MGOV vs SCHZ
First Trust Intermediate Government Opportunities ETF vs Schwab US Aggregate Bond ETF
Which is better, MGOV or SCHZ?
Nearly the same fund. SCHZ costs less.
SCHZ has a lower expense ratio. MGOV led over 3Y and the full window, SCHZ over 1Y. The two have moved almost in lockstep, correlation 0.99.
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 | MGOV | SCHZ |
|---|---|---|
| Expense Ratio | 0.50% | 0.03%Best |
| AUM | $97M | $10.6B |
| Dividend Yield | 5.00% | 4.33% |
| Holdings | 406 | 24,843 |
| YTD Return | -2.85% | -2.13%Best |
| 1Y Return | -3.14% | -1.99%Best |
| 3Y Return (annualized) | +4.89%Best | +4.41% |
| 5Y Return (annualized) | - | -0.63% |
| Volatility (annualized) | 6.7% | 5.7%Best |
| Max Drawdown | -6.3% | -5.0%Best |
| $10,000 over 3.2 years | $11,133Best | $11,109 |
| Fund Family | First Trust Portfolios (US) | Charles Schwab Asset Management |
| Category | Fixed Income | Fixed Income |
| Inception | Aug 2, 2023 | Jul 14, 2011 |
Not shown on this pair: Top 10 Weight, Style.
Volatility and max drawdown, and the $10,000 over 3.2 years row, are measured over the window both funds cover: Aug 3, 2023 to Oct 14, 2026 (3.2 years).
MGOV vs SCHZ 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 3.2 years both funds cover.
MGOV vs SCHZ Performance
First Trust Intermediate Government Opportunities ETF (MGOV) is an ETF from First Trust Portfolios (US) and Schwab US Aggregate Bond ETF (SCHZ) is an ETF from Charles Schwab Asset Management. Over the past year MGOV returned -3.14% while SCHZ returned -1.99%. Year to date, MGOV is down 2.85% versus a loss of 2.13% for SCHZ.
Over three years, MGOV compounded at +4.89% per year against +4.41% for SCHZ.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
MGOV has been the more volatile fund, with annualized monthly volatility of 6.7% compared with 5.7% for SCHZ. 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 -6.3% for MGOV and -5.0% for SCHZ. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.99. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
MGOV charges 0.50% per year while SCHZ charges 0.03%. On a $10,000 position that is $50 vs $3 annually, a gap of $47 per year that compounds over a long holding period. On income, MGOV currently yields 5.00% against 4.33% for SCHZ.
Holdings Overlap
We hold position weights for 10 holdings in MGOV and 10,307 in SCHZ, totalling 10.2% and 61.5% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 3 positions appear in both.
3 positions in common, counted across the 10 positions we hold weights for in MGOV and 10,307 in SCHZ, against full books of 406 and 24,843.
Top Shared Holdings
| Stock | Weight in MGOV | Weight in SCHZ | Difference |
|---|---|---|---|
| FNCL 3.5 10/11Fnma Tba 10/01/2049 | 0.10% | 0.17% | 0.07% |
| FNCL 4 10/11Fannie Mae Or Freddie Mac 2168-10-10 | -1.37% | 0.10% | 1.47% |
| FNCL 4.5 10/11Fannie Mae Or Freddie Mac Tba 4.50% Due 04/01/2056 | -1.47% | 0.20% | 1.67% |
You are not choosing between two funds in isolation.
Whichever of MGOV and SCHZ 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, MGOV or SCHZ?
MGOV has an expense ratio of 0.50% while SCHZ charges 0.03%. SCHZ is the cheaper option, by $47 a year on a $10,000 investment.
Which performed better, MGOV or SCHZ?
Over the past year MGOV returned -3.14% vs -1.99% for SCHZ, so SCHZ leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, MGOV or SCHZ?
MGOV has been the more volatile fund at 6.7% annualized versus 5.7% for SCHZ. Worst drawdown: MGOV -6.3% vs SCHZ -5.0%.
Should I hold both MGOV and SCHZ?
MGOV and SCHZ have a monthly-return correlation of 0.99, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
Which pays a higher dividend, MGOV or SCHZ?
MGOV yields 5.00% while SCHZ yields 4.33%, so MGOV currently pays the higher dividend yield.
Is SCHZ better than MGOV?
SCHZ has a lower expense ratio. MGOV led over 3Y and the full window, SCHZ over 1Y. The two have moved almost in lockstep, correlation 0.99. Which one suits a particular account depends on what it is for. This is information, not a recommendation.