ETF Versus

SCHD vs VWO

Schwab U.S. Dividend Equity ETF vs Vanguard Emerging Markets Stock Index Fund

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
VWO Vanguard

Vanguard Emerging Markets Stock Index Fund (VWO) is an exchange-traded fund issued by Vanguard that provides exposure to stocks in emerging market economies with higher growth potential. It charges a low expense ratio of 0.06%. The fund offers an attractive dividend yield of 2.76%. Launched in 2005, the fund has a 21-year track record.

AUM: $107.3B ER: 0.06% Yield: 2.76% Since: Mar 4, 2005

Quick Verdict

Over the past year, VWO has significantly outperformed with a 19.4% return vs 9.5%. Income investors may prefer SCHD for its higher yield (3.5% vs 2.8%).

Key Metrics

Metric SCHD VWO
Expense Ratio 0.06% 0.06%
Dividend Yield 3.5% 2.8%
Fund Family Schwab Vanguard
Category US Dividend Emerging Markets

Performance Chart

Indexed to 100 at start (5-year comparison)

65 78 91 104 117 130 2021-04 2022-06 2023-09 2024-12 2026-04
SCHD +23.3%
VWO +3.0%

Performance Comparison

Period SCHD VWO Difference
1 Month -4.24% -5.29% +1.05%
3 Months +10.03% -1.31% +11.34%
6 Months +11.31% -1.06% +12.37%
YTD +10.03% -1.31% +11.34%
1 Year +9.47% +19.38% -9.91%
3 Years +24.43% +33.62% -9.19%
5 Years +23.27% +3.00% +20.27%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period SCHD Fees VWO Fees You Save
$10.000 10 years $120 $120 $0
$10.000 20 years $515 $515 $0
$10.000 30 years $1.664 $1.664 $0
$50.000 10 years $598 $598 $0
$50.000 30 years $8.318 $8.318 $0
$100.000 30 years $16.637 $16.637 $0

Risk Metrics

Based on 5 years of daily returns

Metric SCHD VWO
Annualized Volatility 14.6% 17.3%
Max Drawdown -18.9% -35.9%
Sharpe Ratio 0.05 -0.14

Dividend Comparison

Metric SCHD VWO
Annual Dividend (per share) $1.06 $1.45
Dividend Yield 3.46% 2.68%
Distribution Frequency Quarterly Quarterly

Top Holdings

0 of top 8 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%

VWO Top Holdings

NameWeight
Taiwan Semiconductor Manufacturing Company Limited!tpe/233012.71%
Tencent Holdings Limited!hkg/07003.44%
Alibaba Group Holding Limited!hkg/99882.74%
HDFC Bank Limited!nse/HDFCBANK0.93%
Reliance Industries Limited!nse/RELIANCE0.88%
Hon Hai Precision Industry Co., Ltd.!tpe/23170.78%
MediaTek Inc.!tpe/24540.76%
China Construction Bank Corporation!hkg/09390.75%

Which One Should You Choose?

Choose VWO 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.

Related Comparisons