SCHH: SCHWAB U.S. REIT ETF
Share-split context: A forward split was recorded on Mar 11, 2022 with coefficient 2. A forward split turns each old share into multiple new shares and lowers the quoted price per share proportionally. Proportional ownership is unchanged at the split moment, so the split itself creates neither a gain nor a loss. The price-return figures in this report are already split-adjusted.
ETF Education Report: SCHWAB U.S. REIT ETF (SCHH)
What this ETF is trying to do
The SCHWAB U.S. REIT ETF (ticker: SCHH) is an exchange-traded fund that focuses on Real Estate Investment Trusts, often called REITs. Instead of buying just one building or company, this ETF holds many different companies involved in real estate. Based on its top holdings, it includes companies like Welltower Inc and Prologis Inc. Because this is a partial list, it does not show every company the fund owns.
What the numbers show
When looking at how this ETF has performed, it is important to understand two different types of returns: price return and total return.
• Price Return: This only measures how much the share price itself has changed.
• Total Return: This includes both the change in share price *and* the money paid out through distributions.
For SCHH, the numbers show:
• Year-to-Date (YTD): The price return is approximately 4.12%, while the total return is approximately 6.23%.
• One-Year: The price return is approximately 2.16%, while the total return is approximately 5.35%.
• Three-Year: The price return is approximately 24.93%, while the total return is approximately 37.19%.
This ETF has a history of "forward splits." This means that in the past, one old share became multiple new shares. When this happens, the price per share drops, but your total ownership stays the same. This is a normal part of how some stocks work and does not mean you lost money.
Income and distribution explanation
Some investors look for ETFs that pay out cash regularly. This is called the distribution yield. For SCHH, the distribution yield is approximately 3.12%. This represents the cash paid out relative to the current share price. The fund usually pays these distributions quarterly, and it has made 4 payments over the last 12 months.
NAV erosion explanation
"NAV erosion" is a term used to describe when the value of the underlying assets in a fund decreases over time. It is important to note that a falling share price does not always mean NAV erosion is happening.
StockValueFinder uses an erosion-risk score to measure this risk. SCHH has an erosion score of 94, which is labeled as "Stable / sideways." The severity is rated as "good," and there is no severe erosion-risk flag for this ETF.
Pros
• The fund shows a history of positive total returns over one, three, and five-year periods.
• It has a "good" erosion-risk rating, suggesting price stability according to the provided score.
Cons
• The distribution yield is 3.12%, which may be lower than what some income-focused investors seek.
• As with all ETFs, the value of your investment can change based on market movements.
Beginner takeaway
When studying SCHH, remember that the total return is higher than the price return because it includes cash distributions. While the fund provides regular income, always look at both the share price and the total return to see the full picture of how the investment has moved.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | WELLTOWER INC | WELL | 9.87% |
| 2 | PROLOGIS INC | PLD | 8.86% |
| 3 | EQUINIX INC | EQIX | 4.78% |
| 4 | AMERICAN TOWER CORP | AMT | 4.66% |
| 5 | DIGITAL REALTY TRUST INC | DLR | 4.65% |
| 6 | SIMON PROPERTY GROUP INC | SPG | 4.51% |
| 7 | REALTY INCOME CORP | O | 3.86% |
| 8 | PUBLIC STORAGE | PSA | 3.51% |
| 9 | VIVMARK RESIDENTIAL | VMRK | 3.24% |
| 10 | VENTAS INC | VTR | 3.21% |