Which Is the Better Small-Cap ETF, Schwab's SCHA or iShares' IJR?
SCHA tracks 1,727 stocks with a tech tilt and half IJR's fees. IJR takes a more selective approach with 652 holdings focused on profitability.
Overview
While the iShares Core S&P Small-Cap ETF (NYSEMKT:IJR) offers concentrated exposure to profitable small-caps, the Schwab U.S. Small-Cap ETF (NYSEMKT:SCHA) provides a broader, more tech-leaning portfolio with a lower expense ratio.
Small-cap stocks are often a source of long-term growth, and these two funds provide two distinct ways to capture that segment. While the iShares fund relies on a specific index that requires companies to meet established eligibility requirements, the Schwab fund casts a wider net across the small-cap universe.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr 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.