IAK vs SCHD
iShares US Insurance ETF vs Schwab US Dividend Equity ETF
Which is better, IAK or SCHD?
All Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. IAK led over 5Y and the full window, SCHD over 1Y and 3Y. SCHD is less concentrated, with 41.6% of the fund in its ten largest positions against 66.8%.
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 | IAK | SCHD |
|---|---|---|
| Expense Ratio | 0.37% | 0.06%Best |
| AUM | $441M | $111.6B |
| Dividend Yield | 2.63% | 3.24% |
| Holdings | 140 | 206 |
| YTD Return | +7.53% | +24.55%Best |
| 1Y Return | +8.96% | +29.85%Best |
| 3Y Return (annualized) | +16.31% | +16.64%Best |
| 5Y Return (annualized) | +13.61%Best | +9.54% |
| Volatility (annualized) | 16.5% | 13.7%Best |
| Max Drawdown | -45.0% | -33.4%Best |
| $10,000 over 5 years | $18,927Best | $15,771 |
| Top 10 Weight | 66.8% | 41.6%Best |
| Fund Family | iShares by BlackRock (US) | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | All Cap Blend | Large Cap Value |
| Inception | May 1, 2006 | Oct 20, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Oct 14, 2026 (15 years).
IAK 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 15 years both funds cover.
IAK vs SCHD Performance
iShares US Insurance ETF (IAK) is an ETF from iShares by BlackRock (US) and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Over the past year IAK returned +8.96% while SCHD returned +29.85%. Year to date, IAK is up 7.53% versus a gain of 24.55% for SCHD.
Over three years, IAK compounded at +16.31% per year against +16.64% for SCHD; over five years the annualized figures are +13.61% and +9.54% respectively. Across the full 15-year window we track, IAK has the edge at +12.40% annualized vs +11.26%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IAK has been the more volatile fund, with annualized monthly volatility of 16.5% compared with 13.7% 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 -45.0% for IAK and -33.4% 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 0.75. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
IAK charges 0.37% per year while SCHD charges 0.06%. On a $10,000 position that is $37 vs $6 annually, a gap of $31 per year that compounds over a long holding period. On income, IAK currently yields 2.63% against 3.24% for SCHD.
Holdings Overlap
9.1% of IAK's money is in holdings SCHD also owns. 2.1% of SCHD's money is in holdings IAK also owns.
IAK and SCHD share little of their money.
8 positions in common, counted across the 60 positions we hold weights for in IAK and 98 in SCHD, against full books of 140 and 206.
What only one of them owns
Our book lists 89 positions for SCHD that do not appear in our book for IAK (97.6% of the fund), and 52 for IAK that do not appear in SCHD (90.8%).
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 IAK | Weight in SCHD | Difference |
|---|---|---|---|
| CINFCincinnati Financial Corp. | 2.86% | 0.64% | 2.22% |
| PFGPrincipal Financial Group Inc. | 2.52% | 0.56% | 1.96% |
| AFGAmerican Financial Group Inc/Oh | 1.09% | 0.25% | 0.84% |
| ORIOld Republic International Corp | 0.96% | 0.22% | 0.74% |
| FNFFidelity National Financial, Inc.-fnf Group | 0.84% | 0.26% | 0.58% |
| ERIEErie Indemnity Co | 0.66% | 0.15% | 0.51% |
| CNACna Financial Corp | 0.11% | 0.03% | 0.08% |
| AMSFAmerisafe Inc | 0.05% | 0.01% | 0.04% |
You are not choosing between two funds in isolation.
Whichever of IAK 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, IAK or SCHD?
IAK has an expense ratio of 0.37% while SCHD charges 0.06%. SCHD is the cheaper option, by $31 a year on a $10,000 investment.
Which performed better, IAK or SCHD?
Over the past year IAK returned +8.96% vs +29.85% for SCHD, so SCHD leads on 1-year performance. Over the longest common window we track (15 years), IAK annualized +12.40% vs +11.26% for SCHD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IAK or SCHD?
IAK has been the more volatile fund at 16.5% annualized versus 13.7% for SCHD. Worst drawdown: IAK -45.0% vs SCHD -33.4%.
Should I hold both IAK and SCHD?
IAK and SCHD have a monthly-return correlation of 0.75, 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 IAK and SCHD?
9.1% of IAK's money is in holdings SCHD also owns. 2.1% of SCHD's is in holdings IAK also owns. They hold 8 positions in common, counted across the 60 positions we hold weights for in IAK and 98 in SCHD.
Which pays a higher dividend, IAK or SCHD?
IAK yields 2.63% while SCHD yields 3.24%, so SCHD currently pays the higher dividend yield.
Is SCHD better than IAK?
SCHD has a lower expense ratio. IAK led over 5Y and the full window, SCHD over 1Y and 3Y. SCHD is less concentrated, with 41.6% of the fund in its ten largest positions against 66.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.