TMFG vs. SCHD

Last updated Jun 24, 2026

TMFG (Motley Fool Global Opportunities ETF) and SCHD (Schwab U.S. Dividend Equity ETF) are both exchange-traded funds - TMFG is a Global Equities fund actively managed by Motley Fool, while SCHD is a Dividend fund tracking the Dow Jones U.S. Dividend 100 Index. TMFG is actively managed, while SCHD is passively managed. Over the past 3 years, TMFG returned 11.98%/yr vs 14.60%/yr for SCHD. A 0.64 correlation means they provide meaningful diversification when combined. TMFG charges 0.85%/yr vs 0.06%/yr for SCHD.

Performance

TMFG vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Motley Fool Global Opportunities ETF (TMFG) and Schwab U.S. Dividend Equity ETF (SCHD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TMFG achieves a 0.80% return, which is significantly lower than SCHD's 17.72% return.

TMFG

• 1D: -0.26%
• 1M: -1.46%
• YTD: 0.80%
• 6M: 0.21%
• 1Y: 3.21%
• 3Y*: 11.98%
• 5Y*: —
• 10Y*: —

SCHD

• 1D: 0.41%
• 1M: -2.47%
• YTD: 17.72%
• 6M: 17.25%
• 1Y: 24.56%
• 3Y*: 14.60%
• 5Y*: 8.71%
• 10Y*: 12.72%

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

TMFG vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
TMFG Motley Fool Global Opportunities ETF	0.80%	6.75%	15.45%	28.36%	-28.17%	1.91%
SCHD Schwab U.S. Dividend Equity ETF	17.72%	4.34%	11.66%	4.54%	-3.26%	3.26%

Correlation

The correlation between TMFG and SCHD is 0.42, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.42
Correlation (3Y) Calculated over the trailing 3-year period	0.56
Correlation (All Time) Calculated using the full available price history since Dec 13, 2021	0.64

Over the past year, the correlation between TMFG and SCHD has dropped to 0.42 - well below their long-term average of 0.64, suggesting their price drivers have been diverging.

TMFG vs. SCHD - Sectors Allocation Comparison

Sectors	TMFG	SCHD
Industrials	20.9%	7.4%
Financial Services	18.3%	9.1%
Communication Services	13.8%	6.0%
Technology	12.7%	19.4%
Consumer Cyclical	11.6%	6.7%
Real Estate	8.7%	-
Healthcare	6.4%	18.4%
Consumer Defensive	5.7%	18.5%
Basic Materials	1.9%	1.2%
Energy	-	14.6%
Utilities	-	0.0%

Return for Risk

TMFG vs. SCHD — Risk / Return Rank

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

TMFG

TMFG Risk / Return Rank: 12
TMFG Sharpe Ratio Rank: 12
TMFG Sortino Ratio Rank: 11
TMFG Omega Ratio Rank: 11
TMFG Calmar Ratio Rank: 12
TMFG Martin Ratio Rank: 13

SCHD

SCHD Risk / Return Rank: 77
SCHD Sharpe Ratio Rank: 72
SCHD Sortino Ratio Rank: 80
SCHD Omega Ratio Rank: 70
SCHD Calmar Ratio Rank: 90
SCHD Martin Ratio Rank: 71

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.

TMFG vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Motley Fool Global Opportunities ETF (TMFG) and Schwab U.S. Dividend Equity ETF (SCHD). 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.

	TMFG	SCHD	Difference
Sharpe ratio: Return per unit of total volatility	0.24	2.23	-1.99
Sortino ratio: Return per unit of downside risk	0.43	3.40	-2.97
Omega ratio: Gain probability vs. loss probability	1.05	1.40	-0.35
Calmar ratio: Return relative to maximum drawdown	0.27	5.35	-5.07
Martin ratio: Return relative to average drawdown	0.92	12.94	-12.01

TMFG vs. SCHD - Sharpe Ratio Comparison

The current TMFG Sharpe Ratio is 0.24, which is lower than the SCHD Sharpe Ratio of 2.23. The chart below compares the historical Sharpe Ratios of TMFG and SCHD, 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

TMFG vs. SCHD - Drawdown Comparison

The maximum TMFG drawdown since its inception was -33.66%, roughly equal to the maximum SCHD drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for TMFG and SCHD.

Drawdown Indicators

	TMFG	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-33.66%	-33.37%	-0.29%
Max Drawdown (1Y) Largest decline over 1 year	-11.81%	-4.61%	-7.20%
Max Drawdown (3Y) Largest decline over 3 years	-16.60%	-16.13%	-0.47%
Max Drawdown (5Y) Largest decline over 5 years	—	-16.85%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.37%	—
Current Drawdown Current decline from peak	-3.10%	-2.47%	-0.63%
Average Drawdown Average peak-to-trough decline	-10.38%	-3.31%	-7.07%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.49%	1.90%	+1.59%

Volatility

TMFG vs. SCHD - Volatility Comparison

Motley Fool Global Opportunities ETF (TMFG) has a higher volatility of 4.08% compared to Schwab U.S. Dividend Equity ETF (SCHD) at 3.58%. This indicates that TMFG's price experiences larger fluctuations and is considered to be riskier than SCHD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TMFG	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.08%	3.58%	+0.50%
Volatility (6M) Calculated over the trailing 6-month period	10.50%	7.73%	+2.77%
Volatility (1Y) Calculated over the trailing 1-year period	13.46%	11.07%	+2.39%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.58%	14.36%	+4.22%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.58%	16.71%	+1.87%

TMFG vs. SCHD - Expense Ratio Comparison

TMFG has a 0.85% expense ratio, which is higher than SCHD's 0.06% expense ratio.

Dividends

TMFG vs. SCHD - Dividend Comparison

TMFG's dividend yield for the trailing twelve months is around 0.27%, less than SCHD's 3.30% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHD Schwab U.S. Dividend Equity ETF	3.30%	3.82%	3.64%	3.49%	3.39%	2.78%	3.16%	2.98%	3.06%	2.63%	2.89%	2.97%
TMFG Motley Fool Global Opportunities ETF	0.27%	0.27%	13.94%	5.42%	0.70%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TMFG and SCHD in my portfolio?

TMFG and SCHD have a correlation of 0.42, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TMFG or SCHD?

TMFG has higher volatility (4.08%) compared to SCHD (3.58%). In terms of maximum drawdown, TMFG dropped -33.66% vs SCHD's -33.37%.

Which ETF is better, TMFG or SCHD?

On 3-year performance, SCHD leads with 14.60% vs 11.98% for TMFG. On fees, SCHD is cheaper at 0.06% per year. On volatility, SCHD has been the lower-risk option at 3.58%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TMFG or SCHD?

Over the 3-year period, SCHD has performed better with a 14.60% return vs 11.98%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TMFG or SCHD?

SCHD is cheaper with a 0.06% expense ratio, compared with 0.85% for TMFG.

Which ETF pays a higher dividend yield, TMFG or SCHD?

SCHD has the higher dividend yield at 3.30%, compared with 0.27% for TMFG.

What is the main difference between TMFG and SCHD?

TMFG is categorized as Global Equities, while SCHD is Dividend. They also come from different issuers: Motley Fool and Charles Schwab. Their fees differ too: 0.85% for TMFG and 0.06% for SCHD.

Which has better risk-adjusted returns?

SCHD currently has the higher Sharpe Ratio (2.23 vs 0.24), 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.