ETF Versus

EFA vs SCHD

iShares MSCI EAFE ETF vs Schwab U.S. Dividend Equity ETF

Last updated: 2026-04-02

EFA iShares

iShares MSCI EAFE ETF (EFA) is an exchange-traded fund issued by iShares that provides exposure to equities in developed international markets outside the U.S.. It charges an above-average expense ratio of 0.32%. The fund offers an attractive dividend yield of 3.29%. Launched in 2001, the fund has a 25-year track record.

AUM: $69.1B ER: 0.32% Yield: 3.29% Since: Aug 14, 2001
SCHD Schwab

Schwab U.S. Dividend Equity ETF (SCHD) is an exchange-traded fund issued by Schwab that provides exposure to U.S. dividend-paying stocks selected for yield or dividend growth. It charges a low expense ratio of 0.06%. The fund offers an attractive dividend yield of 3.46%. Launched in 2011, the fund has a 15-year track record.

AUM: $83.9B ER: 0.06% Yield: 3.46% Since: Oct 20, 2011

Quick Verdict

SCHD is significantly cheaper at 0.06% vs 0.32% expense ratio, saving you approximately $512 per $10,000 invested over 10 years. Over the past year, EFA has significantly outperformed with a 20.5% return vs 9.5%.

Key Metrics

Metric EFA SCHD
Expense Ratio 0.32% 0.06%
Dividend Yield 3.3% 3.5%
Fund Family iShares Schwab
Category International Developed US Dividend

Performance Chart

Indexed to 100 at start (5-year comparison)

70 84 98 112 126 140 2021-04 2022-06 2023-09 2024-12 2026-04
EFA +26.5%
SCHD +23.3%

Performance Comparison

Period EFA SCHD Difference
1 Month -4.54% -4.24% -0.30%
3 Months +1.62% +10.03% -8.41%
6 Months +3.71% +11.31% -7.60%
YTD +1.62% +10.03% -8.41%
1 Year +20.48% +9.47% +11.01%
3 Years +36.79% +24.43% +12.36%
5 Years +26.46% +23.27% +3.19%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period EFA Fees SCHD Fees You Save
$10.000 10 years $631 $120 $512
$10.000 20 years $2.686 $515 $2.171
$10.000 30 years $8.571 $1.664 $6.907
$50.000 10 years $3.156 $598 $2.558
$50.000 30 years $42.854 $8.318 $34.535
$100.000 30 years $85.707 $16.637 $69.070

Risk Metrics

Based on 5 years of daily returns

Metric EFA SCHD
Annualized Volatility 16.6% 14.6%
Max Drawdown -32.4% -18.9%
Sharpe Ratio 0.10 0.05

Dividend Comparison

Metric EFA SCHD
Annual Dividend (per share) $3.25 $1.06
Dividend Yield 3.29% 3.46%
Distribution Frequency Semi-Annual or Annual Quarterly

Top Holdings

0 of top 10 holdings overlap (0% overlap in top holdings)

EFA Top Holdings

NameWeight
ASML Holding N.V.!ams/ASML2.54%
AstraZeneca PLC!lon/AZN1.46%
Novartis AG!swx/NOVN1.41%
Roche Holding AG!swx/ROP1.36%
HSBC Holdings plc!lon/HSBA1.36%
Shell plc!lon/SHEL1.31%
Nestlé S.A.!swx/NESN1.22%
Toyota Motor Corporation!tyo/72031.00%
Commonwealth Bank of Australia!asx/CBA0.99%
Mitsubishi UFJ Financial Group, Inc.!tyo/83060.95%

SCHD Top Holdings

NameWeight
Chevron CorporationCVX4.66%
ConocoPhillipsCOP4.33%
Merck & Co., Inc.MRK4.08%
Verizon Communications Inc.VZ4.03%
The Coca-Cola CompanyKO3.98%
Texas Instruments IncorporatedTXN3.86%
PepsiCo, Inc.PEP3.83%
Amgen Inc.AMGN3.78%
Abbott LaboratoriesABT3.78%
The Procter & Gamble CompanyPG3.70%

Which One Should You Choose?

Choose SCHD if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose EFA if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

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