What does SCHD's quality screening look at?

SCHD's Dow Jones US Dividend 100 Index requires US stocks to: (1) have paid dividends for 10+ consecutive years, (2) have a minimum 3-month average daily volume of $2M, (3) screen on four quality factors: cash flow to total debt (financial health), return on equity (profitability efficiency), dividend yield (income generation), and 5-year dividend growth rate (income trajectory). These four factors are equally weighted. Stocks scoring highest on the combined quality composite are selected. This process eliminates companies with unsustainable dividends, high leverage, or poor profitability — reducing dividend cut risk.

How has SCHD performed vs the S&P 500 long-term?

SCHD has generally kept pace with or slightly trailed the S&P 500 in pure total return terms since inception in 2011, but with lower volatility and significantly higher income. SCHD underperforms meaningfully in technology-led bull markets (2020, 2023) because its quality/value/dividend screening excludes high-growth non-dividend-paying technology stocks. SCHD outperforms in value cycles and bear markets due to its defensive, established-business composition. Many investors hold SCHD alongside a growth ETF (VTI, QQQ) rather than as a complete market replacement — using SCHD for income generation while capturing growth elsewhere.

Can I live off SCHD dividends in retirement?

SCHD's 3-4% current yield plus 10-15% annual dividend growth makes it a compelling retirement income vehicle over time. For a $1M SCHD position yielding 3.5% today, that's $35,000/year in dividends. If dividends grow at 10% annually, that $35,000 becomes $90,000/year after 10 years without selling any shares. For retirees with sufficient assets, SCHD's dividend growth can provide inflation-beating income growth. However, SCHD alone with a 3-4% starting yield may be insufficient for early retirees needing more immediate cash flow — combining SCHD with JEPI, bonds, or other income sources creates a more robust retirement income system.

brimindinvest.com / compare / pdiv-vs-schdLIVE

FDVV

Fidelity High Dividend ETF · ETF / High Dividend Equity

$60.59

+2.90% this month

VERSUS

⟷

COMPARE

SCHD

Schwab US Dividend Equity ETF · ETF / Dividend Quality

$31.86

-0.75% this month

Scoreboard verdict

Across expense ratio, momentum, yield, fund size, risk

FDVV

0

SCHD

5

SCHD LEADS 5/5

Comparison scoreboard

SCHD LEADS 5/5

Exp. Ratio

FDVV 0.15%

SCHD ✓0.06%

1Y Return

FDVV +23.20%

SCHD ✓+24.21%

Div. Yield

FDVV 2.69%

SCHD ✓3.25%

AUM

FDVV $9.77B

SCHD ✓$94.95B

Beta

FDVV 0.89

SCHD ✓0.71

Metrics last refreshed: 6/20/2026

Quick take

FDVV vs SCHD Stock Comparison: AI Score, Valuation, Performance and Upside

FDVV and SCHD are both dividend ETFs with quality screens but different emphasis. FDVV prioritizes higher current yield (3.5-4.5%) with international diversification at 0.15%. SCHD prioritizes dividend quality and growth (10+ consecutive payment years, strict quality factors) at 0.06% — the cheapest major dividend ETF. Over long horizons, SCHD's dividend growth compounds income faster; in the near term, FDVV provides more current income.

FDVV vs SCHD — Fidelity High Dividend ETF (higher-yield US and international dividend stocks at 0.15%, prioritizing current income with quality screens) versus Schwab US Dividend Equity ETF (100 highest-quality US dividend payers with 10+ consecutive payment years, strict quality factors, and 10-15% annual dividend growth at 0.06%).

Live analysis · updated 6/20/2026

SCHD holds the edge across 5 of 5 key metrics in this comparison. SCHD has delivered stronger 1-year price return (+24.21% vs +23.20% for FDVV).

Normalized 1Y performance

FDVV

SCHD

Recent returns

FDVV

SCHD

Who should consider this stock?

FDVV may suit investors who:

→want maximum near-term dividend income — FDVV's higher yield provides more immediate cash flow than SCHD's quality-focused lower starting yield
→value international dividend diversification — FDVV's global approach adds geographic diversification absent from SCHD's US-only portfolio
→are comfortable with slightly looser quality screening in exchange for higher current yield and 0.15% competitive expense ratio
→have shorter investment horizons where near-term income exceeds the compounding benefit of SCHD's dividend growth

SCHD may suit investors who:

→prioritize dividend quality and growth over near-term yield — SCHD's strict screening minimizes dividend cut risk and 10-15% annual dividend growth builds income substantially over time
→are long-term investors where SCHD's income on original cost basis dramatically exceeds FDVV's after 10+ years of dividend growth compounding
→value the 0.06% expense ratio — one of the absolute cheapest ETFs available, maximizing the percentage of dividend income retained by investors
→want US-focused dividend exposure from established quality companies without currency or international regulatory risk

Performance & AI score

Metric	FDVV	SCHD
ETF score	73.0	81.0
Latest close	$60.59	$31.86
1M return	+2.90%	-0.75%
6M return	+9.75%	+16.41%
1Y return	+23.20%	+24.21%

$10,000 invested — hypothetical growth (dividends reinvested)

How much would $10,000 be worth today if invested at the start of each period, with all dividends reinvested?

Period	FDVV	SCHD
1Y ago	$12.82K (+28.2%) started 2025-06-18	$12.91K (+29.1%) started 2025-06-18
5Y ago	$23.6K (+136.0%) started 2021-06-18	$18.74K (+87.4%) started 2021-06-18
10Y ago	$51.75K (+417.5%) started 2016-09-15	$48.13K (+381.3%) started 2016-06-20

Hypothetical — past performance does not guarantee future results.

Fund characteristics

Metric	FDVV	SCHD
Expense ratio	0.15%	0.06%
Total assets (AUM)	$9.77B	$94.95B
Dividend yield	2.69%	3.25%
Trailing P/E	18.95	18.78
Beta	0.89	0.71
52-week change	23.20%	24.21%

Risk & fund metrics

Metric	FDVV	SCHD
1Y return	+23.20%	+24.21%
6M return	+9.75%	+16.41%
1M return	+2.90%	-0.75%
1Y Sharpe ratio	1.67	1.62
Beta	0.89	0.71
Dividend yield	2.69%	3.25%
5Y CAGR	+14.31%	+9.07%

Drawdown & downside risk

Lower drawdown and smaller single-period drops generally indicate a smoother ride, though they do not guarantee lower future risk.

1Y risk snapshot

FDVV max drawdown9.30%

SCHD max drawdown4.61%

FDVV max wkly drop2.76%

SCHD max wkly drop3.44%

5Y risk snapshot

FDVV max drawdown20.18%

SCHD max drawdown16.84%

FDVV max wkly drop12.08%

SCHD max wkly drop12.74%

10Y risk snapshot

FDVV max drawdown40.25%

SCHD max drawdown33.37%

FDVV max wkly drop22.29%

SCHD max wkly drop18.00%

Performance metrics by period

Period	Metric	FDVV	SCHD
1Y	Growth	+23.20%	+24.21%
	CAGR	+23.22%	+24.23%
	Sharpe ratio	1.67	1.62
	Max drawdown	9.30%	4.61%
	Max daily drop	1.80%	1.84%
	Max wkly drop	2.76%	3.44%
5Y	Growth	+95.16%	+54.34%
	CAGR	+14.31%	+9.07%
	Sharpe ratio	0.68	0.37
	Max drawdown	20.18%	16.84%
	Max daily drop	5.81%	5.42%
	Max wkly drop	12.08%	12.74%
10Y	Growth	+241.32%	+224.07%
	CAGR	+13.41%	+12.49%
	Sharpe ratio	0.56	0.52
	Max drawdown	40.25%	33.37%
	Max daily drop	11.23%	9.95%
	Max wkly drop	22.29%	18.00%

Fund overview

Category	FDVV	SCHD
Fund name	Fidelity High Dividend ETF	Schwab U.S. Dividend Equity ETF
Type	ETF	ETF
Expense ratio	0.15%	0.06%
Total assets (AUM)	$9.77B	$94.95B
Dividend yield	2.69%	3.25%

FDVV strengths

→Higher dividend yield than SCHD: FDVV's yield emphasis typically delivers 3.5-4.5% vs SCHD's 3-4% — providing more current income for income-first investors
→International diversification: FDVV includes international stocks unlike SCHD's US-only focus — broader geographic diversification
→0.15% expense ratio with quality screening: very competitive for an actively-screened high dividend ETF

SCHD strengths

→Strictest quality screening of any major dividend ETF: 10+ consecutive dividend years + quality factor screening eliminates dividend cutters — SCHD has extremely low historical dividend cut rate among holdings
→Highest dividend growth rate among major dividend ETFs: SCHD's quality holdings grow dividends 10-15% annually — income on original cost basis grows dramatically over 10+ years
→0.06% expense ratio: SCHD is one of the cheapest ETFs available — almost no fee drag on long-term compounding

Risks to watch — FDVV

→Less rigorous quality screening than SCHD: FDVV's yield emphasis may result in holding some lower-quality companies that SCHD's stricter quality filters exclude
→Lower dividend growth rate than SCHD: high-yield companies tend to grow dividends more slowly than dividend growth companies — FDVV's income may grow slower over time
→International currency and regulatory risk: FDVV's international holdings add foreign currency fluctuation and non-US regulatory risks

Risks to watch — SCHD

→US-only exposure: SCHD holds only US stocks — no international diversification vs FDVV's global approach
→Lower current yield than FDVV: SCHD's emphasis on quality and growth over yield means slightly lower near-term yield (3-4%) vs FDVV's yield-focused higher income
→Large-cap value tilt may lag in technology-led bull markets: SCHD's quality screening favors established dividend payers — less technology sector exposure means relative underperformance in strong tech-led rallies

Frequently asked questions

Dividend growth investing focuses on companies that consistently increase their dividends over time rather than simply paying the highest current yield. A company yielding 3% but growing dividends 10% annually will yield 6% on original cost basis in 8 years — providing growing income without deploying additional capital. SCHD's strict 10+ consecutive dividend year requirement and quality screening specifically targets dividend growth companies. The compounding of income growth over 15-20 years often dramatically outpaces starting with a higher yield that doesn't grow (or gets cut).

AI Prediction SignalNext 5 trading days

Members only

FDVV

+2.8%BUY

SCHD

+1.1%HOLD

Start Free Trial Log in

ML model trained on historical prices · 14-day free trial · No credit card required

Free public comparison

Want deeper AI forecasts?

This comparison page is public and free forever. Subscribers can unlock saved watchlists, full AI rankings, detailed forecasts, and interactive analysis tools.

Start Free Trial Read Investing Guides

Related comparisons

SCHD vs VYM

Which Dividend ETF Is Better?

SCHD vs DGRO

Which Dividend Growth ETF Is Better?

JEPI vs SCHD

High Income vs Dividend Growth

VIG vs SCHD

Which Dividend Growth ETF Is Better?

SCHD vs JEPI

Dividend Growth vs Income-First ETF