Schwab U.S. Broad Market ETF

Schwab U.S. Broad Market ETF (SCHB) is an index fund that tracks the Dow Jones U.S. Broad Stock Market Index, which covers the largest 2,500 publicly traded U.S. companies. Its annual fee (expense ratio) of 0.03% is less than half the 0.07% average for similar funds. As of August 31, 2026, it held 2,374 stocks, but the 10 largest, led by NVIDIA, Apple and Microsoft, made up 33.7% of assets.

• Over the year to Nov 2, 2026, SCHB returned +11.4%, 8th of 9 among similar funds.
• Its 5-year annualized return was +10.7% and its 10-year +15.0%.
• In the 2020 COVID crash it fell 35.3% and regained its old high 4.7 months after the low.
• Its worst full calendar year was 2022 (-19.4%); its best was 2013 (+31.7%).
• The deepest fall in its price history was 35.3% (Feb 19, 2020 to Mar 23, 2020), recovered by Aug 12, 2020.

As of Aug 31, 2026, the fund held 2,374 securities; the ten largest made up 33.69% of assets.

By sector

• Over the three months to Aug 31, 2026, investors added a net $644.4M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: -0.35%, -0.52%, +2.67%.

SCHB, managed by Schwab Asset Management, aims to match the total return of the Dow Jones U.S. Broad Stock Market Index before fees. The index includes the largest 2,500 publicly traded U.S. companies with readily available prices. It is float-adjusted and weighted by market value: companies count in proportion to the value of shares actually available to investors, so the biggest matter most. As of August 31, 2026, NVIDIA (7.2%), Apple (6.3%) and Microsoft (5.1%) led the fund.

Rather than owning every index stock, the fund uses sampling: it holds a subset expected to perform like the whole index, matched on traits such as industry mix, dividend yield and price-to-earnings ratio. As of August 31, 2026, it held 2,374 stocks. Normally, at least 90% of net assets are in index stocks. Up to 10% can go to likely index additions, other funds or futures contracts (contracts that rise and fall with a market index), used mainly to keep spare cash invested.

The fund may trade ahead of expected index changes, and portfolio turnover, the share of holdings replaced in a year, was a low 3%. It may also lend securities for extra income, which carries some risk if a borrower fails to return them. If the index concentrates in one industry, so will the fund.

• SCHB charges 0.03% a year, versus an average of 0.08% for the similar funds below (1st of 9, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $3 in the first year and $39 over 10 years (assuming a 5% annual return).

It gives low-cost, broad ownership of U.S. stocks of all sizes in one fund, the kind of position many long-term portfolios are built around.

SCHB owns a broad mix of U.S. stocks for 0.03% a year, or $39 over 10 years on $10,000 in the SEC's standard example. Launched in November 2009, it missed the 2008 crisis. Its deepest drop, 35.3%, came in the 2020 COVID crash, between February 19 and March 23; it regained its high by August 12. In the 2022 bear market it fell 25.4% and took about 14 months from the October low to recover, and 2022 was its worst calendar year, with a 19.5% loss. Retirees cashing out shares in such a stretch would lock in losses, which a cash or bond reserve can help avoid.

Income is modest: the fund yielded 1.05% over the 12 months to October 27, 2026, with dividends paid quarterly. Past results don't predict the future, and a retirement plan has to weigh the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.

Compared head to head: SCHB vs VTI · all comparisons →