ETF Versus

SCHD vs VEA

Schwab U.S. Dividend Equity ETF vs Vanguard FTSE Developed Markets Index Fund ETF Shares

Last updated: 2026-04-02

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
VEA Vanguard

Vanguard FTSE Developed Markets Index Fund ETF Shares (VEA) is an exchange-traded fund issued by Vanguard that provides exposure to equities in developed international markets outside the U.S.. It charges a very low expense ratio of 0.03%. The fund offers an attractive dividend yield of 2.88%. Launched in 2007, the fund has a 19-year track record.

AUM: $198.8B ER: 0.03% Yield: 2.88% Since: Jul 20, 2007

Quick Verdict

VEA has a slightly lower expense ratio (0.03% vs 0.06%), saving about $60 per $10,000 over 10 years. Over the past year, VEA has significantly outperformed with a 27.7% return vs 9.5%. Income investors may prefer SCHD for its higher yield (3.5% vs 2.9%).

Key Metrics

Metric SCHD VEA
Expense Ratio 0.06% 0.03%
Dividend Yield 3.5% 2.9%
Fund Family Schwab Vanguard
Category US Dividend International Developed

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
SCHD +23.3%
VEA +29.0%

Performance Comparison

Period SCHD VEA Difference
1 Month -4.24% -5.61% +1.37%
3 Months +10.03% +3.07% +6.96%
6 Months +11.31% +6.68% +4.63%
YTD +10.03% +3.07% +6.96%
1 Year +9.47% +27.70% -18.23%
3 Years +24.43% +43.04% -18.61%
5 Years +23.27% +28.99% -5.72%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period SCHD Fees VEA Fees You Save
$10.000 10 years $120 $60 $60
$10.000 20 years $515 $258 $257
$10.000 30 years $1.664 $835 $828
$50.000 10 years $598 $299 $299
$50.000 30 years $8.318 $4.176 $4.142
$100.000 30 years $16.637 $8.352 $8.285

Risk Metrics

Based on 5 years of daily returns

Metric SCHD VEA
Annualized Volatility 14.6% 16.4%
Max Drawdown -18.9% -32.3%
Sharpe Ratio 0.05 0.12

Dividend Comparison

Metric SCHD VEA
Annual Dividend (per share) $1.06 $1.88
Dividend Yield 3.46% 2.88%
Distribution Frequency Quarterly Quarterly

Top Holdings

0 of top 9 holdings overlap (0% overlap in top holdings)

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%

VEA Top Holdings

NameWeight
Samsung Electronics Co., Ltd.!krx/0059302.18%
ASML Holding N.V.!ams/ASML1.77%
SK hynix Inc.!krx/0006601.24%
Roche Holding AGROC1.L1.03%
Novartis AG!swx/NOVN1.00%
HSBC Holdings plc!lon/HSBA0.99%
AstraZeneca PLC!lon/AZN0.98%
Nestlé S.A.!swx/NESN0.86%
Toyota Motor Corporation!tyo/72030.80%

Which One Should You Choose?

Choose VEA if...

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

Choose VEA if...

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

Choose SCHD if...

you prioritize dividend income and want higher regular distributions from your portfolio.

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