Should I invest in SCHD or VOO? (2024)

Should I invest in SCHD or VOO?

SCHD - Performance Comparison. In the year-to-date period, VOO achieves a 4.87% return, which is significantly higher than SCHD's 1.23% return. Over the past 10 years, VOO has outperformed SCHD with an annualized return of 12.84%, while SCHD has yielded a comparatively lower 11.66% annualized return.

Should I invest in SCHD and VOO?

If you want to optimize for dividends and share growth, SCHD would be a good choice for you. If you want to optimize for share growth from the overall U.S. stock market, VOO would be a better choice for you. There may even be room to add exposure to both, depending on how you want to build out your portfolio.

What ETF is better than SCHD?

SPHD: Which Dividend ETF is Better? The Schwab U.S. Dividend Equity ETF (NYSEARCA:SCHD) and the Invesco S&P 500 High Dividend Low Volatility ETF (NYSEARCA:SPHD) are two popular dividend ETFs from leading asset managers. With a dividend yield of 4.5%, SPHD's yield is higher than SCHD's dividend yield of 3.5%.

Is SCHD still a good investment 2023?

Gold-rated Schwab U.S. Dividend Equity ETF, ticker SCHD, is one such ETF that's turned in a subpar year. Its negative 1.6% return over the first 11 months of 2023 left a lot to be desired when the broader U.S. market was up almost 20% over the same period. The reason why isn't too hard to understand.

Should I invest in SCHD?

Schwab U.S. Dividend Equity ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, SCHD is a reasonable option for those seeking exposure to the Style Box - Large Cap Value area of the market.

Why is SCHD so popular?

The biggest driver of investor interest has been its strong and consistent track record. On an annual basis, almost like clockwork, SCHD has performed in the top 1/3 of its Morningstar category and had done so far a decade straight. That is, until 2023.

What is Vanguard equivalent of SCHD?

Overview
SCHDVYM
IndexDow Jones U.S. Dividend 100 IndexFTSE Custom High Dividend Yield
Index DescriptionView IndexView Index
Expense Ratio0.06%0.06%
IssuerCharles SchwabVanguard
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Is SCHD good for long term?

SCHD looks like an attractive investment for the year ahead and beyond. I continue to be bullish on the fund based on its strong long-term track record, attractive dividend yield, minuscule expense ratio, and compelling portfolio of blue-chip dividend stocks that offer a mix of yield and potential capital appreciation.

What is the most profitable ETF to invest in?

7 Best ETFs to Buy Now
ETFAssets under managementExpense ratio
Global X Uranium ETF (URA)$3 billion0.69%
KraneShares Global Carbon Strategy ETF (KRBN)$362 million0.79%
Global X Artificial Intelligence & Technology ETF (AIQ)$1.1 billion0.68%
iShares Core S&P 500 ETF (IVV)$424 billion0.03%
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Feb 2, 2024

Why is SCHD underperforming?

Investors are bidding up riskier assets on the belief that the economy is in good shape and will be yet for a while longer. That's put more defensive asset classes, such as dividend payers on the back burner. That has made SCHD not just an underperformer but a severe underperformer.

Is SCHD expected to go up?

Based on analyst ratings, SCHD's 12-month average price target is $82.78. What is SCHD's upside potential, based on the analysts' average price target? Currently there's no upside potential for SCHD, based on the analysts' average price target.

Is it smart to invest in VOO?

Should I buy or sell VOO ETF? Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for VOO ETF to perform well in the short-term.

Is SCHD overvalued?

Summary. Schwab's US Dividend Equity ETF (SCHD) has experienced poor performance, down over -4.45% in the past year. The popularity of dividend investing has caused dividend stocks to become overvalued, limiting SCHD's ability to find value.

Does VOO and SCHD overlap?

You can get quick but very clear view of how different the portfolios of SCHD and VOO are simply by looking at their respective top 10 holdings, which perhaps surprisingly for two US large cap ETFs, have ZERO overlap. The top 10 components of SCHD make up about 40% of the portfolio, while the top 10 of VOO make up 30%.

Does SCHD pay out monthly?

SCHD has a dividend yield of 3.45% and paid $2.66 per share in the past year. The dividend is paid every three months and the last ex-dividend date was Dec 6, 2023.

Should I buy SCHD or VYM?

SCHD price and total return (including dividends) has outperformed VYM over a ten-year investment horizon (see chart below). Past performance is not indicative of future returns. VYM is better diversified, while SCHD has more holdings concentration risk. VYM has four times as many holdings as SCHD.

Why is SCHD struggling?

Year to date, the fund has demonstrated a price & total return of -0.55% & -3.91% respectively. Needless to say, it's one of those tough years for SCHD driven by cyclical economic downward pressures like inflation and high interest rates.

Is SCHD high risk?

Schwab US Dividend Equity ETF™ Risk

Ratios above 1.00 indicate higher risk than average. Schwab US Dividend Equity ETF™ has a below average total risk index of 1.09 because of its standard deviation of 16.3%.

Why is SCHD the best ETF?

SCHD's long-term track record of double-digit annualized returns over many years also inspires confidence that this is still a good place to be in the long term. Lastly, SCHD's expense ratio of just 0.06% is extremely favorable for investors, making this a compelling ETF to own in 2024 and beyond.

What is Vanguard's best performing ETF?

Our pick for the best overall Vanguard ETF is Vanguard Total World Stock ETF. For a 0.07% expense ratio, Vanguard Total World Stock ETF offers a globally diversified exposure across over 9,500 stocks.

What is the best high dividend ETF?

Best high dividend ETFs of February 2024
  • Best high-dividend ETFs.
  • Vanguard High Dividend Yield ETF (VYM)
  • iShares Core High Dividend ETF (HDV)
  • Schwab U.S. Dividend Equity ETF (SCHD)
  • SPDR Portfolio S&P 500 High Dividend ETF (SPYD)
  • Vanguard International High Dividend Yield ETF (VYMI)
Feb 2, 2024

Which Vanguard ETF pays the highest dividend?

ETFs: ETF Database Realtime Ratings
Symbol SymbolETF Name ETF Name1 Year 1 Year
VIGVanguard Dividend Appreciation ETF14.50%
VYMVanguard High Dividend Yield Index ETF6.27%
VYMIVanguard International High Dividend Yield ETF8.23%
VIGIVanguard International Dividend Appreciation ETF10.11%
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Is SCHD tax advantaged?

Investors investing in taxable accounts argue that SCHD's dividends aren't taxed as harshly as the interest income from a Treasury. That is true, but a favorably taxed unrealized loss of over 2% does not compare well with a taxed gain over 4%.

What is the fastest growing ETF?

  • Best Growth ETFs.
  • Invesco QQQ Trust (QQQ)
  • Vanguard Growth ETF (VUG)
  • iShares Russell 1000 Growth ETF (IWF)
  • iShares S&P 500 Growth ETF (IVW)
  • Schwab U.S. Large-Cap Growth ETF (SCHG)
  • SPDR Portfolio S&P 500 Growth ETF (SPYG)
  • iShares Core S&P U.S. Growth ETF (IUSG)

What is the most aggressive ETF?

Aggressive ETF List
Symbol SymbolETF Name ETF NameDividend Date Dividend Date
AOAiShares Core Aggressive Allocation ETF2023-12-22
GMOMCambria Global Momentum ETF2023-12-22
EAOAiShares ESG Aware Aggressive Allocation ETF2023-12-22
EAORiShares ESG Aware Growth Allocation ETF2023-12-22
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