Schwab International Dividend Equity ETF (SCHY)

Overview

The Schwab International Dividend Equity ETF (SCHY) seeks to track the total return of the Dow Jones International Dividend 100 Index, a benchmark of non-U.S. companies that have a history of paying dividends. It provides exposure to international developed and emerging markets, excluding the U.S., and focuses on companies with high dividend yields. The fund is designed for investors seeking international dividend income and diversification.

Reputation and Reliability

Charles Schwab is a well-established and reputable financial services firm with a long history of providing investment products and services.

Management Expertise

Schwab has a team of experienced investment professionals managing its ETFs, known for their expertise in passive investment strategies.

Goal

To track the total return of the Dow Jones International Dividend 100 Index.

Investment Approach and Strategy

Strategy: The ETF employs a passive management strategy, tracking the Dow Jones International Dividend 100 Index.

Composition The fund primarily holds stocks of international companies, focusing on those with a history of paying dividends.

Market Share: SCHY holds a significant market share within the international dividend ETF category.

Total Net Assets (AUM): 704000000

Key Competitors

• VYMI
• IDV
• PID

Competitive Landscape

The international dividend ETF market is competitive, with several funds offering similar exposure. SCHY's competitive edge lies in its low expense ratio and the strong brand recognition of Schwab. Competitors like VYMI and IDV have larger AUM, but SCHY's lower cost can attract cost-conscious investors.

Historical Performance: Historical performance data is essential to review the ETFu2019s performance over different time periods to understand its track record. Historical performance should be obtained from reliable financial data providers.

Benchmark Comparison: Compare the ETFu2019s performance to its benchmark index to gauge its effectiveness. This information can be found from reliable financial data providers.

Expense Ratio: 0.11

Average Trading Volume

SCHY exhibits moderate liquidity, evidenced by its average trading volume, which allows for relatively easy buying and selling of shares.

Bid-Ask Spread

The bid-ask spread for SCHY is generally tight, reflecting its trading volumes and indicating relatively low transaction costs.

Market Environment Factors

Economic growth in international markets, interest rate policies of foreign central banks, and geopolitical events significantly impact SCHY's performance.

Growth Trajectory

SCHY's growth is tied to the performance of international dividend-paying stocks and the increasing investor interest in international equity exposure.

Competitive Edge

SCHY's advantages include its low expense ratio compared to peers, a well-diversified portfolio of international dividend-paying stocks, and the backing of Charles Schwab's established brand. These advantages attract investors seeking cost-effective and reliable international dividend exposure. The ETFu2019s passive management style helps to keep costs down, while the index methodology focuses on companies with a history of dividend payments, providing some downside protection. The large asset base also contributes to liquidity.

Volatility

SCHY's volatility is influenced by the volatility of the underlying international stock markets.

Market Risk

SCHY is subject to market risk, including fluctuations in international equity markets, currency risk, and political and economic instability in the countries where its holdings are located.

Ideal Investor Profile

SCHY is suitable for investors seeking international diversification, dividend income, and long-term capital appreciation.

Market Risk

SCHY is well-suited for long-term investors and passive index followers looking for international dividend exposure at a low cost.

Schwab International Dividend Equity ETF (SCHY) provides investors with cost-effective access to a diversified portfolio of international dividend-paying stocks. Its low expense ratio and backing by Charles Schwab make it an attractive option for long-term investors seeking international dividend income. However, investors should be aware of the inherent risks associated with international investing, including currency risk and political instability. The fund's passive management strategy aims to track the Dow Jones International Dividend 100 Index effectively. Overall, SCHY offers a compelling combination of low cost and diversified international dividend exposure.

Data Sources:

• Schwab Asset Management
• Dow Jones Indexes
• Morningstar

Disclaimers:

The data provided is for informational purposes only and should not be considered investment advice. Past performance is not indicative of future results. Investment decisions should be based on individual circumstances and consultation with a financial advisor.