SMBS vs. SCHV
SMBS (Schwab Mortgage-Backed Securities ETF) and SCHV (Schwab U.S. Large-Cap Value ETF) are both exchange-traded funds - SMBS is a Mortgage Backed Securities fund tracking the Bloomberg US MBS Float Adjusted Total Return Index, while SCHV is a Large Cap Value Equities fund tracking the Dow Jones U.S. Large-Cap Value Total Stock Market Index. Both are passively managed. Over the past year, SMBS returned 6.78% vs 28.49% for SCHV. At a 0.23 correlation, their price movements are largely independent. SMBS charges 0.03%/yr vs 0.04%/yr for SCHV.
Performance
SMBS vs. SCHV - Performance Comparison
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Returns By Period
In the year-to-date period, SMBS achieves a 0.70% return, which is significantly lower than SCHV's 15.39% return.
SMBS
- 1D
- -0.24%
- 1M
- 0.33%
- YTD
- 0.70%
- 6M
- 0.82%
- 1Y
- 6.78%
- 3Y*
- —
- 5Y*
- —
- 10Y*
- —
SCHV
- 1D
- 0.09%
- 1M
- 5.65%
- YTD
- 15.39%
- 6M
- 16.00%
- 1Y
- 28.49%
- 3Y*
- 18.86%
- 5Y*
- 10.40%
- 10Y*
- 11.50%
SMBS vs. SCHV - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | |
|---|---|---|---|
SMBS Schwab Mortgage-Backed Securities ETF | 0.70% | 8.15% | -0.07% |
SCHV Schwab U.S. Large-Cap Value ETF | 15.39% | 16.02% | -3.53% |
Correlation
The correlation between SMBS and SCHV is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.26 |
Correlation (All Time) Calculated using the full available price history since Nov 20, 2024 | 0.23 |
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Return for Risk
SMBS vs. SCHV — Risk / Return Rank
SMBS
SCHV
SMBS vs. SCHV - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Schwab Mortgage-Backed Securities ETF (SMBS) and Schwab U.S. Large-Cap Value ETF (SCHV). 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.
| SMBS | SCHV | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -1.05 | ||
| Sortino ratioReturn per unit of downside risk | -1.42 | ||
| Omega ratioGain probability vs. loss probability | 1.30 | 1.48 | -0.18 |
| Calmar ratioReturn relative to maximum drawdown | 2.41 | 4.19 | -1.78 |
| Martin ratioReturn relative to average drawdown | 8.21 | 16.96 | -8.74 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| SMBS | SCHV | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 1.64 | 2.69 | -1.05 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | — | 0.72 | — |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | — | 0.68 | — |
Sharpe Ratio (All Time)Calculated using the full available price history | 1.18 | 0.72 | +0.46 |
Drawdowns
SMBS vs. SCHV - Drawdown Comparison
The maximum SMBS drawdown since its inception was -3.20%, smaller than the maximum SCHV drawdown of -37.08%. Use the drawdown chart below to compare losses from any high point for SMBS and SCHV.
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Drawdown Indicators
| SMBS | SCHV | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -3.20% | -37.08% | +33.88% |
Max Drawdown (1Y)Largest decline over 1 year | -2.83% | -6.83% | +4.00% |
Max Drawdown (3Y)Largest decline over 3 years | — | -15.26% | — |
Max Drawdown (5Y)Largest decline over 5 years | — | -19.78% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -37.08% | — |
Current DrawdownCurrent decline from peak | -1.33% | 0.00% | -1.33% |
Average DrawdownAverage peak-to-trough decline | -0.84% | -3.83% | +2.99% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.83% | 1.69% | -0.86% |
Volatility
SMBS vs. SCHV - Volatility Comparison
The current volatility for Schwab Mortgage-Backed Securities ETF (SMBS) is 1.55%, while Schwab U.S. Large-Cap Value ETF (SCHV) has a volatility of 3.09%. This indicates that SMBS experiences smaller price fluctuations and is considered to be less risky than SCHV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| SMBS | SCHV | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.55% | 3.09% | -1.54% |
Volatility (6M)Calculated over the trailing 6-month period | 3.03% | 8.13% | -5.10% |
Volatility (1Y)Calculated over the trailing 1-year period | 4.15% | 10.63% | -6.48% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 4.86% | 14.51% | -9.65% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 4.86% | 16.94% | -12.08% |
SMBS vs. SCHV - Expense Ratio Comparison
SMBS has a 0.03% expense ratio, which is lower than SCHV's 0.04% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.
Dividends
SMBS vs. SCHV - Dividend Comparison
SMBS's dividend yield for the trailing twelve months is around 5.17%, more than SCHV's 1.76% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
SCHV Schwab U.S. Large-Cap Value ETF | 1.76% | 2.02% | 2.25% | 2.42% | 2.37% | 1.93% | 3.03% | 3.02% | 3.05% | 2.37% | 2.65% | 2.69% |
SMBS Schwab Mortgage-Backed Securities ETF | 5.17% | 4.83% | 0.50% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Frequently Asked Questions
SMBS and SCHV have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
SCHV has higher volatility (3.09%) compared to SMBS (1.55%). In terms of maximum drawdown, SMBS dropped -3.20% vs SCHV's -37.08%.
On 1-year performance, SCHV leads with 28.49% vs 6.78% for SMBS. On fees, SMBS is cheaper at 0.03% per year. On volatility, SMBS has been the lower-risk option at 1.55%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 1-year period, SCHV has performed better with a 28.49% return vs 6.78%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
SMBS is cheaper with a 0.03% expense ratio, compared with 0.04% for SCHV.
SMBS has the higher dividend yield at 5.17%, compared with 1.76% for SCHV.
SMBS is categorized as Mortgage Backed Securities, while SCHV is Large Cap Value Equities. SMBS tracks Bloomberg US MBS Float Adjusted Total Return Index, while SCHV tracks Dow Jones U.S. Large-Cap Value Total Stock Market Index. Their fees differ too: 0.03% for SMBS and 0.04% for SCHV.
SCHV currently has the higher Sharpe Ratio (2.69 vs 1.64), 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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