More ways to diversify with ETFs.
When you’re building a diversified portfolio, choice is everything.
Two approaches to ETF investing.
Schwab ETFs include ETFs that use two different approaches to ETF investing.
Market-Cap Index ETFs - Stocks are selected and weighted based on the size of their market capitalization—basically the total market value of a company’s shares.
Fundamental Index® ETFs - Stocks are selected and weighted based on three fundamental measures of company size — a company’s adjusted average sales, cash flow, and dividends plus buybacks.
Consider using both market-cap index ETFs and Fundamental Index ETFs when building your portfolio for broader diversification.
A range of asset types.
Schwab ETFs are available across three core asset classes:
• Domestic equities
• International equities
This means you can easily access a variety of core investing categories and enjoy broad market exposure within each.
Greater ETF value.
Using Schwab ETFs as part of your diversification strategy can help keep your investing costs down.
Low expense ratios.
Schwab ETFs have some of the lowest expense ratios in the industry.
$0 online trades.
Schwab ETFs trade commission-free online through your Schwab account.*
|Symbol||ETF Name||Index||Expense Ratio|
|SCHB||Schwab US Broad Market ETF™||Dow Jones U.S. Broad Stock Market Index||0.04%|
|SCHX||Schwab US Large-Cap ETF™||Dow Jones U.S. Large-Cap Total Stock Market Index||0.04%|
|SCHG||Schwab US Large-Cap Growth ETF™||Dow Jones U.S. Large-Cap Growth Total Stock Market Index||0.07%|
|SCHV||Schwab US Large-Cap Value ETF™||Dow Jones U.S. Large-Cap Value Total Stock Market Index||0.07%|
|SCHD||Schwab US Dividend Equity ETF™||Dow Jones US Dividend 100™ Index||0.07%|
|SCHM||Schwab US Mid Cap ETF™||Dow Jones U.S. Mid-Cap Total Stock Market Index||0.07%|
|SCHA||Schwab US Small-Cap ETF™||Dow Jones U.S. Small-Cap Total Stock Market Index||0.08%|
|SCHH||Schwab US REIT ETF™||Dow Jones U.S. Select REIT Index||0.07%|
|SCHF||Schwab Strategic Trust™||FTSE Developed ex-US Index||0.08%|
|SCHC||Schwab US Large Cap Etf™||FTSE Developed Small Cap ex-US Liquid Index||0.19%|
|SCHE||Schwab Emerging Markets Equity ETF™||FTSE Emerging Index||0.14%|
|Symbol||ETF Name||Index||Expense Ratio|
|FNDB||Schwab Fundamental US Broad Market Index ETF||Russell Fundamental U.S. Index||0.32%|
|FNDX||Schwab Fundamental US Large Company Index ETF||Russell Fundamental U.S. Large Company Index||0.32%|
|FNDA||Schwab Fundamental US Small Company Index ETF||Russell Fundamental U.S. Small Company Index||0.32%|
|FNDF||Schwab Fundamental Intl Large Company Index ETF||Russell Fundamental Developed ex-US Large Company Index||0.32%|
|FNDC||Schwab Fundamental Intl Small Company Index ETF||Russell Fundamental Developed ex-US Small Company Index||0.46%|
|FNDE||Schwab Fundamental EM Large Company Index ETF||Russell Fundamental Emerging Markets Large Company Index||0.46%|
Domestic Equity ETFs
Dow Jones is the index provider for the Schwab Domestic ETFs. Dow Jones Indexes is a leading full-service index provider that develops, maintains and licenses indexes for use as benchmarks and as the basis of investment products. Best-known for the Dow Jones Industrial Average, Dow Jones Indexes offers more than 130,000 equity indexes as well as fixed-income, total-portfolio and alternative indexes, including measures of the hedge fund, real estate and commodity markets. Dow Jones indexes are maintained according to clear, unbiased and systematic methodologies that are fully integrated within index families. Detailed information may be found at www.djindexes.com.
International Equity ETFs
FTSE Group (FTSE) is the index provider for the Schwab International ETFs. FTSE is a world-leader in the creation and management of over 120,000 equity, bond and alternative asset class indices. FTSE indices are used extensively by a range of investors such as consultants, asset owners, fund managers, investment banks, stock exchanges and brokers. With offices in London, Frankfurt, Hong Kong, Beijing, Boston, Shanghai, Madrid, Paris, New York, San Francisco, Sydney and Tokyo, FTSE Group works with partners and clients in 77 countries worldwide. Detailed information may be found at www.ftse.com.
Fixed Income ETFs
The Barclays Indices platform offers market leading benchmarks and alpha generating index products to meet the diverse needs of global investors including investment and market analysis of both alpha and beta sources, portfolio benchmarking and performance measurement, asset allocation, and the creation of index tracking funds and index based structured products. Through its beta/benchmark platform, Barclays is the leading provider of fixed income, inflation-linked, and swaps indices offering unmatched market coverage and a full suite of customized client solutions for benchmarking and informational needs. Detailed information may be found at www.barcap.com/indices.
Fundamental Index ETFs
With over four decades of experience researching and selecting investment managers, Russell is a global financial services organization offering capital markets insights, manager research, portfolio construction, portfolio implementation and indexes. The firm has grown its client footprint to serve investment organizations, institutional investors, financial advisors and individuals. Russell has relationships with more than 2,200 investment firms around the world, and currently has $2.6 trillion in assets under advisement. It is from this robust investment backdrop that the Russell Indexes were conceived. Russell’s Indexes business began in 1984 to accurately measure U.S. market segments and track market performance for Russell’s investment management and consulting businesses. Today, Russell Indexes are used to benchmark more than $4.1 trillion in investor assets. In fact, more institutional funds track Russell Indexes than all other U.S. equity indexes combined. Russell‘s index data is also used to create a variety of exchange traded products offered through some of the best-known firms in the industry, representing more than $85 billion in assets. Russell Indexes strives to combine its rigorous index construction methodology with best of class thinking to be a trusted source of index intelligence.
Register or login to view documents.
In addition to low costs and broad diversification, Schwab ETFs offer numerous other features:
Potential Tax Efficiency – ETFs don't sell their holdings to satisfy shareholder redemptions, helping to keep capital gains low. And since most ETFs track indexes, their holdings tend to have less turnover, which further works to minimize distributions.
Trading Flexibility – Just like with stocks, investors can use stop orders, limit orders, short selling, and margin buying to leverage Schwab ETFs in their trading and investment strategies.1
Experienced Management – Charles Schwab Investment Management, investment advisor for Schwab ETFs, has been managing funds for over 20 years and currently manages over $200 billion in client assets.
Financial professionals, register today for access to financial professional only materials and Schwab ETF email updates.