HDV vs SCHD

HDVAiShares Core High Dividend ETF

SCHDASchwab U.S. Dividend Equity ETF

In short

HDV A high-yield screen with a quality gate. HDV holds roughly 80 U.S. dividend payers from a Morningstar index that weighs company quality and value alongside yield, at a Core-lineup fee of 0.08%.

SCHD The dividend fund that checks the balance sheet before it checks the yield. SCHD only considers companies with 10 straight years of payouts, then ranks the survivors on cash flow, return on equity and dividend growth. Quality gate first, income second, at six basis points.

Stated mandate

HDV The fund seeks to track an index of high-dividend-yielding U.S. stocks and provides income-oriented exposure through U.S. equities.

SCHD The fund seeks to track, before fees and expenses, the total return of the Dow Jones U.S. Dividend 100TM Index.

Why people hold it

• HDV 0.08% a year is one of the cheaper tickets in the dividend-screen aisle, well under the typical fee among its peers.ishares.com
• The index applies quality and value screens, so a fat yield alone doesn't earn a stock a spot.ishares.com
• Running since 2011 and now a multi-billion-dollar, actively traded fund inside the iShares Core lineup. Long-established plumbing, not a new launch.
• Straightforward US stock fund in a standard 1940 Act wrapper, paying income on a quarterly schedule.

• SCHD Charges 0.06% a year, near the floor for US equity ETFs and a fraction of what the typical dividend-screen fund costs.schwabassetmanagement.com
• The rulebook is strict: 10 consecutive years of dividends to qualify, then a composite rank on cash-flow-to-total-debt, return on equity, yield and five-year dividend growth.spglobal.com
• Index rules cap any single stock at 4.5% and any sector at 25%, so one hot name cannot quietly become the whole income stream.spglobal.com
• Running since 2011 and now among the largest, most heavily traded dividend ETFs, with tracking that stays very close to its index.

Worth knowing

• HDV About 80 holdings, so single names and sector tilts carry more weight here than in a broad-market index fund.
• A yield-and-value screen leans toward mature payers and away from low-payout growth companies, so the mix looks different from the total market.
• Different flavor from cohort stablemate DGRO, which targets dividend growth rather than the highest current yields.

• SCHD Roughly 100 names, every one a long-time dividend payer. The fast-growing non-payers that drive much of the US market are not eligible, by design.spglobal.com
• The yield and quality screens tilt it toward mature, cash-generating sectors, so it looks nothing like a total-market fund. Distributions land quarterly, not monthly.spglobal.com
• Not the absolute cheapest shelf item: VIG runs 0.04% and DIVB 0.05%, though both screen for dividends differently.

Full HDV profile⁠

Full SCHD profile⁠