2,400 Stocks or 315 Value Picks: Is SCHB or VTV a Better Fit for Your Portfolio?

Core Insights - The Schwab U.S. Broad Market ETF (SCHB) provides broader market coverage, while the Vanguard Value ETF (VTV) focuses on value stocks with higher income potential [1][2] Cost & Size Comparison - SCHB has an expense ratio of 0.03% and assets under management (AUM) of $38.0 billion, while VTV has a slightly higher expense ratio of 0.04% and AUM of $215.5 billion [3][10] - The one-year return for SCHB is 11.9%, compared to VTV's 10.2%, and SCHB has a dividend yield of 1.1% versus VTV's 2.0% [3][4] Performance & Risk Metrics - Over the past five years, SCHB experienced a maximum drawdown of 25.36%, while VTV's maximum drawdown was 17.04% [5] - An investment of $1,000 in SCHB would have grown to $1,779, while the same investment in VTV would have grown to $1,646 over five years [5] Holdings & Sector Exposure - VTV holds approximately 315 stocks, with significant allocations in financial services (25%), healthcare (15%), and industrials (13%), featuring top positions like JPMorgan Chase and Berkshire Hathaway [6] - SCHB, on the other hand, leans heavily into technology (34%), financial services (14%), and consumer cyclicals (11%), with major holdings including Nvidia, Apple, and Microsoft [7] Investment Strategy Implications - SCHB offers a comprehensive approach to market exposure, capturing around 2,400 companies across various market caps, making it suitable for investors seeking broad market representation [8][9] - VTV's strategy is more selective, focusing on large-cap value stocks, which may appeal to income-focused investors looking for higher dividends [11]