SATO vs STCE

SATOCInvesco Alerian Galaxy Crypto Economy ETF

STCEASchwab Crypto Thematic ETF

In short

SATO Most crypto-stock funds stop at miners and exchanges. SATO's index also reaches into crypto ETPs and private investment trusts, so one equity ticker carries both the picks-and-shovels crowd and coin-linked vehicles.

STCE Crypto exposure without owning a coin. STCE holds about 40 global companies tied to digital assets and blockchain, chosen by Schwab's own index, at a price that undercuts most thematic funds.

Stated mandate

SATO The fund seeks cryptocurrency-economy exposure by generally investing 80% of assets in an index of digital-asset companies, crypto-related ETPs, and private investment trusts.

STCE The fund seeks to track, before fees and expenses, an index providing global exposure to companies that may benefit from developing or using cryptocurrencies and other digital assets, or from business activities tied to blockchain and distributed-ledger technology.

Why people hold it

• SATO The index spans digital-asset companies, crypto ETPs and private investment trusts, so coin-linked exposure rides alongside the miners and exchanges.invesco.com
• At 0.66% a year it sits under the typical fee in its crypto-equity peer group and below Amplify's BLOK at 0.70%.
• About 50 holdings with a global mandate, not just the US-listed slice of the crypto trade.
• Running since 2021, through a full crypto boom and bust, and it stands in the upper half of its peer group.

• STCE Charges 0.30% a year, roughly half the typical fund in its global thematic group. Schwab billed it as the lowest-cost crypto-related ETF when it launched in 2022.aboutschwab.com
• Stocks, not coins: the index targets companies worldwide that may benefit from cryptocurrencies, digital assets and distributed-ledger technology.schwabassetmanagement.com
• Cheap, straightforward and liquid enough for a niche theme, which puts it in the top quartile of its global thematic peer group.

Worth knowing

• SATO Small and lightly traded next to the category's biggest names, so the spread on the way in and out can matter more than the expense ratio.
• Owning ETPs and trusts adds a layer of fees inside the fund, and those vehicles can trade away from the value of the assets they hold.invesco.com
• Miners, exchanges and coin vehicles all ride the same sentiment, so spreading across roughly 50 names does little to soften the swings.

• STCE Crypto-linked equities move violently, and with roughly 40 non-diversified names, a stumble at one holding is felt across the fund.aaii.com
• It owns crypto-adjacent businesses, not bitcoin, so its path can diverge from the coins themselves in either direction.aaii.com
• Modest asset base by ETF standards and distributions land only once or twice a year, so this is a theme sleeve rather than an income holding.

Full SATO profile⁠

Full STCE profile⁠