Dividend comparison
SCHD vs VYM: Which Is Better for Income?
Side-by-side yield, projected income, and dividend fundamentals for Schwab U.S. Dividend Equity ETF and Vanguard High Dividend Yield ETF. Updated July 26, 2026.
| Metric | SCHD Schwab U.S. Dividend Equity ETF | VYM Vanguard High Dividend Yield ETF |
|---|---|---|
| Dividend yield (TTM) | — | — |
| Dividend / share (TTM) | — | — |
| Price | $33.29 | $162.23 |
| Payout ratio (TTM) | — | — |
| Dividend growth streak | 13 years | 15 years |
| Beta | 0.58 | 0.69 |
| Market cap | $96.24B | $96.80B |
| Exchange | AMEX | AMEX |
| Expense ratio | 0.06% | 0.04% |
| Assets under management | $102.62B | $96.20B |
| Number of holdings | 103 | 589 |
| Top 10 concentration | 41.5% | 25.8% |
SCHD
—/mo
Yield data unavailable
VYM
—/mo
Yield data unavailable
Expect stretches of underperformance versus the broad market whenever leadership comes from the high-growth, low-yield companies these screens exclude.
What SCHD vs VYM actually do
It tracks the Dow Jones U.S. Dividend 100 Index, which first requires at least ten consecutive years of dividends, then ranks the survivors on a composite of cash flow to total debt, return on equity, dividend yield and five-year dividend growth. The top 100 are held at market-cap weights with a 4% cap per stock and 25% per sector, reconstituted annually and rebalanced quarterly. Those quality screens push the portfolio toward mature value sectors and largely out of high-growth technology, which is the single biggest reason its return diverges from the S&P 500 in either direction.
Suits an investor who wants a growing dividend stream plus share-price participation and can sit out technology-led rallies without changing course. Not a match for someone who needs the highest available current yield or wants full market exposure.
Core dividend holding
It tracks the FTSE High Dividend Yield Index, which ranks US dividend payers by forecast yield, excludes REITs, and works down that ranking until roughly half the market value of the eligible universe is covered. Selection is on yield alone with no quality or growth screen, so the portfolio is wide and diversified but includes some payers a stricter screen would reject. Weighting is by market cap, meaning the biggest dividend-paying companies dominate.
Suits an investor who wants dependable above-market income with maximum breadth and minimum concentration risk. Less suitable if you specifically want dividend growth or a fundamental quality filter, since neither is part of the selection rule.
Core dividend holding
| Period | SCHD | VYM |
|---|---|---|
| 1 month | 4.95% | 2.68% |
| 3 months | 7.53% | 4.70% |
| Year to date | 23.34% | 13.04% |
| 1 year | 26.48% | 19.93% |
| 3 years | 47.89% | 57.11% |
| 5 years | 57.55% | 75.73% |
- SCHD
- VYM
Both series indexed to 100 on 2021-07-24 using the adjusted closing price series. Past performance does not guarantee future results.
- SCHD
- VYM
SCHD103 holdings total
Quick verdict
Compare the metrics above, then add both tickers to a Dividend Wealth portfolio to see combined income forecasts and diversification impact.
Frequently asked questions
Is SCHD or VYM better for dividend income?
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For informational and educational purposes only. Not investment advice. Past performance and current yields do not guarantee future results. Verify figures independently before making investment decisions.