Schwab U.S Small- Cap ETF

SCHA

Market cap $21.4B

The Schwab US Small-Cap ETF has delivered a strong start to 2026, benefiting from cheap valuations and larger exposure to the energy-exporting U.S. economy. While SCHA holdings are not as cheap relative to large caps as they were at the start of the year, I believe the trend of SCHA outperformance is likely to continue. This will principally result from earnings growth increasingly being driven by GDP growth dynamics, with the one-off boost to S&P 500 earnings from AI exposure fading after 2026.

Small-cap stocks have gained roughly 21% over the past year despite a choppy start to 2026.

Both SCHA and ISCB charge extremely low expense ratios, but SCHA is much larger. ISCB has a slightly higher dividend yield and a minor tilt toward industrials, while SCHA leans more into technology.

Schwab U.S. Small-Cap ETF charges a lower expense ratio, but iShares Core S&P Small-Cap ETF pays a slightly higher dividend yield. IJR holds fewer stocks and tilts a bit more toward financial services, while SCHA leans on technology.

Cloud computing ETFs have had a rough start to 2026, and Themes Cloud Computing ETF ( NYSEARCA:CLOD ) is no exception.

In the world of exchange traded fund (ETF) providers, Schwab remains one of the top companies I continue to use within my own retirement planning.

VB holds much greater assets under management and a slightly higher yield, while SCHA offers a marginally lower expense ratio. SCHA outperformed over the past year, but VB saw a smaller drawdown and higher five-year growth.

SCHA holds a broader basket of small-cap stocks than SPSM and has outperformed over the past year. SPSM costs slightly less and offers a marginally higher dividend yield than SCHA.

Launched on November 3, 2009, the Schwab U.S. Small-Cap ETF (SCHA) is a passively managed exchange traded fund designed to provide a broad exposure to the Small Cap Blend segment of the US equity market.

SCHA has delivered a higher one-year return but experienced a slightly deeper five-year drawdown than VB. Both ETFs keep expenses low, but VB edges out SCHA on cost and assets under management.