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Dividend Vision

ETF Comparison

SCHD vs VIG: Which Is the Better Pick in 2026?

A head-to-head comparison of Schwab U.S. Dividend Equity ETF and Vanguard Dividend Appreciation Index Fund ETF Shares covering yield, cost, risk, and income potential.

Data updated April 5, 2026

Side-by-side snapshot

SCHDVIG
Full nameSchwab U.S. Dividend Equity ETFVanguard Dividend Appreciation Index Fund ETF Shares
IssuerSchwabVanguard
Price$30.51$215.68
Distribution yield3.30%1.56%
Expense ratio0.06%0.04%
AUM$85.9B$123.8B
Distribution frequencyQuarterlyQuarterly
Underlying indexDow Jones U.S. Dividend 100 IndexBasket (Vanguard Dividend Appreciation ETF holdings)
ObjectiveSeeks to track as closely as possible, before fees and expenses, the total return of the Dow Jones U.S. Dividend 100 Index, which measures the performance of high dividend yielding stocks issued by U.S. companies with a record of consistently paying dividends, selected for fundamental strength relative to their peers based on financial ratios.Seeks to track the performance of the S&P U.S. Dividend Growers Index, which consists of common stocks of companies that have a record of at least 10 years of increasing regular cash dividend payments.
Asset classEquityEquity
Inception date10/20/201104/21/2006
Beta0.650.81
Last dividend$0.26$0.83
Ex-dividend date03/25/202603/27/2026

Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Quick verdict

SCHD (Schwab U.S. Dividend Equity ETF) and VIG (Vanguard Dividend Appreciation Index Fund ETF Shares) are both popular quarterly-pay seeks to track as closely as possible, before fees and expenses, the total return of the dow jones u.s. dividend 100 index, which measures the performance of high dividend yielding stocks issued by u.s. companies with a record of consistently paying dividends, selected for fundamental strength relative to their peers based on financial ratios. ETFs, but they take different approaches.

SCHD offers the higher yield at 3.30% vs 1.56% for VIG. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

VIG is cheaper with an expense ratio of 0.04% compared to 0.06%.

They track different benchmarks: SCHD is linked to Dow Jones U.S. Dividend 100 Index while VIG tracks Basket (Vanguard Dividend Appreciation ETF holdings), which means their performance drivers differ.

VIG is the larger fund by assets ($123.8B), which generally means tighter spreads and better liquidity.

Deep dive

Yield & income

On a $10,000 investment, SCHD would generate roughly $27.50/month while VIG would produce $13.00/month at current distribution rates. Both pay quarterly distributions.

SCHD yield3.30%
VIG yield1.56%
Monthly diff on $10K$14.50

Cost & efficiency

Over 10 years on $10,000, SCHD would cost approximately $60 in fees vs $40 for VIG (simplified, not compounded). The $20.00 difference may be offset by yield or performance.

SCHD ER0.06%
VIG ER0.04%

Strategy & risk

SCHD tracks Dow Jones U.S. Dividend 100 Index with a seeks to track as closely as possible, before fees and expenses, the total return of the dow jones u.s. dividend 100 index, which measures the performance of high dividend yielding stocks issued by u.s. companies with a record of consistently paying dividends, selected for fundamental strength relative to their peers based on financial ratios. approach, while VIG tracks Basket (Vanguard Dividend Appreciation ETF holdings) using a seeks to track the performance of the s&p u.s. dividend growers index, which consists of common stocks of companies that have a record of at least 10 years of increasing regular cash dividend payments. strategy. Beta is 0.65 for SCHD and 0.81 for VIG, indicating SCHD is less volatile relative to the market.

SCHD beta0.65
VIG beta0.81

Fund details

SCHD is managed by Schwab (launched 10/20/2011) with $85.9B in assets. VIG is managed by Vanguard (launched 04/21/2006) with $123.8B in assets.

SCHD AUM$85.9B
VIG AUM$123.8B

Income calculator

See how much monthly income a hypothetical investment would generate in each ETF at current yields.

Frequently asked questions

Is SCHD or VIG better for dividend income?

It depends on your goals. SCHD currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

What is the difference between SCHD and VIG?

SCHD (Schwab U.S. Dividend Equity ETF) tracks Dow Jones U.S. Dividend 100 Index with a seeks to track as closely as possible, before fees and expenses, the total return of the dow jones u.s. dividend 100 index, which measures the performance of high dividend yielding stocks issued by u.s. companies with a record of consistently paying dividends, selected for fundamental strength relative to their peers based on financial ratios. strategy, while VIG (Vanguard Dividend Appreciation Index Fund ETF Shares) tracks Basket (Vanguard Dividend Appreciation ETF holdings) with a seeks to track the performance of the s&p u.s. dividend growers index, which consists of common stocks of companies that have a record of at least 10 years of increasing regular cash dividend payments. approach. They are issued by Schwab and Vanguard respectively.

Can I hold both SCHD and VIG?

Yes. Many income investors hold both to diversify across different strategies and underlying indexes. This can reduce concentration risk while maintaining a strong income stream.

Which has lower fees, SCHD or VIG?

SCHD has an expense ratio of 0.06% while VIG charges 0.04%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in SCHD vs VIG generate?

At current yields, $10,000 in SCHD would generate roughly $27.50 per month ($330.00 annually). The same in VIG would produce about $13.00 per month ($156.00 annually).

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