From Nasdaq: 2024-05-10 06:20:05

The Schwab 1000 Index ETF (SCHK) offers exposure to the Large Cap Blend segment of the US equity market. With over $3.42 billion in assets, this ETF is one of the larger offerings in this space, sponsored by Charles Schwab. It has a low expense ratio of 0.05% and a dividend yield of 1.28%.

Large cap companies have market capitalization over $10 billion, providing more stability and predictability. Blend ETFs like SCHK hold a mix of growth and value stocks. The ETF has the heaviest allocation to the Information Technology sector, with top holdings including Microsoft Corp (MSFT) and Apple Inc (AAPL).

SCHK aims to match the performance of the Schwab 1000 Index, offering a return of about 9.50% so far this year. It has a beta of 1.02 and standard deviation of 17.67% for the trailing three-year period. With nearly 1,000 holdings, SCHK effectively diversifies company-specific risk.

Investors considering SCHK as an option should be aware of alternatives like iShares Core S&P 500 ETF (IVV) and SPDR S&P 500 ETF (SPY), both tracking similar indexes. These ETFs offer different expense ratios and assets under management. Passively managed ETFs like SCHK are popular for their low costs and transparency, making them suitable for long-term investment strategies.



Read more at Nasdaq: Should Schwab 1000 Index ETF (SCHK) Be on Your Investing Radar?