Schwab U.S. Large-Cap ETF (SCHX): Complete Beginner's Guide
Schwab U.S. Large-Cap ETF (SCHX) is a u.s. large-cap blend ETF from Schwab with an expense ratio of 0.03% and $40.0B in assets under management. Our Beginner Suitability Score: 9.5/10 (Great for Beginners). 5-year annualized return: 15.50%.
Last updated: April 2026
Schwab • U.S. Large-Cap Blend
Expense Ratio
0.03%
AUM
$40.0B
Dividend Yield
1.30%
Inception
2009
Beginner Score
9.5/10
What is Schwab U.S. Large-Cap ETF?
SCHX tracks the Dow Jones U.S. Large-Cap Total Stock Market Index, holding about 750 of America's biggest companies at a rock-bottom cost. It provides broad large-cap exposure similar to an S&P 500 fund but with a slightly wider net. Beginners who want simple, diversified ownership of America's largest corporations often start with SCHX.
SCHX is managed by Schwab and has been available since 2009. With $40.0B in assets under management, it's a well-established fund with strong institutional backing. The fund charges an expense ratio of 0.03%, which means for every $10,000 you invest, you pay approximately $3 per year in management fees.
SCHX at a Glance — Key Metrics
| Expense Ratio | 0.03% |
| Total Holdings | 750 |
| P/E Ratio | 24.5 |
| Beta | 1.00 |
| Dividend Yield | 1.30% |
| AUM | $40.0B |
| Inception Year | 2009 |
| Issuer | Schwab |
Top 10 Holdings in SCHX
SCHX holds 750 different securities. Here are the largest positions that make up the core of this fund:
| # | Company | Ticker | Weight |
|---|---|---|---|
| 1 | Apple Inc. | AAPL | 7.00% |
| 2 | Microsoft Corp. | MSFT | 6.30% |
| 3 | NVIDIA Corp. | NVDA | 6.00% |
| 4 | Amazon.com Inc. | AMZN | 3.70% |
| 5 | Meta Platforms Inc. | META | 2.60% |
| 6 | Alphabet Inc. Class A | GOOGL | 2.20% |
| 7 | Berkshire Hathaway Inc. | BRK.B | 1.90% |
| 8 | Alphabet Inc. Class C | GOOG | 1.90% |
| 9 | Broadcom Inc. | AVGO | 1.70% |
| 10 | Tesla Inc. | TSLA | 1.60% |
SCHX's top holding is Apple Inc. (AAPL) at 7.00%, followed by Microsoft Corp. (MSFT) at 6.30% and NVIDIA Corp. (NVDA) at 6.00%. The top 10 holdings account for 34.90% of the fund's 750 total positions.
View data table
| Rank | Company | Ticker | Weight |
|---|---|---|---|
| 1 | Apple Inc. | AAPL | 7.00% |
| 2 | Microsoft Corp. | MSFT | 6.30% |
| 3 | NVIDIA Corp. | NVDA | 6.00% |
| 4 | Amazon.com Inc. | AMZN | 3.70% |
| 5 | Meta Platforms Inc. | META | 2.60% |
| 6 | Alphabet Inc. Class A | GOOGL | 2.20% |
| 7 | Berkshire Hathaway Inc. | BRK.B | 1.90% |
| 8 | Alphabet Inc. Class C | GOOG | 1.90% |
| 9 | Broadcom Inc. | AVGO | 1.70% |
| 10 | Tesla Inc. | TSLA | 1.60% |
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SCHX Performance History
Here's how SCHX has performed over different time periods. Remember that past performance doesn't guarantee future results, but it gives you a sense of the fund's track record:
YTD
3.10%
1 Year
26.50%
3 Year
11.00%
5 Year
15.50%
10 Year
13.00%
SCHX has returned 15.50% annualized over 5 years and 13.00% over 10 years. YTD return is 3.10%.
View data table
| Period | Return |
|---|---|
| YTD | 3.10% |
| 1 Year | 26.50% |
| 3 Year | 11.00% |
| 5 Year | 15.50% |
| 10 Year | 13.00% |
Beginner Suitability Score: 9.5/10
Our proprietary Beginner Suitability Score evaluates ETFs based on five factors that matter most to new investors: fees, volatility, diversification, dividend history, and track record length.
SCHX scores 9.5/10 because it has very low fees, shows lower-than-average volatility, offers broad diversification across 750 holdings, and has been available since 2009, giving it a proven track record.
How to Buy SCHX — Step by Step
- Open a brokerage account — We recommend Fidelity, Charles Schwab, or Vanguard for ETF investing. All offer $0 commissions on ETF trades.
- Fund your account — Transfer money from your bank. You can start with as little as $1 if your broker offers fractional shares.
- Search for "SCHX" — Use the search bar in your brokerage platform to find Schwab U.S. Large-Cap ETF.
- Place your order — Choose "Market Order" for simplicity or "Limit Order" if you want to set a specific price. Enter how many shares (or dollar amount) you want to buy.
- Set up automatic investing — Most brokers let you schedule recurring purchases (e.g., $100/month on the 1st). This is dollar cost averaging in action.
SCHX Sector Allocation
Here's how SCHX distributes its investments across different sectors of the economy:
SCHX's largest sector allocation is Information Technology at 31.5%, followed by Financials at 13.0% and Health Care at 11.8%.
View data table
| Sector | Weight |
|---|---|
| Information Technology | 31.5% |
| Financials | 13.0% |
| Health Care | 11.8% |
| Consumer Discretionary | 10.5% |
| Communication Services | 8.8% |
| Industrials | 8.5% |
| Consumer Staples | 5.6% |
| Energy | 3.6% |
| Utilities | 2.6% |
| Real Estate | 2.2% |
| Materials | 1.9% |
Dollar Cost Averaging Into SCHX
Here's what consistent monthly investing could look like over time, assuming an average annual return of 8% (approximate historical stock market average):
| Monthly | 10 Years | 20 Years | 30 Years |
|---|---|---|---|
| $100/mo | $18,417 | $59,295 | $150,030 |
| $250/mo | $46,041 | $148,237 | $375,074 |
| $500/mo | $92,083 | $296,474 | $750,148 |
*Projections assume 8% average annual return with monthly compounding. Actual returns will vary. Past performance doesn't guarantee future results.
Fee impact: With SCHX's expense ratio of 0.03%, a $10,000 investment would lose approximately $258 to fees over 20 years compared to a zero-fee investment. This is a reasonable fee level for the value provided.
SCHX's expense ratio of 0.03% costs $259 on a $10,000 investment over 20 years (assuming 8% annual return). Without fees, the investment would grow to $46,610 instead of $46,351.
View data table
| Year | Without Fees | With Fees | Fee Cost |
|---|---|---|---|
| 0 | $10,000 | $10,000 | $0 |
| 5 | $14,693 | $14,673 | $20 |
| 10 | $21,589 | $21,529 | $60 |
| 15 | $31,722 | $31,590 | $132 |
| 20 | $46,610 | $46,351 | $259 |
Pros and Cons of SCHX
Pros
- ✓Ultra-low expense ratio of just 0.03% matches the cheapest large-cap ETFs
- ✓Broader than S&P 500 funds with roughly 750 holdings for wider large-cap coverage
- ✓Commission-free on Schwab platforms with excellent trade execution
- ✓Tracks a well-established Dow Jones index with strong historical performance
Cons
- ✗Heavy concentration in mega-cap technology stocks dominates the portfolio
- ✗No small-cap or mid-cap exposure means missing parts of the market
- ✗Very similar to VOO and IVV, offering limited differentiation
SCHX vs Similar ETFs
See how SCHX stacks up against similar funds:
Frequently Asked Questions
Is SCHX a good ETF for beginners?▾
SCHX has a Beginner Suitability Score of 9.5/10 on our scale. This makes it a strong choice for new investors due to its low fees and broad diversification.
What is the expense ratio of SCHX?▾
SCHX has an expense ratio of 0.03%. This means for every $10,000 you invest, you pay approximately $3 per year in fees. This is considered very low and cost-efficient.
How much money do I need to invest in SCHX?▾
You can invest in SCHX with as little as $1 through brokers that offer fractional shares (like Fidelity, Schwab, or Robinhood). There is no minimum investment required beyond the share price itself, which changes daily. Dollar cost averaging — investing a fixed amount regularly — is a popular strategy.
Does SCHX pay dividends?▾
Yes, SCHX pays dividends with a current yield of approximately 1.30%. Dividends are typically paid quarterly and can be reinvested automatically through most brokers.
What are the top holdings in SCHX?▾
The top holdings in SCHX include Apple Inc. (7.00%), Microsoft Corp. (6.30%), NVIDIA Corp. (6.00%), and more. The fund holds 750 total positions, providing broad diversification across many companies.
What sectors does SCHX invest in?▾
SCHX's largest sector allocations are Information Technology (31.50%), Financials (13.00%), Health Care (11.80%). This sector distribution shows a focus on information technology stocks.
How much do SCHX's fees cost over time?▾
With an expense ratio of 0.03%, a $10,000 investment in SCHX would lose approximately $258 to fees over 20 years (assuming 8% annual returns). This is a reasonable fee level.