SCHD vs VUG
Schwab U.S. Dividend Equity ETF vs Vanguard Growth Index Fund ETF Shares
Last updated: 2026-04-02
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.
Vanguard Growth Index Fund ETF Shares (VUG) is an exchange-traded fund issued by Vanguard that provides exposure to large-cap U.S. growth stocks with above-average earnings potential. It charges a very low expense ratio of 0.03%. The fund offers a modest dividend yield of 0.45%. Launched in 2004, the fund has a 22-year track record.
Quick Verdict
VUG has a slightly lower expense ratio (0.03% vs 0.06%), saving about $60 per $10,000 over 10 years. Over the past year, VUG has significantly outperformed with a 18.0% return vs 9.5%. Income investors may prefer SCHD for its higher yield (3.5% vs 0.5%).
Key Metrics
Performance Chart
Indexed to 100 at start (5-year comparison)
Performance Comparison
Fee Impact Over Time
Estimated fee cost difference assuming 8% annual returns
Risk Metrics
Based on 5 years of daily returns
Dividend Comparison
Top Holdings
0 of top 9 holdings overlap (0% overlap in top holdings)
SCHD Top Holdings
| Name | Weight |
|---|---|
| Chevron CorporationCVX | 4.66% |
| ConocoPhillipsCOP | 4.33% |
| Merck & Co., Inc.MRK | 4.08% |
| Verizon Communications Inc.VZ | 4.03% |
| The Coca-Cola CompanyKO | 3.98% |
| Texas Instruments IncorporatedTXN | 3.86% |
| PepsiCo, Inc.PEP | 3.83% |
| Amgen Inc.AMGN | 3.78% |
| Abbott LaboratoriesABT | 3.78% |
| The Procter & Gamble CompanyPG | 3.70% |
VUG Top Holdings
| Name | Weight |
|---|---|
| NVIDIA CorporationNVDA | 12.82% |
| Apple Inc.AAPL | 12.23% |
| Microsoft CorporationMSFT | 9.15% |
| Alphabet Inc.GOOG | 4.49% |
| Meta Platforms, Inc.META | 4.44% |
| Amazon.com, Inc.AMZN | 4.41% |
| Broadcom Inc.AVGO | 3.95% |
| Tesla, Inc.TSLA | 3.58% |
| Eli Lilly and CompanyLLY | 2.82% |
Which One Should You Choose?
Choose VUG if...
you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.
Choose VUG if...
recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.
Choose SCHD if...
you prioritize dividend income and want higher regular distributions from your portfolio.