HCMT vs SCHD
Direxion HCM Tactical Enhanced US ETF vs Schwab US Dividend Equity ETF
Which is better, HCMT or SCHD?
Large Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. HCMT led over 3Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.6% of the fund in its ten largest positions against 47.2%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | HCMT | SCHD |
|---|---|---|
| Expense Ratio | 1.18% | 0.06%Best |
| AUM | $629M | $111.6B |
| Dividend Yield | 0.47% | 3.24% |
| Holdings | 1,018 | 206 |
| YTD Return | +9.63% | +24.55%Best |
| 1Y Return | +14.08% | +29.85%Best |
| 3Y Return (annualized) | +20.78%Best | +16.64% |
| 5Y Return (annualized) | - | +9.54% |
| Volatility (annualized) | 24.1% | 13.6%Best |
| Max Drawdown | -36.3% | -16.1%Best |
| $10,000 over 3.3 years | $17,267Best | $15,910 |
| Top 10 Weight | 47.2% | 41.6%Best |
| Fund Family | Direxion Shares ETF Trust | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Jun 22, 2023 | Oct 20, 2011 |
Volatility and max drawdown, and the $10,000 over 3.3 years row, are measured over the window both funds cover: Jun 22, 2023 to Oct 14, 2026 (3.3 years).
HCMT vs SCHD growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 3.3 years both funds cover.
HCMT vs SCHD Performance
Direxion HCM Tactical Enhanced US ETF (HCMT) is an ETF from Direxion Shares ETF Trust and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year HCMT returned +14.08% while SCHD returned +29.85%. Year to date, HCMT is up 9.63% versus a gain of 24.55% for SCHD.
Over three years, HCMT compounded at +20.78% per year against +16.64% for SCHD.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
HCMT has been the more volatile fund, with annualized monthly volatility of 24.1% compared with 13.6% for SCHD. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -36.3% for HCMT and -16.1% for SCHD. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.35. They move together some of the time, and apart the rest.
Fees and Cost Over Time
HCMT charges 1.18% per year while SCHD charges 0.06%. On a $10,000 position that is $118 vs $6 annually, a gap of $112 per year that compounds over a long holding period. On income, HCMT currently yields 0.47% against 3.24% for SCHD.
Holdings Overlap
6.2% of HCMT's money is in holdings SCHD also owns. 90.1% of SCHD's money is in holdings HCMT also owns.
Most of SCHD is already inside HCMT. Owning both mostly buys the same companies twice.
42 positions in common, counted across the 506 positions we hold weights for in HCMT and 98 in SCHD, against full books of 1,018 and 206.
What only one of them owns
Our book lists 55 positions for SCHD that do not appear in our book for HCMT (9.7% of the fund), and 439 for HCMT that do not appear in SCHD (91.8%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in HCMT | Weight in SCHD | Difference |
|---|---|---|---|
| TXNTexas Instrument Inc | 0.29% | 4.89% | 4.60% |
| QCOMQualcomm Inc. | 0.23% | 4.61% | 4.38% |
| CVXChevron Corp | 0.49% | 4.14% | 3.65% |
| PGProcter & Gamble Company | 0.42% | 4.16% | 3.74% |
| KOCoca Cola Co. | 0.42% | 4.12% | 3.70% |
| MRKMerck & Company Inc | 0.44% | 4.04% | 3.60% |
| UNHUnitedhealth Group Incorporated | 0.43% | 3.95% | 3.52% |
| HDHome Depot Inc/The | 0.38% | 3.77% | 3.39% |
| VZVerizon Communic | 0.26% | 3.88% | 3.62% |
| COPConocophillips Common Stock USD 0.01 | 0.20% | 3.91% | 3.71% |
90.1% of SCHD is already inside HCMT.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, HCMT or SCHD?
HCMT has an expense ratio of 1.18% while SCHD charges 0.06%. SCHD is the cheaper option, by $112 a year on a $10,000 investment.
Which performed better, HCMT or SCHD?
Over the past year HCMT returned +14.08% vs +29.85% for SCHD, so SCHD leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HCMT or SCHD?
HCMT has been the more volatile fund at 24.1% annualized versus 13.6% for SCHD. Worst drawdown: HCMT -36.3% vs SCHD -16.1%.
Should I hold both HCMT and SCHD?
HCMT and SCHD have a monthly-return correlation of 0.35, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between HCMT and SCHD?
90.1% of SCHD's money is in holdings HCMT also owns. 90.1% of SCHD's is in holdings HCMT also owns. They hold 42 positions in common, counted across the 506 positions we hold weights for in HCMT and 98 in SCHD.
Which pays a higher dividend, HCMT or SCHD?
HCMT yields 0.47% while SCHD yields 3.24%, so SCHD currently pays the higher dividend yield.
Is SCHD better than HCMT?
SCHD has a lower expense ratio. HCMT led over 3Y and the full window, SCHD over 1Y. SCHD is less concentrated, with 41.6% of the fund in its ten largest positions against 47.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.