Schwab U.S. Small-Cap ETF (SCHA) charges slightly lower fees than iShares Core S&P Small-Cap ETF (IJR) and holds a broader basket of small-cap stocks. IJR had a milder drawdown and slightly higher dividend yield over the past year. SCHA outperformed IJR on one-year total return but slightly lagged over five years.

SCHA tracks the Dow Jones U.S. Small-Cap Total Stock Market Index with 1,742 stocks, while IJR follows the S&P SmallCap 600 with 632 companies. SCHA has a 0.04% expense ratio, 19.9% one-year return, and $19.3 billion AUM. IJR boasts a 0.06% expense ratio, 13.5% one-year return, and $88.0 billion AUM.

SCHA looks more affordable with a 0.04% expense ratio and IJR has a slightly higher dividend yield over the past year. IJR had a max drawdown of 28.02% over five years, while SCHA had a drawdown of 30.79%. Both ETFs avoid leverage, currency hedging, and other complex features.

SCHA and IJR are both solid options for investors seeking small-cap exposure, with similar total returns over the last one, five, and ten years. IJR may be slightly preferable due to a higher dividend yield and less volatility, despite slightly lower growth in dividends compared to SCHA. Both trade at a discount compared to the S&P 500.

SCHA holds 1,742 stocks with sector weights in financial services (18%), industrials (17%), and technology (15%). IJR has a more concentrated portfolio of 632 companies, with top weights in financial services (18%), industrials (17%), and technology (14%). Both ETFs have minimal expense ratios and reasonable trading characteristics.

Read more at Yahoo Finance: Is SCHA or IJR the Better U.S. Small-Cap ETF?