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SCZ vs. SCHB
Performance
Return for Risk
Drawdowns
Volatility
Dividends

SCZ vs. SCHB

Last updated Jun 14, 2026

SCZ (iShares MSCI EAFE Small-Cap ETF) and SCHB (Schwab U.S. Broad Market ETF) are both exchange-traded funds - SCZ is a Foreign Small & Mid Cap Equities fund tracking the MSCI EAFE Small Cap Index, while SCHB is a Large Cap Blend Equities fund tracking the Dow Jones U.S. Broad Stock Market Index. Both are passively managed. Over the past 10 years, SCZ returned 8.64%/yr vs 15.01%/yr for SCHB. A 0.78 correlation means they provide meaningful diversification when combined. SCZ charges 0.40%/yr vs 0.03%/yr for SCHB.

Performance

SCZ vs. SCHB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI EAFE Small-Cap ETF (SCZ) and Schwab U.S. Broad Market ETF (SCHB). 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 stocks are quite close, with SCZ having a 9.70% return and SCHB slightly lower at 9.68%. Over the past 10 years, SCZ has underperformed SCHB with an annualized return of 8.64%, while SCHB has yielded a comparatively higher 15.01% annualized return.

SCZ

1D
0.47%
1M
1.01%
YTD
9.70%
6M
11.43%
1Y
23.50%
3Y*
15.38%
5Y*
4.99%
10Y*
8.64%

SCHB

1D
0.49%
1M
0.95%
YTD
9.68%
6M
9.76%
1Y
26.16%
3Y*
20.63%
5Y*
12.26%
10Y*
15.01%
*Multi-year figures are annualized to reflect compound growth (CAGR)

SCZ vs. SCHB - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
SCZ
iShares MSCI EAFE Small-Cap ETF		9.70%32.08%1.52%12.98%-21.27%10.12%11.71%24.68%-17.64%32.72%
SCHB
Schwab U.S. Broad Market ETF		9.68%16.94%23.93%26.16%-19.46%25.84%20.76%30.79%-5.43%21.20%

Correlation

The correlation between SCZ and SCHB is 0.73, 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

0.73

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

0.69

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

0.74

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

0.76

Correlation (All Time)
Calculated using the full available price history since Nov 3, 2009

0.78

The correlation between SCZ and SCHB has been stable across timeframes, ranging from 0.69 to 0.78 - a consistent structural relationship.

SCZ vs. SCHB - Sectors Allocation Comparison

Sectors
SCZ
SCHB

Industrials

24.2%
9.1%

Financial Services

12.5%
11.4%

Consumer Cyclical

12.3%
9.8%

Technology

10.8%
37.3%

Basic Materials

10.2%
1.9%

Real Estate

9.9%
2.3%

Healthcare

5.9%
8.8%

Consumer Defensive

4.7%
4.3%

Communication Services

3.8%
9.8%

Energy

3.5%
3.3%

Utilities

2.2%
2.1%

Industrials

SCZ
24.2%
SCHB
9.1%

Financial Services

SCZ
12.5%
SCHB
11.4%

Consumer Cyclical

SCZ
12.3%
SCHB
9.8%

Technology

SCZ
10.8%
SCHB
37.3%

Basic Materials

SCZ
10.2%
SCHB
1.9%

Real Estate

SCZ
9.9%
SCHB
2.3%

Healthcare

SCZ
5.9%
SCHB
8.8%

Consumer Defensive

SCZ
4.7%
SCHB
4.3%

Communication Services

SCZ
3.8%
SCHB
9.8%

Energy

SCZ
3.5%
SCHB
3.3%

Utilities

SCZ
2.2%
SCHB
2.1%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares MSCI EAFE Small-Cap ETF

Schwab U.S. Broad Market ETF

Often compared with SCZ:
SCZ vs. VSSSCZ vs. AVDVSCZ vs. IWMSCZ vs. IEFASCZ vs. VPLSCZ vs. IDEVSCZ vs. ISCF
Often compared with SCHB:
SCHB vs. VTISCHB vs. SCHGSCHB vs. SCHXSCHB vs. VOOSCHB vs. SCHDSCHB vs. SWTSXSCHB vs. SPY

Return for Risk

SCZ vs. SCHB — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
SCZ
SCZ Risk / Return Rank: 4848
Overall Rank
SCZ Sharpe Ratio Rank: 4949
Sharpe Ratio Rank
SCZ Sortino Ratio Rank: 5050
Sortino Ratio Rank
SCZ Omega Ratio Rank: 4848
Omega Ratio Rank
SCZ Calmar Ratio Rank: 4444
Calmar Ratio Rank
SCZ Martin Ratio Rank: 4949
Martin Ratio Rank
SCHB
SCHB Risk / Return Rank: 6969
Overall Rank
SCHB Sharpe Ratio Rank: 7070
Sharpe Ratio Rank
SCHB Sortino Ratio Rank: 6868
Sortino Ratio Rank
SCHB Omega Ratio Rank: 6969
Omega Ratio Rank
SCHB Calmar Ratio Rank: 6464
Calmar Ratio Rank
SCHB Martin Ratio Rank: 7676
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.

SCZ vs. SCHB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI EAFE Small-Cap ETF (SCZ) and Schwab U.S. Broad Market ETF (SCHB). 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.

SCZSCHBDifference
Sharpe ratioReturn per unit of total volatility
1.49
1.96

-0.47

Sortino ratioReturn per unit of downside risk
2.14
2.66

-0.52

Omega ratioGain probability vs. loss probability

1.27

1.35

-0.08

Calmar ratioReturn relative to maximum drawdown

1.95

2.78

-0.84

Martin ratioReturn relative to average drawdown

7.36

12.44

-5.09

SCZ vs. SCHB - Sharpe Ratio Comparison

The current SCZ Sharpe Ratio is 1.49, which is comparable to the SCHB Sharpe Ratio of 1.96. The chart below compares the historical Sharpe Ratios of SCZ and SCHB, 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

SCZ vs. SCHB - Drawdown Comparison

The maximum SCZ drawdown since its inception was -61.86%, which is greater than SCHB's maximum drawdown of -35.27%. Use the drawdown chart below to compare losses from any high point for SCZ and SCHB.

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Drawdown Indicators

SCZSCHBDifference

Max Drawdown

Largest peak-to-trough decline

-61.86%

-35.27%

-26.59%

Max Drawdown (1Y)

Largest decline over 1 year

-11.43%

-8.91%

-2.52%

Max Drawdown (3Y)

Largest decline over 3 years

-15.06%

-19.34%

+4.28%

Max Drawdown (5Y)

Largest decline over 5 years

-36.87%

-25.41%

-11.46%

Max Drawdown (10Y)

Largest decline over 10 years

-41.07%

-35.27%

-5.80%

Current Drawdown

Current decline from peak

-1.66%

-2.15%

+0.49%

Average Drawdown

Average peak-to-trough decline

-13.05%

-4.11%

-8.94%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.02%

1.99%

+1.03%

Volatility

SCZ vs. SCHB - Volatility Comparison

iShares MSCI EAFE Small-Cap ETF (SCZ) has a higher volatility of 5.27% compared to Schwab U.S. Broad Market ETF (SCHB) at 4.60%. This indicates that SCZ's price experiences larger fluctuations and is considered to be riskier than SCHB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

SCZSCHBDifference

Volatility (1M)

Calculated over the trailing 1-month period

5.27%

4.60%

+0.67%

Volatility (6M)

Calculated over the trailing 6-month period

12.52%

9.86%

+2.66%

Volatility (1Y)

Calculated over the trailing 1-year period

14.93%

12.63%

+2.30%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

16.81%

17.31%

-0.50%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

17.43%

18.35%

-0.92%

SCZ vs. SCHB - Expense Ratio Comparison

SCZ has a 0.40% expense ratio, which is higher than SCHB's 0.03% expense ratio.

Dividends

SCZ vs. SCHB - Dividend Comparison

SCZ's dividend yield for the trailing twelve months is around 3.01%, more than SCHB's 1.03% yield.

PositionTTM20252024202320222021202020192018201720162015
SCHB
Schwab U.S. Broad Market ETF		1.03%1.11%1.24%1.40%1.61%1.21%1.63%1.80%2.00%1.65%1.86%2.00%
SCZ
iShares MSCI EAFE Small-Cap ETF		3.01%3.30%3.50%2.96%1.99%2.96%1.52%3.52%2.79%2.38%2.82%2.06%

Frequently Asked Questions

SCZ and SCHB have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

SCZ has higher volatility (5.27%) compared to SCHB (4.60%). In terms of maximum drawdown, SCZ dropped -61.86% vs SCHB's -35.27%.

On 10-year performance, SCHB leads with 15.01% vs 8.64% for SCZ. On fees, SCHB is cheaper at 0.03% per year. On volatility, SCHB has been the lower-risk option at 4.60%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, SCHB has performed better with a 15.01% return vs 8.64%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

SCHB is cheaper with a 0.03% expense ratio, compared with 0.40% for SCZ.

SCZ has the higher dividend yield at 3.01%, compared with 1.03% for SCHB.

SCZ is categorized as Foreign Small & Mid Cap Equities, while SCHB is Large Cap Blend Equities. SCZ tracks MSCI EAFE Small Cap Index, while SCHB tracks Dow Jones U.S. Broad Stock Market Index. They also come from different issuers: iShares and Charles Schwab. Their fees differ too: 0.40% for SCZ and 0.03% for SCHB.

SCHB currently has the higher Sharpe Ratio (1.96 vs 1.49), 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.

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