USRT vs. SCHE

Last updated Jun 9, 2026

USRT (iShares Core U.S. REIT ETF) and SCHE (Schwab Emerging Markets Equity ETF) are both exchange-traded funds - USRT is a REIT fund tracking the FTSE NAREIT Equity REITs Index, while SCHE is a Emerging Markets Equities fund tracking the FTSE Emerging Index. Both are passively managed. Over the past 10 years, USRT returned 6.28%/yr vs 8.59%/yr for SCHE. At a 0.45 correlation, their price movements are largely independent. USRT charges 0.08%/yr vs 0.11%/yr for SCHE.

Performance

USRT vs. SCHE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core U.S. REIT ETF (USRT) and Schwab Emerging Markets Equity ETF (SCHE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, USRT achieves a 13.82% return, which is significantly higher than SCHE's 8.15% return. Over the past 10 years, USRT has underperformed SCHE with an annualized return of 6.28%, while SCHE has yielded a comparatively higher 8.59% annualized return.

USRT

• 1D: -1.12%
• 1M: -0.77%
• YTD: 13.82%
• 6M: 14.38%
• 1Y: 15.69%
• 3Y*: 11.52%
• 5Y*: 4.45%
• 10Y*: 6.28%

SCHE

• 1D: 0.77%
• 1M: -3.78%
• YTD: 8.15%
• 6M: 8.93%
• 1Y: 23.97%
• 3Y*: 16.38%
• 5Y*: 4.48%
• 10Y*: 8.59%

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

USRT vs. SCHE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
USRT iShares Core U.S. REIT ETF	13.82%	2.44%	8.58%	13.64%	-24.43%	43.26%	-8.06%	25.98%	-4.67%	5.27%
SCHE Schwab Emerging Markets Equity ETF	8.15%	26.54%	10.60%	8.93%	-17.84%	-0.65%	14.49%	20.31%	-13.57%	32.70%

Correlation

The correlation between USRT and SCHE is 0.27, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.27
Correlation (3Y) Calculated over the trailing 3-year period	0.36
Correlation (5Y) Calculated over the trailing 5-year period	0.40
Correlation (10Y) Calculated over the trailing 10-year period	0.37
Correlation (All Time) Calculated using the full available price history since Jan 15, 2010	0.45

The correlation between USRT and SCHE shifts across timeframes, from 0.27 (1 year) to 0.45 (all time), reflecting how their relationship changes across market environments.

USRT vs. SCHE - Sectors Allocation Comparison

Sectors	USRT	SCHE
Real Estate	99.4%	1.0%
Financial Services	0.1%	13.7%
Basic Materials	-	3.7%
Communication Services	-	5.2%
Consumer Cyclical	-	8.7%
Consumer Defensive	-	2.0%
Energy	-	3.1%
Healthcare	-	2.7%
Industrials	-	4.8%
Technology	-	32.1%
Utilities	-	2.1%

Return for Risk

USRT vs. SCHE — Risk / Return Rank

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

USRT

USRT Risk / Return Rank: 38
USRT Sharpe Ratio Rank: 36
USRT Sortino Ratio Rank: 34
USRT Omega Ratio Rank: 34
USRT Calmar Ratio Rank: 43
USRT Martin Ratio Rank: 43

SCHE

SCHE Risk / Return Rank: 47
SCHE Sharpe Ratio Rank: 45
SCHE Sortino Ratio Rank: 45
SCHE Omega Ratio Rank: 48
SCHE Calmar Ratio Rank: 47
SCHE Martin Ratio Rank: 50

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.

USRT vs. SCHE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core U.S. REIT ETF (USRT) and Schwab Emerging Markets Equity ETF (SCHE). 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.

	USRT	SCHE	Difference
Sharpe ratio: Return per unit of total volatility	1.18	1.44	-0.26
Sortino ratio: Return per unit of downside risk	1.66	2.01	-0.35
Omega ratio: Gain probability vs. loss probability	1.21	1.27	-0.06
Calmar ratio: Return relative to maximum drawdown	1.96	2.13	-0.17
Martin ratio: Return relative to average drawdown	6.30	7.61	-1.30
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

USRT vs. SCHE - Sharpe Ratio Comparison

The current USRT Sharpe Ratio is 1.18, which is comparable to the SCHE Sharpe Ratio of 1.44. The chart below compares the historical Sharpe Ratios of USRT and SCHE, 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

	USRT	SCHE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.18	1.44	-0.26
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.24	0.25	-0.02
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.30	0.44	-0.15
Sharpe Ratio (All Time) Calculated using the full available price history	0.18	0.24	-0.05

Drawdowns

USRT vs. SCHE - Drawdown Comparison

The maximum USRT drawdown since its inception was -69.91%, which is greater than SCHE's maximum drawdown of -36.20%. Use the drawdown chart below to compare losses from any high point for USRT and SCHE.

Drawdown Indicators

	USRT	SCHE	Difference
Max Drawdown Largest peak-to-trough decline	-69.91%	-36.20%	-33.71%
Max Drawdown (1Y) Largest decline over 1 year	-8.04%	-11.29%	+3.25%
Max Drawdown (3Y) Largest decline over 3 years	-18.70%	-17.08%	-1.62%
Max Drawdown (5Y) Largest decline over 5 years	-31.03%	-33.37%	+2.34%
Max Drawdown (10Y) Largest decline over 10 years	-44.38%	-36.20%	-8.18%
Current Drawdown Current decline from peak	-1.94%	-4.73%	+2.79%
Average Drawdown Average peak-to-trough decline	-12.96%	-12.59%	-0.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.49%	3.16%	-0.67%

Volatility

USRT vs. SCHE - Volatility Comparison

The current volatility for iShares Core U.S. REIT ETF (USRT) is 4.08%, while Schwab Emerging Markets Equity ETF (SCHE) has a volatility of 6.60%. This indicates that USRT experiences smaller price fluctuations and is considered to be less risky than SCHE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USRT	SCHE	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.08%	6.60%	-2.52%
Volatility (6M) Calculated over the trailing 6-month period	9.43%	14.24%	-4.81%
Volatility (1Y) Calculated over the trailing 1-year period	13.40%	16.80%	-3.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.90%	17.76%	+1.14%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.29%	19.50%	+1.79%

USRT vs. SCHE - Expense Ratio Comparison

USRT has a 0.08% expense ratio, which is lower than SCHE's 0.11% 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

USRT vs. SCHE - Dividend Comparison

USRT's dividend yield for the trailing twelve months is around 2.65%, which matches SCHE's 2.66% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHE Schwab Emerging Markets Equity ETF	2.66%	2.88%	3.03%	3.83%	2.88%	2.86%	2.09%	3.27%	2.64%	2.31%	2.27%	2.50%
USRT iShares Core U.S. REIT ETF	2.65%	3.07%	2.85%	3.18%	3.46%	2.27%	3.12%	3.34%	5.66%	3.44%	3.98%	3.59%

Frequently Asked Questions

Can I hold both USRT and SCHE in my portfolio?

USRT and SCHE have a correlation of 0.27, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, USRT or SCHE?

SCHE has higher volatility (6.60%) compared to USRT (4.08%). In terms of maximum drawdown, USRT dropped -69.91% vs SCHE's -36.20%.

Which ETF is better, USRT or SCHE?

On 10-year performance, SCHE leads with 8.59% vs 6.28% for USRT. On fees, USRT is cheaper at 0.08% per year. On volatility, USRT has been the lower-risk option at 4.08%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USRT or SCHE?

Over the 10-year period, SCHE has performed better with a 8.59% return vs 6.28%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USRT or SCHE?

USRT is cheaper with a 0.08% expense ratio, compared with 0.11% for SCHE.

Which ETF pays a higher dividend yield, USRT or SCHE?

USRT and SCHE have nearly identical dividend yields, around 2.65%.

What is the main difference between USRT and SCHE?

USRT is categorized as REIT, while SCHE is Emerging Markets Equities. USRT tracks FTSE NAREIT Equity REITs Index, while SCHE tracks FTSE Emerging Index. They also come from different issuers: iShares and Charles Schwab. Their fees differ too: 0.08% for USRT and 0.11% for SCHE.

Which has better risk-adjusted returns?

SCHE currently has the higher Sharpe Ratio (1.44 vs 1.18), 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.