SCHZ vs. FBND

Last updated Jun 4, 2026

SCHZ (Schwab U.S. Aggregate Bond ETF) and FBND (Fidelity Total Bond ETF) are both exchange-traded funds - SCHZ is a Total Bond Market fund tracking the Bloomberg US Aggregate Bond Index, while FBND is a Intermediate Core-Plus Bond fund actively managed by Fidelity. SCHZ is passively managed, while FBND is actively managed. Over the past 10 years, SCHZ returned 1.52%/yr vs 2.56%/yr for FBND. Their correlation of 0.85 suggests significant overlap in exposure. SCHZ charges 0.03%/yr vs 0.36%/yr for FBND.

Performance

SCHZ vs. FBND - Performance Comparison

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

Returns By Period

In the year-to-date period, SCHZ achieves a 0.30% return, which is significantly lower than FBND's 0.50% return. Over the past 10 years, SCHZ has underperformed FBND with an annualized return of 1.52%, while FBND has yielded a comparatively higher 2.56% annualized return.

SCHZ

• 1D: -0.17%
• 1M: 0.26%
• YTD: 0.30%
• 6M: 0.15%
• 1Y: 5.16%
• 3Y*: 3.94%
• 5Y*: 0.07%
• 10Y*: 1.52%

FBND

• 1D: -0.20%
• 1M: 0.31%
• YTD: 0.50%
• 6M: 0.30%
• 1Y: 5.59%
• 3Y*: 4.70%
• 5Y*: 0.83%
• 10Y*: 2.56%

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

SCHZ vs. FBND - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SCHZ Schwab U.S. Aggregate Bond ETF	0.30%	7.24%	1.26%	5.60%	-13.17%	-1.72%	7.46%	8.65%	-0.26%	3.50%
FBND Fidelity Total Bond ETF	0.50%	7.57%	2.13%	6.81%	-12.54%	-0.43%	9.41%	9.82%	-0.57%	3.52%

Correlation

The correlation between SCHZ and FBND is 0.97 - 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	0.97
Correlation (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (10Y) Calculated over the trailing 10-year period	0.89
Correlation (All Time) Calculated using the full available price history since Oct 10, 2014	0.85

The correlation between SCHZ and FBND shifts across timeframes, from 0.85 (all time) to 0.98 (3 years), reflecting how their relationship changes across market environments.

SCHZ vs. FBND - Sectors Allocation Comparison

Sectors	SCHZ	FBND
Financial Services	8.3%	0.2%
Technology	3.0%	-
Healthcare	2.3%	-
Utilities	2.1%	27.5%
Communication Services	2.1%	-
Industrials	1.7%	71.4%
Consumer Cyclical	1.4%	-
Energy	1.3%	1.1%
Consumer Defensive	1.1%	-
Real Estate	0.8%	-
Basic Materials	0.4%	-

Return for Risk

SCHZ vs. FBND — Risk / Return Rank

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

SCHZ

SCHZ Risk / Return Rank: 37
SCHZ Sharpe Ratio Rank: 37
SCHZ Sortino Ratio Rank: 39
SCHZ Omega Ratio Rank: 35
SCHZ Calmar Ratio Rank: 38
SCHZ Martin Ratio Rank: 37

FBND

FBND Risk / Return Rank: 40
FBND Sharpe Ratio Rank: 40
FBND Sortino Ratio Rank: 42
FBND Omega Ratio Rank: 37
FBND Calmar Ratio Rank: 42
FBND Martin Ratio Rank: 39

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. FBND - Risk-Adjusted Trends Comparison

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

	SCHZ	FBND	Difference
Sharpe ratio: Return per unit of total volatility	1.37	1.46	-0.09
Sortino ratio: Return per unit of downside risk	2.04	2.17	-0.12
Omega ratio: Gain probability vs. loss probability	1.24	1.25	-0.01
Calmar ratio: Return relative to maximum drawdown	1.92	2.11	-0.19
Martin ratio: Return relative to average drawdown	5.87	6.37	-0.50
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SCHZ vs. FBND - Sharpe Ratio Comparison

The current SCHZ Sharpe Ratio is 1.37, which is comparable to the FBND Sharpe Ratio of 1.46. The chart below compares the historical Sharpe Ratios of SCHZ and FBND, 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

	SCHZ	FBND	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.37	1.46	-0.09
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.01	0.14	-0.13
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.28	0.42	-0.14
Sharpe Ratio (All Time) Calculated using the full available price history	0.44	0.44	0.00

Drawdowns

SCHZ vs. FBND - Drawdown Comparison

The maximum SCHZ drawdown since its inception was -18.74%, which is greater than FBND's maximum drawdown of -17.25%. Use the drawdown chart below to compare losses from any high point for SCHZ and FBND.

Drawdown Indicators

	SCHZ	FBND	Difference
Max Drawdown Largest peak-to-trough decline	-18.74%	-17.25%	-1.49%
Max Drawdown (1Y) Largest decline over 1 year	-2.70%	-2.66%	-0.04%
Max Drawdown (3Y) Largest decline over 3 years	-6.18%	-5.94%	-0.24%
Max Drawdown (5Y) Largest decline over 5 years	-18.01%	-17.25%	-0.76%
Max Drawdown (10Y) Largest decline over 10 years	-18.74%	-17.25%	-1.49%
Current Drawdown Current decline from peak	-2.47%	-1.43%	-1.04%
Average Drawdown Average peak-to-trough decline	-3.68%	-3.35%	-0.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.88%	0.88%	0.00%

Volatility

SCHZ vs. FBND - Volatility Comparison

Schwab U.S. Aggregate Bond ETF (SCHZ) and Fidelity Total Bond ETF (FBND) have volatilities of 1.24% and 1.27%, 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.

Volatility by Period

	SCHZ	FBND	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.24%	1.27%	-0.03%
Volatility (6M) Calculated over the trailing 6-month period	2.67%	2.73%	-0.06%
Volatility (1Y) Calculated over the trailing 1-year period	3.79%	3.86%	-0.07%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.08%	5.92%	+0.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.41%	6.10%	-0.69%

SCHZ vs. FBND - Expense Ratio Comparison

SCHZ has a 0.03% expense ratio, which is lower than FBND's 0.36% expense ratio.

Dividends

SCHZ vs. FBND - Dividend Comparison

SCHZ's dividend yield for the trailing twelve months is around 4.12%, less than FBND's 4.70% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FBND Fidelity Total Bond ETF	4.70%	4.70%	4.73%	4.26%	3.07%	1.86%	4.25%	2.90%	2.93%	2.56%	2.84%	3.26%
SCHZ Schwab U.S. Aggregate Bond ETF	4.12%	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

Can I hold both SCHZ and FBND in my portfolio?

With a correlation of 0.97, SCHZ and FBND 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.

Which is riskier, SCHZ or FBND?

FBND has higher volatility (1.27%) compared to SCHZ (1.24%). In terms of maximum drawdown, SCHZ dropped -18.74% vs FBND's -17.25%.

Which ETF is better, SCHZ or FBND?

On 10-year performance, FBND leads with 2.56% vs 1.52% for SCHZ. On fees, SCHZ is cheaper at 0.03% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SCHZ or FBND?

Over the 10-year period, FBND has performed better with a 2.56% return vs 1.52%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SCHZ or FBND?

SCHZ is cheaper with a 0.03% expense ratio, compared with 0.36% for FBND.

Which ETF pays a higher dividend yield, SCHZ or FBND?

FBND has the higher dividend yield at 4.70%, compared with 4.12% for SCHZ.

What is the main difference between SCHZ and FBND?

SCHZ is categorized as Total Bond Market, while FBND is Intermediate Core-Plus Bond. They also come from different issuers: Charles Schwab and Fidelity. Their fees differ too: 0.03% for SCHZ and 0.36% for FBND.

Which has better risk-adjusted returns?

FBND currently has the higher Sharpe Ratio (1.46 vs 1.37), 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.