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SCHZ vs. BND
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

SCHZ vs. BND - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab U.S. Aggregate Bond ETF (SCHZ) and Vanguard Total Bond Market ETF (BND). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

The year-to-date returns for both investments are quite close, with SCHZ having a 0.64% return and BND slightly higher at 0.65%. Over the past 10 years, SCHZ has underperformed BND with an annualized return of 1.52%, while BND has yielded a comparatively higher 1.60% annualized return.


SCHZ

1D
0.26%
1M
0.92%
YTD
0.64%
6M
0.69%
1Y
4.79%
3Y*
4.03%
5Y*
0.03%
10Y*
1.52%

BND

1D
0.27%
1M
0.90%
YTD
0.65%
6M
0.69%
1Y
4.66%
3Y*
4.05%
5Y*
0.04%
10Y*
1.60%
*Multi-year figures are annualized to reflect compound growth (CAGR)

SCHZ vs. BND - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
SCHZ
Schwab U.S. Aggregate Bond ETF
0.64%7.24%1.26%5.60%-13.17%-1.72%7.46%8.65%-0.26%3.50%
BND
Vanguard Total Bond Market ETF
0.65%7.08%1.38%5.65%-13.11%-1.86%7.71%8.84%-0.12%3.57%

Correlation

The correlation between SCHZ and BND is 0.98 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.


Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.98

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

0.99

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

0.99

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

0.97

Correlation (All Time)
Calculated using the full available price history since Jul 14, 2011

0.93

The correlation between SCHZ and BND has been stable across timeframes, ranging from 0.93 to 0.99 - a consistent structural relationship.

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Return for Risk

SCHZ vs. BND — Risk / Return Rank

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

SCHZ
SCHZ Risk / Return Rank: 3737
Overall Rank
SCHZ Sharpe Ratio Rank: 3737
Sharpe Ratio Rank
SCHZ Sortino Ratio Rank: 3939
Sortino Ratio Rank
SCHZ Omega Ratio Rank: 3535
Omega Ratio Rank
SCHZ Calmar Ratio Rank: 3737
Calmar Ratio Rank
SCHZ Martin Ratio Rank: 3636
Martin Ratio Rank

BND
BND Risk / Return Rank: 3636
Overall Rank
BND Sharpe Ratio Rank: 3737
Sharpe Ratio Rank
BND Sortino Ratio Rank: 3838
Sortino Ratio Rank
BND Omega Ratio Rank: 3434
Omega Ratio Rank
BND Calmar Ratio Rank: 3737
Calmar Ratio Rank
BND Martin Ratio Rank: 3535
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.

SCHZ vs. BND - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab U.S. Aggregate Bond ETF (SCHZ) and Vanguard Total Bond Market ETF (BND). 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.


SCHZBNDDifference
Sharpe ratioReturn per unit of total volatility

+0.01

Sortino ratioReturn per unit of downside risk

+0.02

Omega ratioGain probability vs. loss probability

1.23

1.22

0.00

Calmar ratioReturn relative to maximum drawdown

1.78

1.77

+0.01

Martin ratioReturn relative to average drawdown

5.17

5.10

+0.08

SCHZ vs. BND - Sharpe Ratio Comparison

The current SCHZ Sharpe Ratio is 1.28, which is comparable to the BND Sharpe Ratio of 1.27. The chart below compares the historical Sharpe Ratios of SCHZ and BND, 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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Drawdowns

SCHZ vs. BND - Drawdown Comparison

The maximum SCHZ drawdown since its inception was -18.74%, roughly equal to the maximum BND drawdown of -18.58%. Use the drawdown chart below to compare losses from any high point for SCHZ and BND.


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Drawdown Indicators


SCHZBNDDifference

Max Drawdown

Largest peak-to-trough decline

-18.74%

-18.58%

-0.16%

Max Drawdown (1Y)

Largest decline over 1 year

-2.70%

-2.68%

-0.02%

Max Drawdown (3Y)

Largest decline over 3 years

-6.18%

-5.92%

-0.26%

Max Drawdown (5Y)

Largest decline over 5 years

-18.01%

-17.91%

-0.10%

Max Drawdown (10Y)

Largest decline over 10 years

-18.74%

-18.58%

-0.16%

Current Drawdown

Current decline from peak

-2.13%

-1.99%

-0.14%

Average Drawdown

Average peak-to-trough decline

-3.68%

-3.06%

-0.62%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.93%

0.93%

0.00%

Volatility

SCHZ vs. BND - Volatility Comparison

Schwab U.S. Aggregate Bond ETF (SCHZ) has a higher volatility of 1.22% compared to Vanguard Total Bond Market ETF (BND) at 1.14%. This indicates that SCHZ's price experiences larger fluctuations and is considered to be riskier than BND based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


SCHZBNDDifference

Volatility (1M)

Calculated over the trailing 1-month period

1.22%

1.14%

+0.08%

Volatility (6M)

Calculated over the trailing 6-month period

2.78%

2.76%

+0.02%

Volatility (1Y)

Calculated over the trailing 1-year period

3.75%

3.72%

+0.03%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

6.09%

6.03%

+0.06%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

5.42%

5.53%

-0.11%

SCHZ vs. BND - Expense Ratio Comparison

Both SCHZ and BND have an expense ratio of 0.03%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.


Dividends

SCHZ vs. BND - Dividend Comparison

SCHZ's dividend yield for the trailing twelve months is around 4.11%, more than BND's 3.95% yield.


PositionTTM20252024202320222021202020192018201720162015
BND
Vanguard Total Bond Market ETF
3.95%3.86%3.67%3.09%2.60%2.12%2.38%2.72%2.81%2.54%2.51%2.57%
SCHZ
Schwab U.S. Aggregate Bond ETF
4.11%4.05%3.96%3.28%2.63%2.16%2.43%2.79%2.56%2.40%2.24%2.11%

Frequently Asked Questions


With a correlation of 0.98, SCHZ and BND move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

SCHZ has higher volatility (1.22%) compared to BND (1.14%). In terms of maximum drawdown, SCHZ dropped -18.74% vs BND's -18.58%.

On 10-year performance, BND leads with 1.60% vs 1.52% for SCHZ. Both ETFs have the same 0.03% expense ratio. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, BND has performed better with a 1.60% return vs 1.52%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

SCHZ and BND have the same expense ratio: 0.03% per year.

SCHZ has the higher dividend yield at 4.11%, compared with 3.95% for BND.

SCHZ tracks Bloomberg US Aggregate Bond Index, while BND tracks Bloomberg U.S. Aggregate Float Adjusted Index. They also come from different issuers: Charles Schwab and Vanguard.

SCHZ currently has the higher Sharpe Ratio (1.28 vs 1.27), 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.

Portfolio Optimizer

Find the right allocation for SCHZ and BND

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