VB vs. SCHA: Which Small-Cap ETF Is the Better Buy for Investors?
Both offer exceptionally low expense ratios of 0.03%, but SCHA has delivered a stronger one-year return.
Overview
Choosing between the Vanguard Small-Cap ETF (NYSEMKT:VB) and the Schwab U.S. Small-Cap ETF (NYSEMKT:SCHA)comes down to weighing VB’s slightly steadier historical performance against SCHA’s recent outperformance.
Both funds serve as low-cost vehicles for investors seeking exposure to small-cap equities. However, each ETF tracks a different underlying index, and due to different schedules for index reconstitution, VB currently has an oversized allocation to a single stock.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-year return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.