SDMZX vs. SCHO

Last updated Aug 4, 2026

SDMZX (PGIM Short Duration Multi-Sector Bond Fund) and SCHO (Schwab Short-Term U.S. Treasury ETF) are both funds - SDMZX is a Short-Term Bond fund managed by PGIM, while SCHO is a Government Bonds fund tracking the Bloomberg U.S. Treasury 1-3 Year Index. Over the past 10 years, SDMZX returned 2.97%/yr vs 1.73%/yr for SCHO. Their 0.55 correlation means they have sometimes moved together and sometimes differently. SDMZX charges 0.46%/yr vs 0.03%/yr for SCHO.

Performance

SDMZX vs. SCHO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PGIM Short Duration Multi-Sector Bond Fund (SDMZX) and Schwab Short-Term U.S. Treasury ETF (SCHO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with SDMZX having a 0.84% return and SCHO slightly lower at 0.83%. Over the past 10 years, SDMZX has outperformed SCHO with an annualized return of 2.97%, while SCHO has yielded a comparatively lower 1.73% annualized return.

SDMZX

• 1D: -0.11%
• 1M: -0.45%
• 6M: 0.46%
• YTD: 0.84%
• 1Y: 3.31%
• 3Y*: 5.34%
• 5Y*: 2.63%
• 10Y*: 2.97%
• ALL TIME*: 2.84%

SCHO

• 1D: 0.05%
• 1M: 0.09%
• 6M: 0.68%
• YTD: 0.83%
• 1Y: 2.67%
• 3Y*: 4.23%
• 5Y*: 1.88%
• 10Y*: 1.73%
• ALL TIME*: 1.35%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
SCHO Schwab Short-Term U.S. Treasury ETF	$59.21M	$61.33M	$83.92M
SDMZX PGIM Short Duration Multi-Sector Bond Fund	$0.00	$0.00	$0.00

SDMZX vs. SCHO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SDMZX PGIM Short Duration Multi-Sector Bond Fund	0.84%	6.18%	5.64%	6.25%	-4.82%	-0.19%	3.97%	7.92%	0.95%	3.96%
SCHO Schwab Short-Term U.S. Treasury ETF	0.83%	5.49%	3.65%	4.31%	-3.87%	-0.64%	3.11%	3.47%	1.37%	0.33%

Correlation

The correlation between SDMZX and SCHO is 0.72, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.72
Correlation (3Y) Balances recent behavior with more history.	0.69
Correlation (5Y) Shows whether the relationship held over a longer period.	0.70
Correlation (10Y) Provides a long-term view across more market conditions.	0.58
Correlation (All Time) Calculated using the full available price history since Jan 2, 2014	0.55

The correlation between SDMZX and SCHO shifts across timeframes, from 0.55 (all time) to 0.72 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

SDMZX vs. SCHO — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

SDMZX

SDMZX Risk / Return Rank: 47
SDMZX Sharpe Ratio Rank: 34
SDMZX Sortino Ratio Rank: 42
SDMZX Omega Ratio Rank: 78
SDMZX Calmar Ratio Rank: 49
SDMZX Martin Ratio Rank: 33

SCHO

SCHO Risk / Return Rank: 86
SCHO Sharpe Ratio Rank: 85
SCHO Sortino Ratio Rank: 88
SCHO Omega Ratio Rank: 86
SCHO Calmar Ratio Rank: 83
SCHO Martin Ratio Rank: 87

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

SDMZX vs. SCHO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PGIM Short Duration Multi-Sector Bond Fund (SDMZX) and Schwab Short-Term U.S. Treasury ETF (SCHO). 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.

	SDMZX	SCHO	Difference
Sharpe ratio: Return per unit of total volatility	1.17	2.03	-0.86
Sortino ratio: Return per unit of downside risk	1.93	3.05	-1.12
Omega ratio: Gain probability vs. loss probability	1.36	1.38	-0.02
Calmar ratio: Return relative to maximum drawdown	1.99	3.13	-1.14
Martin ratio: Return relative to average drawdown	5.12	13.09	-7.97

SDMZX vs. SCHO - Sharpe Ratio Comparison

The current SDMZX Sharpe Ratio is 1.17, which is lower than the SCHO Sharpe Ratio of 2.03. The chart below compares the historical Sharpe Ratios of SDMZX and SCHO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

SDMZX vs. SCHO - Drawdown Comparison

The maximum SDMZX drawdown since its inception was -9.76%, which is greater than SCHO's maximum drawdown of -5.69%. Use the drawdown chart below to compare losses from any high point for SDMZX and SCHO.

Drawdown Indicators

	SDMZX	SCHO	Difference
Max Drawdown Largest peak-to-trough decline	-9.76%	-5.69%	-4.07%
Max Drawdown (1Y) Largest decline over 1 year	-1.85%	-0.86%	-0.99%
Max Drawdown (3Y) Largest decline over 3 years	-1.85%	-0.98%	-0.87%
Max Drawdown (5Y) Largest decline over 5 years	-8.51%	-5.64%	-2.87%
Max Drawdown (10Y) Largest decline over 10 years	-9.76%	-5.69%	-4.07%
Current Drawdown Current decline from peak	-1.73%	0.00%	-1.73%
Average Drawdown Average peak-to-trough decline	-1.00%	-0.61%	-0.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.72%	0.20%	+0.52%

Volatility

SDMZX vs. SCHO - Volatility Comparison

PGIM Short Duration Multi-Sector Bond Fund (SDMZX) has a higher volatility of 0.53% compared to Schwab Short-Term U.S. Treasury ETF (SCHO) at 0.33%. This indicates that SDMZX's price experiences larger fluctuations and is considered to be riskier than SCHO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SDMZX	SCHO	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.53%	0.33%	+0.20%
Volatility (6M) Calculated over the trailing 6-month period	2.86%	1.03%	+1.83%
Volatility (1Y) Calculated over the trailing 1-year period	3.15%	1.32%	+1.83%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.57%	2.00%	+0.57%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.58%	1.57%	+1.01%

SDMZX vs. SCHO - Expense Ratio Comparison

SDMZX has a 0.46% expense ratio, which is higher than SCHO's 0.03% expense ratio.

Dividends

SDMZX vs. SCHO - Dividend Comparison

SDMZX's dividend yield for the trailing twelve months is around 4.31%, more than SCHO's 3.88% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHO Schwab Short-Term U.S. Treasury ETF	3.88%	4.06%	4.29%	3.76%	1.34%	0.41%	1.27%	2.27%	1.60%	1.12%	0.82%	0.68%
SDMZX PGIM Short Duration Multi-Sector Bond Fund	4.31%	4.62%	4.57%	3.36%	4.70%	2.76%	3.10%	6.18%	3.47%	2.64%	2.76%	3.34%

Frequently Asked Questions

Can I hold both SDMZX and SCHO in my portfolio?

SDMZX and SCHO have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SDMZX or SCHO?

SDMZX has higher volatility (0.53%) compared to SCHO (0.33%). In terms of maximum drawdown, SDMZX dropped -9.76% vs SCHO's -5.69%.

Which has better risk-adjusted returns?

SCHO currently has the higher Sharpe Ratio (2.03 vs 1.17), 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.