HWSM vs SCHD
Hotchkis & Wiley SMID Cap Diversified Value Fund ETF vs Schwab US Dividend Equity ETF
Which is better, HWSM or SCHD?
Mid Cap Value against Large Cap Value.
SCHD has a lower expense ratio. SCHD led over 1Y and the full window. HWSM is less concentrated, with 14.7% of the fund in its ten largest positions against 41.6%.
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 | HWSM | SCHD |
|---|---|---|
| Expense Ratio | 0.55% | 0.06%Best |
| AUM | $3M | $111.6B |
| Dividend Yield | 1.22% | 3.24% |
| Holdings | 332 | 206 |
| YTD Return | +10.33% | +24.55%Best |
| 1Y Return | +14.89% | +29.85%Best |
| 3Y Return (annualized) | - | +16.64% |
| 5Y Return (annualized) | - | +9.54% |
| Volatility (annualized) | 13.1%Best | 14.7% |
| Max Drawdown | -15.7% | -13.0%Best |
| $10,000 over 1.5 years | $12,363 | $12,646Best |
| Top 10 Weight | 14.7%Best | 41.6% |
| Fund Family | Hotchkis & Wiley Funds | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Mid Cap Value | Large Cap Value |
| Inception | Mar 31, 2025 | Oct 20, 2011 |
Volatility and max drawdown, and the $10,000 over 1.5 years row, are measured over the window both funds cover: Mar 31, 2025 to Oct 14, 2026 (1.5 years).
HWSM 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 1.5 years both funds cover.
HWSM vs SCHD Performance
Hotchkis & Wiley SMID Cap Diversified Value Fund ETF (HWSM) is an ETF from Hotchkis & Wiley Funds and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year HWSM returned +14.89% while SCHD returned +29.85%. Year to date, HWSM is up 10.33% versus a gain of 24.55% for SCHD.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SCHD has been the more volatile fund, with annualized monthly volatility of 14.7% compared with 13.1% for HWSM. 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 -15.7% for HWSM and -13.0% 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 0.80. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
HWSM charges 0.55% per year while SCHD charges 0.06%. On a $10,000 position that is $55 vs $6 annually, a gap of $49 per year that compounds over a long holding period. On income, HWSM currently yields 1.22% against 3.24% for SCHD.
Holdings Overlap
5.7% of HWSM's money is in holdings SCHD also owns. 1.7% of SCHD's money is in holdings HWSM also owns.
HWSM and SCHD share little of their money.
10 positions in common, counted across the 174 positions we hold weights for in HWSM and 98 in SCHD, against full books of 332 and 206.
What only one of them owns
Our book lists 87 positions for SCHD that do not appear in our book for HWSM (98.0% of the fund), and 161 for HWSM that do not appear in SCHD (92.3%).
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 HWSM | Weight in SCHD | Difference |
|---|---|---|---|
| APAApa Corp | 1.50% | 0.39% | 1.11% |
| FNFFidelity Nationa | 0.56% | 0.26% | 0.30% |
| BAHBooz Allen Hamilton Holding Corp. | 0.55% | 0.21% | 0.34% |
| FHIFederated Investors Inc. | 0.62% | 0.10% | 0.52% |
| COLBColumbia Banking System Inc Common Stock | 0.40% | 0.21% | 0.19% |
| MSMMsc Industrial Direct Co Inc | 0.44% | 0.15% | 0.29% |
| MURMurphy Oil Corp | 0.42% | 0.13% | 0.29% |
| RHIRobert Half International Inc. | 0.42% | 0.09% | 0.33% |
| MTNVail Resorts Inc. | 0.38% | 0.13% | 0.25% |
| APAMArtisan Partners Asset Management, Inc. | 0.40% | 0.06% | 0.34% |
You are not choosing between two funds in isolation.
Whichever of HWSM and SCHD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, HWSM or SCHD?
HWSM has an expense ratio of 0.55% while SCHD charges 0.06%. SCHD is the cheaper option, by $49 a year on a $10,000 investment.
Which performed better, HWSM or SCHD?
Over the past year HWSM returned +14.89% vs +29.85% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (2 years), HWSM annualized +15.19% vs +16.94% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HWSM or SCHD?
SCHD has been the more volatile fund at 14.7% annualized versus 13.1% for HWSM. Worst drawdown: HWSM -15.7% vs SCHD -13.0%.
Should I hold both HWSM and SCHD?
HWSM and SCHD have a monthly-return correlation of 0.80, 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 HWSM and SCHD?
5.7% of HWSM's money is in holdings SCHD also owns. 1.7% of SCHD's is in holdings HWSM also owns. They hold 10 positions in common, counted across the 174 positions we hold weights for in HWSM and 98 in SCHD.
Which pays a higher dividend, HWSM or SCHD?
HWSM yields 1.22% while SCHD yields 3.24%, so SCHD currently pays the higher dividend yield.
Is SCHD better than HWSM?
SCHD has a lower expense ratio. SCHD led over 1Y and the full window. HWSM is less concentrated, with 14.7% of the fund in its ten largest positions against 41.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.