VTV vs SCHV: Head-to-Head Comparison

Side-by-Side Comparison

Key Differences Between VTV and SCHV

VTV (Vanguard Value ETF) is a us large-cap value fund managed by Vanguard. VTV tracks the CRSP US Large Cap Value Index, offering broad exposure to large U.S. companies that are considered undervalued relative to their fundamentals. It is a core holding for investors who believe value stocks will outperform over the long run. The fund spans established companies across financials, healthcare, and industrials at a rock-bottom cost.

SCHV (Schwab U.S. Large-Cap Value ETF) is a u.s. large-cap value fund managed by Schwab. SCHV invests in large U.S. companies that appear undervalued based on fundamental measures like price-to-book and price-to-earnings ratios. It holds roughly 350 stocks focused on financials, health care, and industrials rather than high-flying tech names. Beginners who prefer a more conservative equity approach with higher dividends often find SCHV a good complement to growth-focused funds.

The most notable differences are in fees (0.04% vs 0.04%), number of holdings (340 vs 350), and 5-year returns (10.00% vs 10.50%).

Holdings Overlap Analysis

VTV and SCHV share 54% of their top holdings. There is moderate overlap, so owning both provides some additional diversification but with diminishing returns.

Cost Comparison Over Time

If you invest $10,000 and hold for 20 years (assuming 8% annual returns):

Over 20 years, the fee difference amounts to $0 on a $10,000 investment. The cost difference is negligible — choose based on other factors.

Which One Should a Beginner Choose?

Choose VTV if: You want long-term investors who favor a value investing philosophy, retirees seeking stable large-cap companies with reliable dividends, investors looking to balance a growth-heavy portfolio. It's managed by Vanguard with an expense ratio of 0.04%.

Choose SCHV if: You want investors who want to complement a growth-heavy portfolio with value exposure, income-oriented investors who prefer higher-yielding large-cap stocks, contrarian investors who believe value stocks are due for outperformance. It's managed by Schwab with an expense ratio of 0.04%.

Can You Own Both VTV and SCHV?

With 54% holdings overlap, owning both means you're essentially doubling down on the same stocks. For beginners, we recommend picking one to keep things simple. If you want more diversification, consider pairing your choice with an international ETF like VXUS or a bond ETF like BND instead.

Frequently Asked Questions