SCHO vs. SCHD

Last updated Apr 2, 2026

Compare and contrast key facts about Schwab Short-Term U.S. Treasury ETF (SCHO) and Schwab U.S. Dividend Equity ETF (SCHD).

SCHO and SCHD are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. SCHO is a passively managed fund by Charles Schwab that tracks the performance of the Bloomberg U.S. Treasury 1-3 Year Index. It was launched on Aug 5, 2010. SCHD is a passively managed fund by Charles Schwab that tracks the performance of the Dow Jones U.S. Dividend 100 Index. It was launched on Oct 20, 2011. Both SCHO and SCHD are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

SCHO vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab Short-Term U.S. Treasury ETF (SCHO) and Schwab U.S. Dividend Equity ETF (SCHD). The values are adjusted to include any dividend payments, if applicable.

SCHO vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SCHO Schwab Short-Term U.S. Treasury ETF	0.26%	5.49%	3.65%	4.31%	-3.87%	-0.64%	3.11%	3.47%	1.37%	0.33%
SCHD Schwab U.S. Dividend Equity ETF	12.17%	4.34%	11.66%	4.54%	-3.26%	29.87%	15.03%	27.29%	-5.56%	20.85%

Returns By Period

In the year-to-date period, SCHO achieves a 0.26% return, which is significantly lower than SCHD's 12.17% return. Over the past 10 years, SCHO has underperformed SCHD with an annualized return of 1.72%, while SCHD has yielded a comparatively higher 12.25% annualized return.

SCHO

• 1D: 0.02%
• 1M: -0.31%
• YTD: 0.26%
• 6M: 1.27%
• 1Y: 3.69%
• 3Y*: 4.00%
• 5Y*: 1.79%
• 10Y*: 1.72%

SCHD

• 1D: -0.55%
• 1M: -3.43%
• YTD: 12.17%
• 6M: 12.91%
• 1Y: 13.70%
• 3Y*: 11.84%
• 5Y*: 8.32%
• 10Y*: 12.25%

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

SCHO vs. SCHD - Expense Ratio Comparison

SCHO has a 0.03% expense ratio, which is lower than SCHD's 0.06% 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%.

SCHD

Schwab U.S. Dividend Equity ETF

SCHO

Schwab Short-Term U.S. Treasury ETF

Return for Risk

SCHO vs. SCHD — Risk / Return Rank

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

SCHO

SCHO Risk / Return Rank: 96
SCHO Sharpe Ratio Rank: 95
SCHO Sortino Ratio Rank: 97
SCHO Omega Ratio Rank: 96
SCHO Calmar Ratio Rank: 96
SCHO Martin Ratio Rank: 96

SCHD

SCHD Risk / Return Rank: 43
SCHD Sharpe Ratio Rank: 46
SCHD Sortino Ratio Rank: 46
SCHD Omega Ratio Rank: 46
SCHD Calmar Ratio Rank: 39
SCHD Martin Ratio Rank: 38

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.

SCHO vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab Short-Term U.S. Treasury ETF (SCHO) 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.

	SCHO	SCHD	Difference
Sharpe ratio Return per unit of total volatility	2.44	0.88	+1.56
Sortino ratio Return per unit of downside risk	3.92	1.32	+2.59
Omega ratio Gain probability vs. loss probability	1.50	1.19	+0.31
Calmar ratio Return relative to maximum drawdown	4.42	1.05	+3.37
Martin ratio Return relative to average drawdown	17.32	3.55	+13.76
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SCHO vs. SCHD - Sharpe Ratio Comparison

The current SCHO Sharpe Ratio is 2.44, which is higher than the SCHD Sharpe Ratio of 0.88. The chart below compares the historical Sharpe Ratios of SCHO and SCHD, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	SCHO	SCHD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.44	0.88	+1.56
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.92	0.58	+0.34
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.11	0.74	+0.37
Sharpe Ratio (All Time) Calculated using the full available price history	1.00	0.84	+0.16

Correlation

The correlation between SCHO and SCHD is -0.11. This indicates that the assets' prices tend to move in opposite directions. Negative correlation can be particularly beneficial for diversification and risk management, as one asset may offset the losses of the other during market fluctuations.

Dividends

SCHO vs. SCHD - Dividend Comparison

SCHO's dividend yield for the trailing twelve months is around 3.98%, more than SCHD's 3.46% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHO Schwab Short-Term U.S. Treasury ETF	3.98%	4.06%	4.29%	3.76%	1.34%	0.41%	1.27%	2.27%	1.60%	1.12%	0.82%	0.68%
SCHD Schwab U.S. Dividend Equity ETF	3.46%	3.82%	3.64%	3.49%	3.39%	2.78%	3.16%	2.98%	3.06%	2.63%	2.89%	2.97%

Drawdowns

SCHO vs. SCHD - Drawdown Comparison

The maximum SCHO drawdown since its inception was -5.69%, smaller than the maximum SCHD drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for SCHO and SCHD.

Drawdown Indicators

	SCHO	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-5.69%	-33.37%	+27.68%
Max Drawdown (1Y) Largest decline over 1 year	-0.86%	-12.74%	+11.88%
Max Drawdown (5Y) Largest decline over 5 years	-5.69%	-16.85%	+11.16%
Max Drawdown (10Y) Largest decline over 10 years	-5.69%	-33.37%	+27.68%
Current Drawdown Current decline from peak	-0.43%	-3.43%	+3.00%
Average Drawdown Average peak-to-trough decline	-0.61%	-3.34%	+2.73%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.22%	3.75%	-3.53%

Volatility

SCHO vs. SCHD - Volatility Comparison

The current volatility for Schwab Short-Term U.S. Treasury ETF (SCHO) is 0.52%, while Schwab U.S. Dividend Equity ETF (SCHD) has a volatility of 2.33%. This indicates that SCHO experiences smaller price fluctuations and is considered to be less risky than SCHD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SCHO	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.52%	2.33%	-1.81%
Volatility (6M) Calculated over the trailing 6-month period	0.87%	7.96%	-7.09%
Volatility (1Y) Calculated over the trailing 1-year period	1.52%	15.69%	-14.17%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.97%	14.40%	-12.43%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.55%	16.70%	-15.15%