ZWH.TO vs. SCHD

Last updated Jun 4, 2026

ZWH.TO (BMO US High Dividend Covered Call ETF) and SCHD (Schwab U.S. Dividend Equity ETF) are both exchange-traded funds - ZWH.TO is a Derivative Income fund actively managed by BMO, while SCHD is a Dividend fund tracking the Dow Jones U.S. Dividend 100 Index. ZWH.TO is actively managed, while SCHD is passively managed. Over the past 10 years, ZWH.TO returned 9.87%/yr vs 13.54%/yr for SCHD. Their correlation of 0.85 suggests significant overlap in exposure. ZWH.TO charges 0.65%/yr vs 0.06%/yr for SCHD.

Performance

ZWH.TO vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO US High Dividend Covered Call ETF (ZWH.TO) and Schwab U.S. Dividend Equity ETF (SCHD). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

ZWH.TO is traded in CAD, while SCHD is traded in USD. To make them comparable, the SCHD values have been converted to CAD using the latest available exchange rates.

Returns By Period

In the year-to-date period, ZWH.TO achieves a 13.86% return, which is significantly lower than SCHD's 20.03% return. Over the past 10 years, ZWH.TO has underperformed SCHD with an annualized return of 9.87%, while SCHD has yielded a comparatively higher 13.54% annualized return.

ZWH.TO

• 1D: 0.66%
• 1M: 7.97%
• YTD: 13.86%
• 6M: 11.86%
• 1Y: 27.24%
• 3Y*: 14.93%
• 5Y*: 11.42%
• 10Y*: 9.87%

SCHD

• 1D: 0.00%
• 1M: 4.32%
• YTD: 20.03%
• 6M: 17.69%
• 1Y: 28.28%
• 3Y*: 16.27%
• 5Y*: 11.36%
• 10Y*: 13.54%

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

ZWH.TO vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ZWH.TO BMO US High Dividend Covered Call ETF	13.86%	6.40%	19.30%	5.04%	-0.57%	24.20%	0.19%	17.18%	0.10%	5.95%
SCHD Schwab U.S. Dividend Equity ETF	20.52%	-0.44%	21.25%	2.24%	3.64%	28.70%	13.08%	21.03%	2.45%	13.15%

Correlation

The correlation between ZWH.TO and SCHD is 0.76, 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	0.76
Correlation (3Y) Calculated over the trailing 3-year period	0.80
Correlation (5Y) Calculated over the trailing 5-year period	0.84
Correlation (10Y) Calculated over the trailing 10-year period	0.85
Correlation (All Time) Calculated using the full available price history since Feb 18, 2014	0.85

The correlation between ZWH.TO and SCHD has been stable across timeframes, ranging from 0.76 to 0.85 - a consistent structural relationship.

ZWH.TO vs. SCHD - Sectors Allocation Comparison

Sectors	ZWH.TO	SCHD
Technology	28.4%	16.4%
Healthcare	12.6%	18.8%
Financial Services	12.0%	9.3%
Consumer Defensive	9.4%	19.2%
Energy	9.0%	16.2%
Utilities	6.5%	0.0%
Communication Services	6.3%	6.3%
Consumer Cyclical	5.2%	6.3%
Industrials	4.7%	7.5%
Real Estate	4.2%	-
Basic Materials	1.7%	1.2%

Return for Risk

ZWH.TO vs. SCHD — Risk / Return Rank

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

ZWH.TO

ZWH.TO Risk / Return Rank: 85
ZWH.TO Sharpe Ratio Rank: 84
ZWH.TO Sortino Ratio Rank: 88
ZWH.TO Omega Ratio Rank: 83
ZWH.TO Calmar Ratio Rank: 86
ZWH.TO Martin Ratio Rank: 87

SCHD

SCHD Risk / Return Rank: 80
SCHD Sharpe Ratio Rank: 75
SCHD Sortino Ratio Rank: 84
SCHD Omega Ratio Rank: 73
SCHD Calmar Ratio Rank: 91
SCHD Martin Ratio Rank: 75

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.

ZWH.TO vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO US High Dividend Covered Call ETF (ZWH.TO) 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.

	ZWH.TO	SCHD	Difference
Sharpe ratio: Return per unit of total volatility	2.77	2.57	+0.20
Sortino ratio: Return per unit of downside risk	4.08	3.98	+0.10
Omega ratio: Gain probability vs. loss probability	1.51	1.47	+0.04
Calmar ratio: Return relative to maximum drawdown	4.81	6.61	-1.80
Martin ratio: Return relative to average drawdown	18.98	19.13	-0.15
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ZWH.TO vs. SCHD - Sharpe Ratio Comparison

The current ZWH.TO Sharpe Ratio is 2.77, which is comparable to the SCHD Sharpe Ratio of 2.57. The chart below compares the historical Sharpe Ratios of ZWH.TO 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.

Sharpe Ratios by Period

	ZWH.TO	SCHD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.77	2.57	+0.20
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.99	0.90	+0.08
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.67	0.90	-0.23
Sharpe Ratio (All Time) Calculated using the full available price history	0.80	1.12	-0.33

Drawdowns

ZWH.TO vs. SCHD - Drawdown Comparison

The maximum ZWH.TO drawdown since its inception was -34.01%, which is greater than SCHD's maximum drawdown of -26.93%. Use the drawdown chart below to compare losses from any high point for ZWH.TO and SCHD.

Drawdown Indicators

	ZWH.TO	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-34.01%	-26.93%	-7.08%
Max Drawdown (1Y) Largest decline over 1 year	-5.69%	-4.30%	-1.39%
Max Drawdown (3Y) Largest decline over 3 years	-15.59%	-15.30%	-0.29%
Max Drawdown (5Y) Largest decline over 5 years	-15.59%	-15.30%	-0.29%
Max Drawdown (10Y) Largest decline over 10 years	-34.01%	-26.93%	-7.08%
Current Drawdown Current decline from peak	0.00%	-1.22%	+1.22%
Average Drawdown Average peak-to-trough decline	-3.11%	-2.86%	-0.25%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.44%	1.48%	-0.04%

Volatility

ZWH.TO vs. SCHD - Volatility Comparison

BMO US High Dividend Covered Call ETF (ZWH.TO) has a higher volatility of 3.46% compared to Schwab U.S. Dividend Equity ETF (SCHD) at 2.63%. This indicates that ZWH.TO'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

	ZWH.TO	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.46%	2.63%	+0.83%
Volatility (6M) Calculated over the trailing 6-month period	7.66%	8.23%	-0.57%
Volatility (1Y) Calculated over the trailing 1-year period	9.91%	11.10%	-1.19%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	11.65%	12.63%	-0.98%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.84%	15.18%	-0.34%

ZWH.TO vs. SCHD - Expense Ratio Comparison

ZWH.TO has a 0.65% expense ratio, which is higher than SCHD's 0.06% expense ratio.

Dividends

ZWH.TO vs. SCHD - Dividend Comparison

ZWH.TO's dividend yield for the trailing twelve months is around 5.76%, more than SCHD's 3.26% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHD Schwab U.S. Dividend Equity ETF	3.26%	3.82%	3.64%	3.49%	3.39%	2.78%	3.16%	2.98%	3.06%	2.63%	2.89%	2.97%
ZWH.TO BMO US High Dividend Covered Call ETF	5.76%	6.22%	4.87%	5.71%	6.03%	5.64%	6.59%	5.97%	5.66%	5.46%	5.57%	5.31%

Frequently Asked Questions

Can I hold both ZWH.TO and SCHD in my portfolio?

ZWH.TO and SCHD have a correlation of 0.76, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ZWH.TO or SCHD?

On fees, SCHD is cheaper at 0.06% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ZWH.TO or SCHD?

SCHD is cheaper with a 0.06% expense ratio, compared with 0.65% for ZWH.TO.

What is the main difference between ZWH.TO and SCHD?

ZWH.TO is categorized as Derivative Income, while SCHD is Dividend. They also come from different issuers: BMO and Charles Schwab. Their fees differ too: 0.65% for ZWH.TO and 0.06% for SCHD.