OTAX vs SCHD
Optimal Tax Managed Equity ETF vs Schwab US Dividend Equity ETF
Which is better, OTAX or SCHD?
Large Cap Blend against Large Cap Value.
SCHD has a lower expense ratio. SCHD is less concentrated, with 41.6% of the fund in its ten largest positions against 43.7%.
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 | OTAX | SCHD |
|---|---|---|
| Expense Ratio | 0.58% | 0.06%Best |
| AUM | $72M | $111.6B |
| Dividend Yield | 0.00% | 3.24% |
| Holdings | 208 | 206 |
| YTD Return | -0.53% | +24.55%Best |
| 1Y Return | - | +29.85% |
| 3Y Return (annualized) | - | +16.64% |
| 5Y Return (annualized) | - | +9.54% |
| Top 10 Weight | 43.7% | 41.6%Best |
| Fund Family | Optimal Tax Asset Management, Inc. | Charles Schwab Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Aug 25, 2026 | Oct 20, 2011 |
Not shown on this pair: Volatility (annualized), Max Drawdown, $10,000 over the window.
OTAX 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
OTAX vs SCHD Performance
Optimal Tax Managed Equity ETF (OTAX) is an ETF from Optimal Tax Asset Management, Inc. and Schwab US Dividend Equity ETF (SCHD) is an ETF from Charles Schwab Asset Management. Year to date, OTAX is down 0.53% versus a gain of 24.55% for SCHD.
Past performance does not guarantee future results.
Fees and Cost Over Time
OTAX charges 0.58% per year while SCHD charges 0.06%. On a $10,000 position that is $58 vs $6 annually, a gap of $52 per year that compounds over a long holding period. On income, OTAX currently yields 0.00% against 3.24% for SCHD.
Holdings Overlap
5.7% of OTAX's money is in holdings SCHD also owns. 54.4% of SCHD's money is in holdings OTAX also owns.
The two portfolios partly overlap.
17 positions in common, counted across the 208 positions we hold weights for in OTAX and 98 in SCHD, against full books of 208 and 206.
What only one of them owns
Our book lists 80 positions for SCHD that do not appear in our book for OTAX (45.4% of the fund), and 173 for OTAX that do not appear in SCHD (89.0%).
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 OTAX | Weight in SCHD | Difference |
|---|---|---|---|
| MRKMerck & Company Inc | 1.70% | 4.04% | 2.34% |
| TXNTexas Instrument Inc | 0.35% | 4.89% | 4.54% |
| QCOMQualcomm Inc. | 0.01% | 4.61% | 4.60% |
| CVXChevron Corp | 0.39% | 4.14% | 3.75% |
| PGProcter & Gamble Company | 0.32% | 4.16% | 3.84% |
| KOCoca Cola Co. | 0.32% | 4.12% | 3.80% |
| UNHUnitedhealth Group Incorporated | 0.32% | 3.95% | 3.63% |
| AMGNAmgen Inc. | 0.20% | 3.86% | 3.66% |
| HDHome Depot Inc/The | 0.28% | 3.77% | 3.49% |
| COPConocophillips Common Stock USD 0.01 | 0.05% | 3.91% | 3.86% |
54.4% of SCHD is already inside OTAX.
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, OTAX or SCHD?
OTAX has an expense ratio of 0.58% while SCHD charges 0.06%. SCHD is the cheaper option, by $52 a year on a $10,000 investment.
What is the holdings overlap between OTAX and SCHD?
54.4% of SCHD's money is in holdings OTAX also owns. 54.4% of SCHD's is in holdings OTAX also owns. They hold 17 positions in common, counted across the 208 positions we hold weights for in OTAX and 98 in SCHD.
Which pays a higher dividend, OTAX or SCHD?
OTAX yields 0.00% while SCHD yields 3.24%, so SCHD currently pays the higher dividend yield.
Is SCHD better than OTAX?
SCHD has a lower expense ratio. SCHD is less concentrated, with 41.6% of the fund in its ten largest positions against 43.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.