ETF Versus

IEFA vs SCHD

iShares Core MSCI EAFE ETF vs Schwab U.S. Dividend Equity ETF

Last updated: 2026-04-02

IEFA iShares

iShares Core MSCI EAFE ETF (IEFA) is an exchange-traded fund issued by iShares that provides exposure to equities in developed international markets outside the U.S.. It charges a low expense ratio of 0.07%. The fund offers an attractive dividend yield of 3.46%. Launched in 2012, the fund has a 14-year track record.

AUM: $164.3B ER: 0.07% Yield: 3.46% Since: Oct 18, 2012
SCHD Schwab

Schwab U.S. Dividend Equity ETF (SCHD) is an exchange-traded fund issued by Schwab that provides exposure to U.S. dividend-paying stocks selected for yield or dividend growth. It charges a low expense ratio of 0.06%. The fund offers an attractive dividend yield of 3.46%. Launched in 2011, the fund has a 15-year track record.

AUM: $83.9B ER: 0.06% Yield: 3.46% Since: Oct 20, 2011

Quick Verdict

Both funds have nearly identical expense ratios (0.06% vs 0.07%), so fees are not a differentiator here. Over the past year, IEFA has significantly outperformed with a 21.2% return vs 9.5%.

Key Metrics

Metric IEFA SCHD
Expense Ratio 0.07% 0.06%
Dividend Yield 3.5% 3.5%
Fund Family iShares Schwab
Category International Developed US Dividend

Performance Chart

Indexed to 100 at start (5-year comparison)

70 83 96 109 122 135 2021-04 2022-06 2023-09 2024-12 2026-04
IEFA +24.0%
SCHD +23.3%

Performance Comparison

Period IEFA SCHD Difference
1 Month -4.68% -4.24% -0.44%
3 Months +1.73% +10.03% -8.30%
6 Months +3.46% +11.31% -7.85%
YTD +1.73% +10.03% -8.30%
1 Year +21.19% +9.47% +11.72%
3 Years +36.36% +24.43% +11.93%
5 Years +23.97% +23.27% +0.70%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period IEFA Fees SCHD Fees You Save
$10.000 10 years $140 $120 $20
$10.000 20 years $600 $515 $85
$10.000 30 years $1.938 $1.664 $275
$50.000 10 years $698 $598 $99
$50.000 30 years $9.692 $8.318 $1.373
$100.000 30 years $19.383 $16.637 $2.747

Risk Metrics

Based on 5 years of daily returns

Metric IEFA SCHD
Annualized Volatility 16.6% 14.6%
Max Drawdown -33.1% -18.9%
Sharpe Ratio 0.07 0.05

Dividend Comparison

Metric IEFA SCHD
Annual Dividend (per share) $3.18 $1.06
Dividend Yield 3.46% 3.46%
Distribution Frequency Semi-Annual or Annual Quarterly

Top Holdings

0 of top 10 holdings overlap (0% overlap in top holdings)

IEFA Top Holdings

NameWeight
ASML Holding N.V.!ams/ASML2.18%
AstraZeneca PLC!lon/AZN1.25%
Novartis AG!swx/NOVN1.21%
Roche Holding AG!swx/ROP1.17%
HSBC Holdings plc!lon/HSBA1.16%
Shell plc!lon/SHEL1.12%
Nestlé S.A.!swx/NESN1.05%
Toyota Motor Corporation!tyo/72030.85%
Commonwealth Bank of Australia!asx/CBA0.85%
Mitsubishi UFJ Financial Group, Inc.!tyo/83060.81%

SCHD Top Holdings

NameWeight
Chevron CorporationCVX4.66%
ConocoPhillipsCOP4.33%
Merck & Co., Inc.MRK4.08%
Verizon Communications Inc.VZ4.03%
The Coca-Cola CompanyKO3.98%
Texas Instruments IncorporatedTXN3.86%
PepsiCo, Inc.PEP3.83%
Amgen Inc.AMGN3.78%
Abbott LaboratoriesABT3.78%
The Procter & Gamble CompanyPG3.70%

Which One Should You Choose?

Choose IEFA if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

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