM) has a higher volatility of 5.18% compared to SRH U.S. Quality ETF (SRHQ) at 4.15%. This indicates that SCHM's price experiences larger fluctuations and is considered to be riskier than SRHQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SCHM	SRHQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.18%	4.15%	+1.03%
Volatility (6M) Calculated over the trailing 6-month period	12.89%	11.07%	+1.82%
Volatility (1Y) Calculated over the trailing 1-year period	16.51%	14.86%	+1.65%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.70%	15.97%	+3.73%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.46%	15.97%	+4.49%

SCHM vs. SRHQ - Expense Ratio Comparison

SCHM has a 0.04% expense ratio, which is lower than SRHQ's 0.35% expense ratio.

Dividends

SCHM vs. SRHQ - Dividend Comparison

SCHM's dividend yield for the trailing twelve months is around 1.26%, more than SRHQ's 0.69% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHM Schwab US Mid-Cap ETF	1.26%	1.46%	1.43%	1.50%	1.67%	1.13%	1.31%	1.48%	1.56%	1.27%	1.51%	1.54%
SRHQ SRH U.S. Quality ETF	0.69%	0.76%	0.66%	0.84%	0.27%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both SCHM and SRHQ in my portfolio?

SCHM and SRHQ have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SCHM or SRHQ?

SCHM has higher volatility (5.18%) compared to SRHQ (4.15%). In terms of maximum drawdown, SCHM dropped -42.43% vs SRHQ's -18.50%.

Which ETF is better, SCHM or SRHQ?

On 3-year performance, SRHQ leads with 17.28% vs 14.83% for SCHM. On fees, SCHM is cheaper at 0.04% per year. On volatility, SRHQ has been the lower-risk option at 4.15%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SCHM or SRHQ?

Over the 3-year period, SRHQ has performed better with a 17.28% return vs 14.83%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SCHM or SRHQ?

SCHM is cheaper with a 0.04% expense ratio, compared with 0.35% for SRHQ.

Which ETF pays a higher dividend yield, SCHM or SRHQ?

SCHM has the higher dividend yield at 1.26%, compared with 0.69% for SRHQ.

What is the main difference between SCHM and SRHQ?

SCHM tracks Dow Jones US Total Stock Market Mid-Cap, while SRHQ tracks SRH US Quality Index - Benchmark TR Gross. They also come from different issuers: Charles Schwab and SRH. Their fees differ too: 0.04% for SCHM and 0.35% for SRHQ.

Which has better risk-adjusted returns?

SRHQ currently has the higher Sharpe Ratio (2.03 vs 1.56), 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.