Average Daily Volume
3.66M
Fund Overview
The Schwab U.S. Small-Cap ETF (SCHA) is designed to track the performance of the Dow Jones U.S. Small-Cap Total Stock Market Index. This ETF provides investors with exposure to small-cap U.S. equities, which are typically companies with market capitalizations between $300 million and $2 billion. SCHA offers broad diversification across various sectors, including financials, industrials, healthcare, and consumer discretionary. The fund is known for its low expense ratio, making it an attractive option for cost-conscious investors seeking small-cap exposure. Small-cap stocks are often considered growth opportunities, though they can be more volatile than their large-cap counterparts.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
Yes
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 1.51 %
- Currency Hedged
-
No
- Portfolio Turnover
-
11 %
- Dividend Date
-
Why Invest in the SCHA ETF?
Potential Benefits
- Provides diversified exposure to U.S. small-cap stocks, which have historically outperformed large-caps over long periods.
- Low expense ratio (0.04% as of 2025), making it one of the most cost-efficient small-cap ETFs available.
- Offers potential for higher growth compared to large-cap stocks, as small-cap companies are often in earlier growth stages.
- Broad sector diversification reduces single-stock risk while maintaining small-cap market exposure.
- Transparent index-tracking approach with full replication of the underlying index components.
Potential Risks
- Small-cap stocks tend to be more volatile than large-caps, leading to potentially wider price swings.
- Higher sensitivity to economic downturns as small companies may have less financial resilience.
- Liquidity risk can be higher with small-cap stocks, particularly during market stress.
- Performance may lag during periods when large-cap stocks outperform.
- Sector concentration risk exists, with heavier weightings in financials and industrials.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+5.5%
|
+1.6%
|
-4.6%
|
+11.5%
|
+5.0%
|
+6.4%
|
-7.1%
|
+1.8%
|
-4.2%
|
+1.4%
|
-
|
-
|
| 2025 |
+3.3%
|
-5.4%
|
-7.1%
|
-2.6%
|
+5.8%
|
+5.1%
|
+1.8%
|
+6.1%
|
+2.5%
|
+0.6%
|
+2.0%
|
-0.1%
|
| 2024 |
-3.8%
|
+4.9%
|
+3.5%
|
-6.5%
|
+4.5%
|
-1.1%
|
+8.4%
|
-0.6%
|
+1.1%
|
-1.0%
|
+10.6%
|
-7.7%
|
| 2023 |
+10.4%
|
-1.9%
|
-4.2%
|
-1.8%
|
-1.7%
|
+8.6%
|
+5.3%
|
-4.1%
|
-6.0%
|
-6.4%
|
+9.5%
|
+11.9%
|
| 2022 |
-8.9%
|
+0.9%
|
+0.8%
|
-9.0%
|
-0.1%
|
-9.1%
|
+10.4%
|
-2.2%
|
-9.9%
|
+10.7%
|
+3.6%
|
-6.1%
|
| 2021 |
+4.0%
|
+6.3%
|
+1.5%
|
+2.8%
|
+0.4%
|
+1.5%
|
-2.7%
|
+2.2%
|
-3.2%
|
+4.5%
|
-4.3%
|
+2.9%
|
| 2020 |
-3.0%
|
-8.4%
|
-23.0%
|
+14.6%
|
+7.3%
|
+3.3%
|
+4.3%
|
+4.4%
|
-3.6%
|
+2.2%
|
+17.9%
|
+8.5%
|
| 2019 |
+12.0%
|
+4.9%
|
-1.7%
|
+3.6%
|
-7.4%
|
+6.9%
|
+1.3%
|
-4.4%
|
+1.1%
|
+2.1%
|
+3.9%
|
+2.8%
|
| 2018 |
+2.7%
|
-4.0%
|
+0.9%
|
+0.7%
|
+5.5%
|
+0.5%
|
+1.6%
|
+4.6%
|
-2.3%
|
-10.6%
|
+1.6%
|
-11.8%
|
| 2017 |
+1.0%
|
+1.9%
|
-0.3%
|
+0.8%
|
-1.8%
|
+2.9%
|
+1.1%
|
-0.9%
|
+5.4%
|
+0.9%
|
+3.0%
|
+0.1%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
DUOL
|
DUOLINGO INC |
0.4 % |
|
X
|
UNITED STATES STEEL CORP |
0.3 % |
|
RBC
|
RBC BEARINGS INC |
0.3 % |
|
EXEL
|
EXELIXIS INC |
0.3 % |
|
RDDT
|
REDDIT INC CLASS A SHARES |
0.3 % |
|
AFRM
|
n/a |
0.3 % |
|
DTM
|
DT MIDSTREAM INC ORDINARY SHARES |
0.3 % |
|
BRBR
|
BELLRING BRANDS INC CLASS A |
0.3 % |
|
IOT
|
SAMSARA INC ORDINARY SHARES CLASS A |
0.3 % |
|
BWXT
|
BWX TECHNOLOGIES INC |
0.3 % |
Top 10 holdings shown, out of 1 total holdings.
Related ETFs: SCHA vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
SCHA employs a passive investment strategy, seeking to track the performance of the Dow Jones U.S. Small-Cap Total Stock Market Index. This index uses a market-cap weighting methodology and includes approximately 1,750 of the smallest U.S. companies by market capitalization. The fund holds all (or nearly all) of the securities in its target index, providing investors with comprehensive small-cap exposure. SCHA is rebalanced quarterly to maintain alignment with its benchmark index. The portfolio consists primarily of common stocks, with no use of derivatives or leverage in its investment approach.
Frequently Asked Questions
What is the difference between SCHA and other Schwab small-cap ETFs?
SCHA tracks the broad Dow Jones U.S. Small-Cap Total Stock Market Index, while Schwab's other small-cap offering, SLY, tracks the S&P SmallCap 600 Index, which contains fewer components and has slightly different eligibility criteria.
How often does SCHA rebalance its holdings?
SCHA rebalances its portfolio quarterly to maintain alignment with its underlying index composition and weightings.
Does SCHA pay dividends?
Yes, SCHA pays quarterly dividends derived from the dividend payments of its underlying holdings, though dividend yields for small-cap stocks tend to be lower than large-caps.
What percentage of SCHA's holdings are in financial stocks?
As of recent data, financials typically represent about 20-25% of SCHA's portfolio, reflecting their significant presence in the small-cap universe.
Industry Overview
The Schwab U.S. Small-Cap ETF (SCHA) provides exposure to the dynamic small-cap segment of the U.S. equity market. Small-cap companies often represent emerging businesses with significant growth potential, though they typically carry higher risk than established large-cap firms. Investing in small-caps can offer portfolio diversification benefits and the potential for higher returns, particularly during economic expansions when these companies may grow faster than their larger counterparts. The small-cap universe covered by SCHA includes companies across all sectors of the economy, offering investors a comprehensive way to participate in this segment of the market.
Alternative Comparison
Compared to similar small-cap ETFs like IJR (iShares Core S&P Small-Cap ETF) and VB (Vanguard Small-Cap ETF), SCHA offers a slightly broader small-cap universe with its total market approach, while maintaining an ultra-low expense ratio competitive with these peers. Unlike factor-based small-cap ETFs such as SMLV (Invesco S&P SmallCap Low Volatility ETF), SCHA provides pure market-cap weighted exposure without any style tilts. While IJS (iShares S&P Small-Cap 600 Value ETF) focuses specifically on value stocks within the small-cap space, SCHA offers more comprehensive market coverage across all investment styles.
Issuer Overview
Charles Schwab Investment Management, the issuer of SCHA, is a well-established provider of low-cost index funds and ETFs. With over $700 billion in assets under management, Schwab is known for its investor-friendly approach, offering a range of products with competitive expense ratios. The firm has particular expertise in index-based investing strategies and has built a strong reputation for ETF innovation and accessibility.
Conclusion
The Schwab U.S. Small-Cap ETF (SCHA) represents a cost-effective way to gain diversified exposure to the U.S. small-cap equity market. Its broad index coverage and low expense ratio make it particularly suitable for long-term investors seeking small-cap exposure as part of a diversified portfolio. While small-cap stocks carry higher volatility, they offer growth potential that can complement large-cap holdings. Investors should consider their risk tolerance and investment horizon when allocating to small-cap ETFs like SCHA.
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