SCHO vs. VGSH
Compare and contrast key facts about Schwab Short-Term U.S. Treasury ETF (SCHO) and Vanguard Short-Term Treasury ETF (VGSH).
SCHO and VGSH 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 US Treasury (1-3 Y) (Inception 4/30/1996). It was launched on Aug 5, 2010. VGSH is a passively managed fund by Vanguard that tracks the performance of the Barclays U.S. 1-3 Year Government Float Adjusted Index. It was launched on Nov 19, 2009. Both SCHO and VGSH are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: SCHO or VGSH.
Key characteristics
| SCHO | VGSH | |
|---|---|---|
| YTD Return | 0.32% | 0.33% |
| 1Y Return | 2.40% | 2.44% |
| 3Y Return (Ann) | -0.02% | -0.02% |
| 5Y Return (Ann) | 1.07% | 1.08% |
| 10Y Return (Ann) | 0.98% | 0.99% |
| Sharpe Ratio | 1.07 | 1.08 |
| Daily Std Dev | 1.98% | 1.98% |
| Max Drawdown | -5.69% | -5.70% |
| Current Drawdown | -0.16% | -0.16% |
Correlation
The correlation between SCHO and VGSH is 0.75, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
Performance
SCHO vs. VGSH - Performance Comparison
The year-to-date returns for both investments are quite close, with SCHO having a 0.32% return and VGSH slightly higher at 0.33%. Both investments have delivered pretty close results over the past 10 years, with SCHO having a 0.98% annualized return and VGSH not far ahead at 0.99%. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
SCHO vs. VGSH - Expense Ratio Comparison
SCHO has a 0.05% expense ratio, which is higher than VGSH's 0.04% 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%.
Risk-Adjusted Performance
SCHO vs. VGSH - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Schwab Short-Term U.S. Treasury ETF (SCHO) and Vanguard Short-Term Treasury ETF (VGSH). 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.
Dividends
SCHO vs. VGSH - Dividend Comparison
SCHO's dividend yield for the trailing twelve months is around 4.14%, more than VGSH's 3.79% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
SCHO Schwab Short-Term U.S. Treasury ETF | 4.14% | 3.76% | 1.34% | 0.41% | 1.27% | 2.26% | 1.78% | 1.12% | 0.82% | 0.68% | 0.47% | 0.29% |
VGSH Vanguard Short-Term Treasury ETF | 3.79% | 3.31% | 1.15% | 0.66% | 1.74% | 2.28% | 1.79% | 1.10% | 0.82% | 0.71% | 0.46% | 0.34% |
Drawdowns
SCHO vs. VGSH - Drawdown Comparison
The maximum SCHO drawdown since its inception was -5.69%, roughly equal to the maximum VGSH drawdown of -5.70%. Use the drawdown chart below to compare losses from any high point for SCHO and VGSH. For additional features, visit the drawdowns tool.
Volatility
SCHO vs. VGSH - Volatility Comparison
Schwab Short-Term U.S. Treasury ETF (SCHO) and Vanguard Short-Term Treasury ETF (VGSH) have volatilities of 0.58% and 0.59%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.