ETF Versus

SCHA vs VB

Schwab U.S. Small-Cap ETF vs Vanguard Small-Cap Index Fund ETF Shares

Last updated: 2026-04-02

SCHA Schwab

Schwab U.S. Small-Cap ETF (SCHA) is an exchange-traded fund issued by Schwab that provides exposure to small-cap U.S. equities with higher growth potential and volatility. It charges a very low expense ratio of 0.04%. The fund offers a moderate dividend yield of 1.16%. Launched in 2009, the fund has a 17-year track record.

AUM: $19.4B ER: 0.04% Yield: 1.16% Since: Nov 3, 2009
VB Vanguard

Vanguard Small-Cap Index Fund ETF Shares (VB) is an exchange-traded fund issued by Vanguard that provides exposure to small-cap U.S. equities with higher growth potential and volatility. It charges a very low expense ratio of 0.03%. The fund offers a moderate dividend yield of 1.33%. Launched in 2004, the fund has a 22-year track record.

AUM: $69.1B ER: 0.03% Yield: 1.33% Since: Jan 26, 2004

Quick Verdict

Both funds have nearly identical expense ratios (0.03% vs 0.04%), so fees are not a differentiator here. Over the past year, SCHA has significantly outperformed with a 25.0% return vs 18.4%.

Key Metrics

Metric SCHA VB
Expense Ratio 0.04% 0.03%
Dividend Yield 1.2% 1.3%
Fund Family Schwab Vanguard
Category US Small Cap US Small Cap

Performance Chart

Indexed to 100 at start (5-year comparison)

75 86 97 108 119 130 2021-04 2022-06 2023-09 2024-12 2026-04
SCHA +15.6%
VB +20.7%

Performance Comparison

Period SCHA VB Difference
1 Month -4.46% -5.50% +1.04%
3 Months +1.91% +0.71% +1.20%
6 Months +3.86% +2.15% +1.71%
YTD +1.91% +0.71% +1.20%
1 Year +25.00% +18.40% +6.60%
3 Years +40.06% +39.02% +1.04%
5 Years +15.59% +20.71% -5.12%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period SCHA Fees VB Fees You Save
$10.000 10 years $80 $60 $20
$10.000 20 years $344 $258 $86
$10.000 30 years $1.112 $835 $277
$50.000 10 years $399 $299 $100
$50.000 30 years $5.560 $4.176 $1.385
$100.000 30 years $11.121 $8.352 $2.769

Risk Metrics

Based on 5 years of daily returns

Metric SCHA VB
Annualized Volatility 22.0% 20.8%
Max Drawdown -31.6% -28.8%
Sharpe Ratio 0.04 0.07

Dividend Comparison

Metric SCHA VB
Annual Dividend (per share) $0.34 $3.50
Dividend Yield 1.16% 1.33%
Distribution Frequency Quarterly Quarterly

Top Holdings

2 of top 9 holdings overlap (22% overlap in top holdings)

SCHA Top Holdings

NameWeight
Sandisk CorporationSNDK2.27%
Lumentum Holdings Inc.LITE1.25%
ATI Inc.ATI0.48%
Nextpower Inc.NXT0.44%
Coeur Mining, Inc.CDE0.44%
Revolution Medicines, Inc.RVMD0.42%
EchoStar CorporationSATS0.39%
MKS Inc.MKSI0.37%
MACOM Technology Solutions Holdings, Inc.MTSI0.36%
The New York Times CompanyNYT0.33%

VB Top Holdings

NameWeight
Sandisk CorporationSNDK1.21%
Comfort Systems USA, Inc.FIX0.65%
Lumentum Holdings Inc.LITE0.64%
Ciena CorporationCIEN0.64%
Coherent Corp.COHR0.53%
Rocket Lab CorporationRKLB0.48%
NRG Energy, Inc.NRG0.44%
Bloom Energy CorporationBE0.43%
EMCOR Group, Inc.EME0.42%

Which One Should You Choose?

Choose SCHA if...

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

Either works if...

you just need broad us small cap exposure. Both are solid options — pick whichever your brokerage offers commission-free.

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