MTUM vs SCHD: Correlation & Overlap
Measured on weekly returns over the past three years, iShares MSCI USA Momentum Factor ETF (MTUM) and Schwab US Dividend Equity ETF (SCHD) carry a correlation of 0.39, a moderate link. By holdings, the two funds overlap 7.0% by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are MTUM and SCHD?
Across a 3-year window, the weekly returns of MTUM and SCHD correlate at 0.39, moderate. The link has loosened recently: the 1-year correlation (-0.00) runs below the 3-year figure (0.39). Stretching to 5 years gives 0.57, with an annualized covariance of 102.2 %².
Among the 109 assets we track against MTUM, SCHD ranks #90 by 3-year correlation. Their 12-month results are close: +25.2% for MTUM against +29.6% for SCHD. Do not treat this figure as fixed: across three years the rolling one-year correlation ranged all the way from -0.01 to 0.81. Note the risk asymmetry: MTUM runs 1.6 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
MTUM vs SCHD: side by side
| MTUM (iShares MSCI USA Momentum Factor ETF) | SCHD (Schwab US Dividend Equity ETF) | |
|---|---|---|
| 1-year return | +25.2% | +29.6% |
| 5-year return | +76.1% | +60.9% |
| Volatility (ann.) | 20.6% | 12.9% |
| Beta vs S&P 500 | 1.25 | 0.52 |
| Max drawdown (3Y) | -21.0% | -16.1% |
| Dividend yield | 0.62% | 3.13% |
| Expense ratio | 0.15% | 0.06% |
| Assets under management | $25.3B | $104.2B |
| Sector / category | ETF · US Style | ETF · Dividend |
MTUM, iShares's Large Blend fund, carries $25.3B under management, 126 holdings, a 0.15% expense ratio, a 0.62% trailing dividend yield. SCHD, Schwab ETFs's Large Value fund, carries $104.2B under management, 101 holdings, a 0.06% expense ratio, a 3.13% trailing dividend yield.
Portfolio overlap between MTUM and SCHD
The two portfolios are largely distinct: 7.0% of the funds' weight sits in the same underlying holdings (10 common positions). Correlation tells you they move together; overlap tells you why.
| Common holding | Weight in MTUM | Weight in SCHD |
|---|---|---|
| TXN | 1.75% | 3.13% |
| CVX | 1.75% | 3.89% |
| COP | 0.87% | 3.86% |
| MO | 0.59% | 2.80% |
| SLB | 0.50% | 1.95% |
| TGT | 0.36% | 1.81% |
| EOG | 0.36% | 1.87% |
| DVN | 0.33% | 1.31% |
| OKE | 0.27% | 1.45% |
| ADM | 0.17% | 0.94% |
Largest positions held only by MTUM: MU (6.60%), AMD (5.09%), AVGO (4.25%), INTC (3.91%), XOM (3.78%). Only by SCHD: MRK (4.92%), ABT (4.83%), AMGN (4.80%), KO (4.22%), VZ (3.97%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 10 common positions shown.
Year-by-year returns
| Year | MTUM | SCHD |
|---|---|---|
| 2022 | -18.3% | -3.3% |
| 2023 | +9.1% | +4.5% |
| 2024 | +32.9% | +11.7% |
| 2025 | +22.1% | +4.3% |
| 2026 | +21.8% | +29.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are MTUM and SCHD good diversifiers for each other?
A fair diversifier. At 0.39, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between MTUM and SCHD?
Using weekly returns as of 2026-08-27: 0.39 over 3 years, with -0.00 over the last year and 0.57 over 5 years.
Is SCHD a good diversifier for MTUM?
A fair diversifier. At 0.39, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
How much do MTUM and SCHD overlap?
Per the issuers' own portfolio disclosures (2026-08-26), the overlap is 7.0% by weight over 10 common positions.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/mtum-vs-schd.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/mtum-vs-schd/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: MTUM correlations · SCHD correlations
