SCHB
Schwab U.S. Broad Market ETF
Mentions (24Hr)
-100.00% Today
Reddit Posts
SCHB vs SCHX - Thoughts on this Brokerage/Roth setup?
Can someone help me understand what the hell I’m doing with my cash
Seeking advice for my parents’ investment plan (mid-60s, new $500k inheritance)
Thinking of buying a bunch of SCHB $27 calls expiring January 2026 for some huge gains?
Looking for the best index fund under 100 USD
Comparing SCHD vs SPLG vs SCHB allocations for a taxable account
$50K to invest into taxable brokerage. Allocation question.
Suggestions on your favorite growth and dividend growth ETF's.
As an ETF Boglehead style investor is now a good time to diversify 15-30% into blue chip stocks experiencing decline?
Would a combination of say, 80/20 SWTSX/SWISX be a good idea for my Roth? Should I also include ab emerging market fund since that isn’t included in SWISX? If so, which one? Is SCHB an emerging market fund?
Why the sudden jump in US broad market ETFs (e.g. VTI, SCHB)?
College Student, Make around 200 dollars a week, Want to mindlessy invest 40 dollars every week into ETFs or stocks
Wanting to invest recent VA backpay - thoughts on how I'm proceeding about doing so
VOO or SCHB: what circumstances determine which investment to choose?
Hey, I’m 69 and looking into asset allocation for my long term buy and hold portfolio.
Looking for a treasury-based fund that doesn't pay dividends frequently
Should I change where my Traditional IRA is/how to do that?
Advice or criticism on this long term (withdrawing half in 30 years, rest will be locked away from 80+ years)
Facebook/Meta "fair value estimate" at Morningstar is 400/share.
First ever options trade (covered call). Can you help me understand what I'm looking at...?
Anyone else have a portion of their portfolio in dividend etfs?
Closing Stock Positions, Throwing all into ETFS: VTI vs. VOO vs. SPY?
What’s a stock in a solid, stable company I can swing trade for $4000.
Mentions
You can sell one ETF and immediately buy a very similar one that tracks a different index without creating a wash sale, so adding in another step of puts on the second would make it even less likely to trigger a wash sale. The IRS has chosen not to provide explicit guidance in this area, but robo-advisors like Betterment and Wealthfront have been very public about doing this, complete with white papers listing the near equivalent ETFs they use. For example, the three total US stock market ETFs VTI, ITOT, and SCHB. They all track total US stock market indexes, but from different index providers. That is not a tax court case law or explicit IRS guidance, but IMO it is a safe real life precedent to follow.
I'm not a fan of overplaying my hand in sector ETFs. However, making it 30% of your portfolio is fine. Example in a taxable brokerage account: \- 70% VTI or SCHB \- 30% SOXX. Could be replaced with FTEC or QQQ.
Individual stocks: - Google (GOOGL) - NVIDIA (NVDA) This is due to their EPS, market dominance, cult fans, and P/E ratio. Basket of stocks in an ETF wrapper: - VTI or SCHB - FTEC or VGT
You're fine Individual tech is only 10% total, and SCHB mirrors VTI anyway Your mega cap exposure is actually super reasonable 👍
Drop that guy and go with SCHB and SCHF. Far better cost effectiveness given that Merrill Edge does not allow fractional share investing.
Im freeing up 20K, gonna split it up between DRAM, SMH, QQQM, SPMO and SCHB.
Neither. Pick a Total USA ETF and ride it to the 30 year goal. Below are 3 excellent picks based on trade volume. - VTI - ITOT - SCHB
The best plan given your amount of money available to invest is: A) Open a Roth IRA with Fidelity or Charles Schwab and start investing into a Total USA fund. $625 per month in either FZROX with Fidelity or SWTSX with Charles Schwab. B) Open a taxable brokerage account with either one, and invest $1,000 into ETF "SCHB". It is a Total USA ETF. C) Leave the remaining $375 per month in a money market fund for emergency savings in your taxable brokerage account. Either SNSXX with Schwab or FZFXX w Fidelity. Warning ⚠️: It takes 1 business to pull the money out of a Money market fund. For weekend trips to Las Vegas or camping trips, pull it out on a Wednesday just in case. Same best practice for international trips to cash centric countries.
Typical humpty dumpty advisor portfolio, with an extra dash of fancy stuff (SMA) to get you to pay more fees. I'm going to assume this is a taxable account based on their proposing municipal bonds and a tax-managed fund. If this were my money, I would just go buy 100% AVMA, which is a 70/30 balanced fund with very low tax drag. Alternatively, use the 30% to buy CGMU or VTEB and with the 70%, buy DFAX and a broad market US fund such as SPTM, VTI, or SCHB in the percentage split of your choice. No 1.5% fee taken out of your returns!
Get out of Primerica as soon as possible and count the $1200 USD loss to ignorance. Get with Fidelity if you don't travel or rarely travel outside of the USA. Assuming if this is for taxable brokerage account, look into ETFs. VTI is a great ETF for people with large sums of money. If you travel often, especially outside the USA 1+ time per year, go with Charles Schwab. You can invest with VTI or SCHB. They do the same thing. The only difference is trade volume, which benefits those with large sums of money. VTI is better if you will have large sums of money routinely. SCHB is basically the middle-class ETF version of VTI.
Not really. I hold QqqM,SPMO, SMH, SCHB and VTI. None have really exploded the same way as, say, Micron. The 1 year return on VOO was 34.9%. Still very good. I’m not saying these returns are sustainable.
The best time to plant a tree was 30 years ago. The next best time is today. Put the money back in and sounds like ETFs are your style: VOO, SCHB, SCHK for example. If you want to target an industry check out something like SOXX, semiconductor ETF
It sounds like ETFs will be a better fit. You can get the whole U.S. market with something like SCHB/VTI//SPTM and get the whole international market with VXUS. This way, if check your account and everything is down, it's just because that's how the whole market is performing today. You learn to see downturns as discounts for your ETFs, and buy while they're on sale. Buying and holding is less stressful and requires less discipline. You don't have to worry as much about researching companies or finding out too late that you still didn't account for some metric and how it related to other metrics and this or that headline combined with its correlation to some other sector.
When you place a market order, you agree to buy a security at whatever price it happens to be at right now. The advantage of this type of order is that your order will likely be filled the same day. It guarantees your order will be filled, it just doesn't guarantee the price you pay. This will rarely ever be that important for a "buy and hold" investment like an ETF or a stock you actually believe will be good in the long term because the goal is to let it compound and grow over time, not to flip it over for a profit. A limit order works in a similar way, but you are allowed to set a price limit. For example: let's say the ETF SCHB trades at 25.40 right now. I want to buy in lower at 24.50. I can place a limit order for 40 shares at 24.50. The only problem is that I can't guarantee the price will go that low. If the price never goes that low, my order will not be fulfilled which, in theory, could delay my entry into the market indefinitely. The con here is that if I have enough time to hold the asset for at least 10 years, it doesn't matter where I buy or what the market does after I buy. I'm missing out on compounding waiting for a price that might not come. You could of course pick a more reasonable low price but that's the gist of it. You get the price you want but you wait longer with no guarantee of fulfillment. People usually use these orders for stocks they believe are overvalued so they can get in when the market corrects. It allows them to buy the dip without having to actively check the market all day and guess. They just put in where they hope the dip goes and where they'd accept it anyways if the dip goes lower.
See r/bogleheads I have done backtests on many complicated portfolios suggested by financial advisors. They all end performing pretty much identical to the simple 3 ETF portfolio recommended by Bogleheads: 1) broad market US stock market ETF like VTI or ITOT or SCHB, 2) a broad market international stock ETF like VXUS or IXUS, and 3) a broad bond ETF such as BND.
If permanent life insurance is that thing where you put money into it, *more* as you get older, and then you can pull it out as a cash benefit, I'd say run to the hills. These grow more slowly than the market average and get progressively more expensive as you age. The main selling point is that it's cheap now when you're young and healthy (and naive). If the best selling point is a sense of urgency, is it a great idea? If they're selling you relief from potential FOMO, is that the same as relief because you made good choices managing your money? Guess what is equally cheap, doesn't get more expensive to contribute to as you age, and historically yields higher returns? Furthermore, you can manage it yourself and avoid fees for managed or guided investing. SCHB, VTI, ITOT, or VOO, SCHX, IVV, SPYM, etc. aka. the total U.S. market or the S&P 500. And you don't need all of those, you can just pick one. Or pick VT for the whole world market and chill.
If the stock is doing better in this cycle, you'll be buying at a premium. If the stock is dropping in this cycle, you can buy at a discount. Personally, I just use ETFs. I'll hopefully be scraping together some loose cash to put into SCHB. Maybe SCHD if I want more concentration in consumer staples, energy, financials, etc. or SCHG if I want in on a possible tech recovery. We can't truly predict the market. Just keep buying what you like when you see red and try not to miss the recovery. No one knows where the real bottom is. Or even the top for that matter. Don't gamble, invest :)
Look for low turnover, low fee funds preferably index passively managed etfs. Schwab takes taxes out for my dividend payouts. *Qualified dividends are taxed at lower long-term capital gains rates (0%, 15%, or 20%), while ordinary (non-qualified) dividends are taxed as ordinary income at higher rates (up to 37%). Qualified dividends must meet specific holding period requirements (holding the stock for >60 days during the 121-day period surrounding the ex-dividend date) and be paid by U.S. or qualifying foreign corporations *Not a recommendation but Berkshire does pay dividends. *The Roundhill S&P 500 No Dividend Target ETF (XDIV), launched in July 2025, is designed to track the total return of the S&P 500 without paying dividends, allowing investors to avoid taxable income. It works by actively selling holdings just before ex-dividend dates and rotating into other S&P 500 I hold several etfs and mutual funds. Some low dividend ones are SCHG .41%, VOO 1.12%, SCHB 1.24% SWTSX 1.09% There's no way to avoid just look for low payouts.
Great point on the SCHB overlap. I was keeping it in the Roth mostly for stability, but using that space for higher tax-free growth makes way more sense. I’ll look into gridoasis too—finding names that ETFs underweight sounds like a solid play. Appreciate the insight!
Thank you! Would you even say just remove SCHB and VXUS entirely out of the Roth? Part of me likes keeping at least a small portion in a broad index
Clean setup for 36! One tip: maximize your Roth for high-growth (AVUV/SCHG) since it’s tax-free, and keep the 'boring' SCHB/VXUS in your brokerage. Also, go 0% bonds in the HSA to let that growth compound. Overall, looks great!
I like this! I had SCHB in the Roth to “balance out” some volatility with the small cap value holdings. Closer to retirement I was going to trim the small cap value and add in something like SCHD
looks clean. one thought though, your brokerage and roth have a lot of overlap with SCHB in both. you might be doubling up on exposure without getting real diversification benefit. roth is where i’d go more aggressive with individual names since gains are tax free anyway. i’ve been running small caps through ai analysts on gridoasis.com and finding some interesting names that etfs wouldn’t weight heavily. might be worth exploring once you’re comfortable with the core allocation.
Honestly, you’re probably overthinking it a bit. SCHB and SCHX are both broad US funds, and over decades the differences won’t matter much. Your split makes sense for avoiding overlap and wash sales, just stick with it and keep consistent.
I’m 25 living in the US. I have around 74k in my 401k, an emergency fund & around 15k in a brokerage account. Can someone give me feedback on my current brokerage portfolio please? I’m high risk tolerant & I have no purpose for these funds yet. This is an account I toss money towards each month from whatever is left over. $15,000 total 70% SCHB 15% SCHF 5% SCHD 5% Gold 5% Bitcoin
SCHB is great. Mine is PAC.
That was **NOT** what I said I said keep 7k in cash just in case lol. SCHB is fine but just so you know # of shares is irrelevant with functionally identical ETFs. If the market goes up 10% the 2 50$ shares each go up 5$ and the 100$ share goes up 10$, nets out the same
Awesome awesome. Yea, I got SCHB because I could afford more than VTI. I researched an alternative for that one. I’ll research the other ones. I’m very familiar with bitcoin so got excited with IBIT. Because of the dip I started DCA’ing BTC again. But I’m half and half with Crypto, I think it’s a scam then I think it not 🫤
Roth IRA: This is a target date fund. Basically you're paying a bit more expense ratio in exchange for active management of the stock/bond ratio to target 2060 retirement. Nothing wrong with that if it's what you want. 401k: This is kind of the opposite of a tech ETF, where it's specifically investing in industries people value less that may be undervalued by investors and have better fundamentals Schwab/IRA: SCHB is a VTI equivalent. You are essentially doing the classic VTI/VXUS strategy with those two. Pretty good strategy. Additionally you have ETFs dedicated to bitcoin, growth stocks and small caps. I recommend you actually figure out what these are doing if you're investing not just copying Reddit.
VTV and VTI are clearly not substantially identical. Wealthfront and Betterment have published white papers on their tax loss harvesting methods and they use index funds that are very similar, but which follow indexes from different index or providers. The IRS has not objected. The IRS has not even objected to swapping between ETFs that follow the same index, such as SPY and VOO, which are both SP500 ETFs. That is pushing it too far for my taste, but I do TLH between VTI, ITOT, and SCHB which are in total US market ETFs, but the index providers are different.
Go look at r/bogleheads >\-More diversified than VOO? If so, what? Total US EtF such as VTI/ITOT/SCHB is slightly more diversified than VOO/SPY. More important is diversification by holding international equities via an ETF like VXUS or IXUS. As you approach retirement you should add bonds. >\-Dividend ETFs? And reinvest the income (after tax and living expenses) into SPY or VOO? That creates an unnecessary tax drag. Dividends are not "free money" and in fact actually end up a negative during the accumulation phase when you are just reinvesting the dividends. >\-Treasuries and bonds? Yes, 5 to 7 years before your expected retirement start transitioning to your desired asset allocation in retirement.
Right now Tesla is only 1.7% of SCHB
Right now Tesla is only 1.7% of SCHB
Absoultely and I agree fully, but it my eyes it fully depends on risk tolerance, other foundational setups etc. Personally, I have a high risk tolerance. I’m 25, my 401k is already tracking the S&P and I’m aggressively investing. I want to grow my portfolio and you can certainly outperform the S&P short term (as you mentioned). Just gotta take advantage of trends and hedge when needed. But, if someone has a low risk tolerance then VOO/SCHB etc is just a much better direction especially if your not looking at your portfolio on a day to day basis
>, growth-based stocks and or ETFs/mutual funds should be 100% the goal you had me in the first half, IMHO I do not know what will out perform in the next 30 years , VTI/VOO are not growth funds, they are broad market funds that will hold growth and value and also pay dividends Growth focused funds like SCHG are not guaranteed to grow more in the next 20 years, they might, they might not. I would say age doesn't even matter , I have no clue why people think they need dividends after 40/50/60? Returns are what matter. TLDR do not bet on growth or dividends buy the market . SCHB/VTI/ITOT take your pick
This is super helpful! I will read up on these links! I didn’t notice any Bonds or mutual funds in your brokerage account and curious why that was, in specific no bonds? I believe this is what you mentioned, which I think i’ll plan on doing the same unless there’s a better way to strategize or optimize/diversify: SWTSX (MF, Total Market)/ SWISX (INTL MF) / SWAGX (MF Bond) - In ROTH IRA SCHB (US ETF) / IXUS (INTL ETF) - In Brokerage SWVXX (MMF) / USFR (FL TREAS ETF)
Saving receipts is a strategy IF you have an HSA. No reason to save receipts without an HSA. 70% includes mutual funds that hold stock. SWAGX holds bonds so that's not part of the 70% You can put an order to buy mutual funds and it will execute after the market closes tomorrow. I don't know of any reason to wait to put the mutual fund order in. ETFs you can put an order in and it will execute at market open in the morning. A limit order is where you specify the price your willing to pay and it will execute if it hits that price. A market order is where it executes at whatever the price is. I guess technically putting in a market order after hours is risky because it could execute at a weird price in the morning, but I've never had an issue. That said, I'm usually investing small amounts at this point. It wouldn't hurt to wait until the morning after the market opens for your ETF buys. I chose SCHB over SPY because I wanted a total market fund not a S&P 500 fund. If I did want an S&P 500 fund I still would't of picked SPY, the other big ones have lower expense ratios. Regarding risk and how much stocks vs how much bonds to hold I can't really tell you what to do there. How are you going to react if in 6 months the stock market crashes 50% and your accounts are worth 1/2 of what they are now? If you can afford to ride that out while it recovers 7 years and not panic sell then you risk capacity / tolerance is high and you could tolerate a higher allocation to stocks. If that makes you queasy then you may want less risk (more bonds). Bonds are intended to act as ballast and reduce the volatility in your portfolio. If you are 100% stocks and the market falls 50% then you 'lose' 1/2 your money. If you are 50% Stocks 505 Bonds and the market falls 50% then you onle 'lose' 25% of your money. The counter is the more bonds the lower your expected returns. [https://www.schwab.com/learn/story/how-to-determine-your-risk-tolerance-level](https://www.schwab.com/learn/story/how-to-determine-your-risk-tolerance-level) [https://www.schwab.com/resource/risk-capacity](https://www.schwab.com/resource/risk-capacity) [https://www.investopedia.com/terms/r/risktolerance.asp](https://www.investopedia.com/terms/r/risktolerance.asp)
Regarding HSA - to clarify, if I don’t buy HSA, the other option is to save my receipts and get re-i’mbursed 100% in 30 years? I didn’t know you can do this. Who can keep receipts for 30 years? I need to start keeping them! I need to figure out how to look up HSA eligibility. either 70/30 or 80/20 sound good to me for sure! I don’t know how to figure out my risk. from the 70% stock - i’m assuming this includes mutual funds? Also I just got off the phone with Charles Shwab and they said to purchase the ETFS and Mutual Funds during the Trading times (before 2pm EST for mutual funds and 9:30 - 4pm EST for ETF). I was going to buy some ETFS and the uninvested cash we spoke of tonight but they said i can i would just need to set my purchase limit on the mutual funds and etfs will change during the AM time tomorrow before trading session. Does it really matter if I waited until tomorrow to buy or should I go ahead and buy now? I also just transferred funds to my Tradirional IRA to do the backdoor Roth IRA, but they said the funds in the traditional won’t be ready until Jan 9! Sheesh I didn’t know it would take that long! Also, is there a reason why you chose SCHB over say SPY in your brokerage?
Regarding HSA - to clarify, if I don’t buy HSA, the other option is to save my receipts and get re-i’mbursed 100% in 30 years? I didn’t know you can do this. Who can keep receipts for 30 years? I need to start keeping them! I need to figure out how to look up HSA eligibility. either 70/30 or 80/20 sound good to me for sure! I don’t know how to figure out my risk. from the 70% stock - i’m assuming this includes mutual funds? Also I just got off the phone with Charles Shwab and they said to purchase the ETFS and Mutual Funds during the Trading times (before 2pm EST for mutual funds and 9:30 - 4pm EST for ETF). I was going to buy some ETFS and the uninvested cash we spoke of tonight but they said i can i would just need to set my purchase limit on the mutual funds and etfs will change during the AM time tomorrow before trading session. Does it really matter if I waited until tomorrow to buy or should I go ahead and buy now? I also just transferred funds to my Tradirional IRA to do the backdoor Roth IRA, but they said the funds in the traditional won’t be ready until Jan 9! Sheesh I didn’t know it would take that long! Also, is there a reason why you chose SCHB over say SPY in your brokerage?
Ok so this is what I am going to do today: SWTSX/SWISX/SWAGX - Roth IRA SCHB/IXUS - Brokerage (taxable) SWVXX/USFR - uninvested in brokerage. What percentages should be the breakdown?
Ohh I see! I thought the SWAGX was in your Roth IRA. Since I am not elligible for a Traditional IRA, would I just forgo the SWAGX entirely and just stick with SWTSX and SWISX in my Roth IRA, or is it good to add the SWAGX to my Roth IRA? I would like to use the Boglehead 3 pillars to investment - which is having diversified accounts in each brokerage and IRA. This is what I am thinking: SWTSX/SWISX/SWAGX: in Roth IRA account SCHB/IXUS: in brokerage (taxable account). SWVXX and USFR for uninvested cash (for liquid money). Anything I can change to make it stronger? And regarding investing in 401k in index funds, can I invest in these same above at Fidelity since my 401k is with fidelity?
This page lists all of Schwab’s Index mutual funds and ETFs https://www.schwab.com/schwab-index-funds-etfs Personally I have SWTSX/SWISX/SWAGX (bonds) in my retirement accounts at Schwab and SCHB/IXUS (international) in my brokerage. The specific ETFs/Funds don’t matter; diversifying across the asset classes with low cost funds is what matters. There are alot of different funds you can use to implement that strategy. An alternative approach you might consider in your IRS is a single Target Date Index Fund. It’s a fund of funds, comprising low cost index funds that covers all the asset classes we’ve been talking about and automatically becomes more conservative as the target date approaches. It’s a one stop shop. https://www.schwabassetmanagement.com/products/stir Just make sure you understand the asset allocation and how it changes over time. You can always start with one and switch to a more DIY approach later. No harm changing your portfolio inside your Ira
Regarding International…. It diversifies you away from just the US. The US market has outperformed the global market for a while but no idea if that will continue. Plenty of smart people say US only is fine because the biggest US companies are international businesses. Other people say that ignores large swaths of the global economy. I have no idea what the future holds. Personally I the I’m about 30% of my stocks allocated to International. Last year was the first time in a long time International outperformed the US. SWISX is fine in either in a taxable or tax sheltered account. It will tend to pay a bit more dividend then SWTSX but still pretty tax efficient. If you are holding in taxable accounts I’d favor the ETF versions. SCHB is the ETF equivalent to SWTSX, SCHF is the ETF equivalent to SWISX. SWVXX is fine, TBILL ETFs like SGOV or FRN ETFs like USFR, or TBills are all fine places for cash. Personally I found directly buying TBills to be inconvenient so stopped and just use the ETFs and Money Markets now.
It’s SWTSX, assuming you mean Schwab’s Total Market fund. If you want International exposure their International fund is SWISX. You don’t need a separate account at Fidelity unless you want it for some other purpose. Their sweep options are better than what you get at Schwab for uninvested cash but that’s only an issue if you leave the cash sitting in your Schwab account. Investing, like you would be doing by buying SWVXX, SGOV or USFR, solves that problem. The downside to Schwab is having to do it manually whereas Fidelity automates (sweeps) the cash to and from their SPAXX money market for you. The manual options actually yield a bit more so are better as long as you are ok with the manual step. Personally, I don’t see a reason to overweight dividend stocks, all the stocks in SCHD are already in SWTSX and SCHB. If you do decide to hold SCHD consider holding it in your IRA to minimize the tax drag.
I am completely new to investing and I’ve been trying to read as much as possible and ask questions. Please let me know your thoughts on this game plan and if there is anything you would change, take out or add? This is just me going based off notes. I am 100% open to suggestions. Step 1: Contribute 4% employer match to 401k on Fidelity. Step 2: Backdoor Roth IRA - contribute $7,500 and invest in SWTSK (any other mutual fund or ETF I should invest in IRA?) Step 3: Invest in SCHB or SCHX in Taxable account Step 4: Invest in SGOV, USFR, and SWVXX in Taxable account - All for liquid funds Step 5: (Consider investing in SCHD in taxable account?) - Dividend focused ETF. Step 6: (Consider a Sweep account at Fidelity which offers a higher % return in a MMA, not sure why?) Step 7: Is SWPPX and/or SWTSX necessary, and if so, which account and why? Step 8: What about international ETFs and/or Bonds, should I add any to my taxable account and if so which ones? Step 9: Consider QQQ in a taxable account (but would this be redundant if I already will have SCHX or SCHB?)
Also, is the QQQ necessary if I choose to invest in SCHX or SCHB which are both broader? I am not sure. Here is my game plan: Please let me know your thoughts and if there is anything you would change, take out or add? This is just me going based off notes from here. I am 100% to suggestions. Step 1: Contribute 4% employer match to 401k on Fidelity. Step 2: Backdoor Roth IRA - contribute $7,500 and invest in SWTSK (any other mutual fund or ETF I should invest in IRA?) Step 3: Invest in SCHB or SCHX in Taxable account Step 4: Invest in SGOV, USFR, and SWVXX in Taxable account - All for liquid funds Step 5: (Consider investing in SCHD in taxable account?) - Dividend focused ETF. Step 6: (Consider a Sweep account at Fidelity which offers a higher % return in a MMA, not sure why?) Step 7: Is SWPPX and/or SWTSX necessary, and if so, which account and why? Step 8: What about international ETFs and/or Bonds, should I add any to my taxable account and if so which ones?
Ok gotcha! To clarify, you want a short duration basically?! Ok this is my plan so far. Please let me know your thoughts and if there is anything you would change, take out or add? This is just me going based off notes from here. I am 100% to suggestions. Step 1: Contribute 4% employer match to 401k on Fidelity. Step 2: Backdoor Roth IRA - contribute $7,500 and invest in SWTSK (any other mutual fund or ETF I should invest in IRA?) Step 3: Invest in SCHB or SCHX in Taxable account Step 4: Invest in SGOV, USFR, and SWVXX in Taxable account - All for liquid funds Step 5: (Consider investing in SCHD in taxable account?) - Dividend focused ETF. Step 6: (Consider a Sweep account at Fidelity which offers a higher % return in a MMA, not sure why?)
In the UK you’ll want to look at UCITS equivalents rather than US-domiciled ETFs. For broad quality and dividend exposure, funds tracking MSCI World Quality or FTSE Developed Dividend indices tend to be the closest substitutes. Just be aware the factor definitions won’t line up perfectly with QGRW or SCHB, and costs can be a bit higher.
Check out SCHK and SCHB. Personally I prefer SCHB over SPY.
PLTR was the only one to really take off before April. The other positions were small at the time. The positions mentioned above aren’t my whole portfolio. I have “ safe” stuff too such as VOO and SCHB and D to diversity. Why it doesn’t show much of a loss
You don't need to do a backdoor Roth unless you make more than about 146k per year as a single person (limit for married people is higher). Automation means that you can set up regular investing without having to manually make purchases every time you want to buy some shares. So say you want to buy $100 worth of SCHB every Tuesday. With automated investing, you could set that up one time and then Schwab would do it automatically for you without you doing anything else -- other than making sure you always had $100 in your Schwab account to do that. Without the automated option, you would have to sign into your Schwab account every Tuesday and place a buy order. People like to invest in an IRA because it is tax-advantaged compared to a taxable account. Traditional IRA -- you put in money that has never been taxed, or you get a deduction on your taxes for your contribution. The money grows tax-free over time in the traditional IRA. If there is interest or dividends, you don't pay taxes on it. If you decide you want to sell one fund and invest in something else, you just do it and don't pay capital gains tax on it. When you actually withdraw the money from the traditional IRA in retirement, you pay income taxes on what you withdraw. Roth IRA - you put in money that has already been taxed. For example, you take money out of your checking account and put it in your Roth IRA. You don't get a tax deduction for contributing this money to the IRA, unlike with a traditional IRA. But it grows tax free, just like with a traditional IRA. You can sell it without paying capital gains tax. And when you take it out of the Roth IRA in retirement, it is completely tax-free. Taxable brokerage -- just like with a Roth IRA, you are putting in money that has already been taxed once. As the money grows, you pay taxes on any interest, dividends, or capital gains -- including if you want to sell something, typically you are going to be paying capital gains taxes on your profits. So this is money that is going to be essentially taxed multiple times. Because you are getting hit with repeated taxes, most people prefer to contribute the maximum to an IRA and other tax-advantated accounts, like a 401k, before investing in a brokerage.
Historically they perform similarly over long time scales. Both are fine. I prefer the broader exposure SCHB gives you but that’s just personal preference.
I forgot to ask, is there also a reason to invest in SCHB vs SCHX - so you can focus on the top 750 companies? Wouldn’t growth be slower in the SCHB since it’s more broad?
This helps put things into perspective thank you so very much!!! Also would it be redundant to split my eggs into SCHX or SCHB or even SCHK? Or is it smarter to buy more of one like SCHX?
VOO is an S&P500 index fund basically the top 500 companies SCHX is the dow jones large cap , basically top 750 companies SCHB is total stock market , it will have like 2500 companies that include mid-small cap So you buy SCHB if you want to hold mid/small cap companies The difference between VOO/SCHX is very minimal , its like why buy coke instead of pepsi , they basically both are colas, they both have cola flavoring , caffeine , sugar , carbonation but they have slightly different increments , but in the end they are pretty simular
Personally I buy SCHB and (SWSTX in IRA) not VOO. Total market / S&P 500 are all going to perform similarly over the long term. Don’t overthink it. Most of your account growth early on is going to come from your contributions. It’s going to be a bit before the investment returns start outpacing your contributions; though it’s glorious once you get to that point.
I have my 401k at Fidelity, but I hear folks choosing between Schwab or Vanguard so I picked Schwuab for now, Not sure why I wanted a separate broker but maybe to diversify? Question - why buy VOO and not SCHB or SCHX? Can I do auto buy on Schwuab? And does it automatically come out of my checking account? And are these purchases post tax? When buying ETFs, is it recommended they go in a taxable account or Roth IRA? How do you determine?
Also, why buy VOO and not SCHB or SCHX?
Say for example 1 share of SCHB is $20. Imagine I have $21 to buy ETFs. I purchase that 1 share for $20 but now have $1 leftover to spend. The dollar is not enough to buy another ETF, stock, etc. so now it is sitting as unappreciated cash in my account. So basically it’s a drag because it’s sitting there not appreciating in value until I have contributed another $19 to buy another share of SCHB. So I either wait until I put more money in to buy more things OR if it bothers me enough I can just put everything in a mutual fund such as SWPPX for the exact amount (so 20 shares of SWPPX = $20 = no leftover cash to sit there doing nothing). I have different Schwab funds in my tax deferred and taxable accounts to avoid wash sales. Basically if I ever sell a stock at a loss and decide to repurchase it within 30 days in another account, I cannot claim this loss on my tax return. Again, I’m dumb and not an expert so this is my lizard brain understanding of the issue…but I have similar yet different Schwab funds in those 2 accounts to avoid this although I intend on holding these for life so I don’t anticipate it ever being a problem. It’s just my OCD brain and scratches the itch of doing something a little different in each account to keep things interesting. I’m sure someone will correct me if I’m wrong.
Thank you so much for this info! Do you know the pros/cons to buying the ETF or Mutual Fund versions? Not sure if I should buy one or the other and say if I stick to just ETFs or just Mutual funds to buy only one ETF (i.e SCHX) or divide between SCHX and SCHB? Or If I should buy 1 ETF and 1 Mutual Fund? And how do I know when to put them in a Roth IRA or in a taxable account? Also, do I buy these ETFs/Index from my income (post tax)? Or could I purchase them pre-tax, like how a 401k would work?
I'm not too familiar with what Canadian citizens have access to but if you can get broad US stock or broad western market stock funds with low fees, that's a good choice. Vanguard offers two funds called VOO and VTI that are popular. Most financial institutions offer their equivalent for it. Schwab has SCHB. Fidelity has FSKAX. Basically what we have seen is that these markets grow on average about 7% per year. Key point is that is over long periods of time which is why you have to be okay with volatility. It might grow 10% for a few years, then be down 20% for a year. Then 3% the next year..etc. 7% is the average over the 20-30 year span.
Index Fund just refers to a fund that tracks an index instead of having a fund manager pick stocks. An Index fund can come in either ETF or Mutual Fund form. SWPPX, SWTSX, VFIAX, SCHB, SCHX, VTI, VOO are all index funds. There are no fees for buying/selling ETFs at Schwab. There are no fees for buying/selling a wide range of mutual funds at Schwab. Schwab doesn’t allow buying fractional shares of ETFs or setting up automatic periodic purchases of ETFs. They do allow both these things for mutual funds. ETFs tend to be more portable than mutual funds should you decide to change brokers. ETFs are slightly more tax efficient than mutual funds when held in a taxable account. This is because mutual funds are more likely to have capital gains distributions, though they tend to be minimal for index mutual funds so not a major concern. If you are ok not being able to buy fractional shares and auto invest I’d hold ETFs in a taxable account for the increased portability and tax efficiency. I’d use Schwab Index Mutual Funds in an IRA. Especially if you want to set up a monthly contribution and have it automatically get invested. These are minor differences… either ETFs or Mutualfunds are ok in both.
You can buy VOO and VTI at Schwab for no fees. The only downside is they don’t allow purchasing fractional shares of ETFs. Schwab doesn’t have their own S&P 500 ETF, though SCHX is similar. They do have an S&P 500 mutual fund (SWPPX). SCHB is roughly equivalent to VTI. SWTSX is the mutual fund version.
Thank you for this help! What do you mean by you have money left over or money drag? I’m unfamiliar with what that is or why it happens and why it’s bad? Also, why do you have both SCHX and SCHB and not just one? Also, why have SCHB in a Roth and SCHX in a taxable account? Did you have to create a separate Roth account?
Take this with a grain of salt as I’m not an expert, just another person on the internet wanting to learn more about investing to secure my future…I’ve been with Schwab for over a decade. I’ve recently moved my private equities into ETFs to simplify things. My main fund is SCHB, which is a broad market fund that includes large, mid, and small cap companies. This would resemble VTI to the best of my understanding. The only issue I have so far is I always have money leftover after buying these ETFs. You can instead choose a mutual fund such as SWPPX (which tracks the S&P 500) or SWTSX (which is a total stock market index). It’s a dollar a share and you can buy whatever you want without having any leftover cash drag. I use the Schwab funds as I earn a low wage and the Vanguard funds are beyond my budget. I keep SCHB in my Roth and SCHX in my taxable (any leftover change after maxing my Roth goes here). I get a 1099 form every year only for my taxable account for any capital gains I had (selling a stock) or qualified dividends.
You don’t need SCHD at your age, your focus should be on total return, i.e., dividends PLUS capital growth. You’re unnecessarily omitting non-dividend paying stocks. Look at VTI/SCHB to capture the broader market. SCHD may make more sense if/when you may actually need to rely on dividends in 30+ years. You’re also heavy in US-only stocks. This is always a debate but I believe you should have some weighting in developed/emerging markets, like VEA & VWO. This year is a good example of international outperformance relative to domestic.
If you look at other broad market funds like ITOT or SCHB they are up .74% , so VTI did drop its just the market is up more then the drop.
I've been 100% VTI (SCHB) for most of my investing life but I am at the point where I'd like to consider retirement, or at least a long sabbatical. Instead of changing to a bond heavy allocation I've been thinking about just investing in a Schwab targeted date fund with a target a year or two away and let them do that allocation shift. Stupid? Lazy?
I'd recreate VT basically. I'd probably take 90k and put it into 50% SCHB, 10% SCHD (value/defensive tilt), 30% SCHF for international, and 10% into SCHE for emerging markets. The other 10k I'd put into something fun or something I believe in which for me right now would be RKLB or physical silver.
is SCHB ETF really down over 4% over night? dafuq?
I need some non retard advice, Right now I’m thinking of committing 100% of my Roth IRA($7K will max out every year) to SCHG(a bit more diversified from QQQ but still aggressive) 80% of my taxable brokerage to SCHB and 20% to SCHV ($24K in total $2K/mo). No international exposure as I just can’t get behind it right now, might add in as my capital increases and I can invest more. 23 YO with a 42 year time horizon, thinking of setting and forgetting with this mix. Thoughts? Also I’ll ofc buy 0DTE spy calls/puts with the gambling account
As with a lot of things tax related it is not that clearly specified. ETFs that follow different indexes are clearly OK. Many people will even swap between ETFs that both follow the same exact index, such as the SP500, but which are run by different ETF managers (for example, SPY and VOO). That is pushing it too far for my taste, but so far the IRS has never challenged that. Roboadvisors such as Wealthfront and Betterment have published white papers on the tax loss harvesting techniques where they simultaneously sell and buy "similar" ETFs, such as VTi/ITOT/SCHB if VXUX/IXUS. The IRS has never challenged them for doing this, so I am comfortable doing it. https://www.investopedia.com/terms/s/substantiallyidenticalsecurity.asp is a simple to read article about the subject.
Although VTI, iTOT, and SCHB are all total US stock market ETFs they track indexes made by different index providers. So the three ETFs are not "substantially identical" as defined by the IRS. So you can sell one of those ETFs for a loss and replace it immediately by another one of those three ETFs without triggering a wash sale adjustment.
>Is there a reason why so many people on here suggest VOO instead of saying something like "an S&P500 ETF"? Simplicity, brevity. I also will say VTI rather than "a total US stock market ETF" and what I really invest in is a mix of ITOT, SCHB, and VTI as I tax loss harvest between those three "total US stock market ETFs".
SCHD SCHY SCHB all equal split DCA over 2 years would be my go if it has to be all stock 300k just my opinion not advice and those ETFs are not absolute and interchangeable VOO VYM VYMI or SPY DIA VEA and so on so forth
Heres my stock port: SPY (123), QQQ (44), CIBR (131), SMH (31), VTV (54), SCHB (2,320), GOOGL (61) $230,770.
80% SCHB, 15% VXUS, 5% degeneracy
That advisor is just looking for a recurring fee to manage a portfolio you can easily handle yourself. Your proposed allocation is redundant because SCHB already contains everything in SCHX; you are essentially buying the same large-cap stocks twice. Consolidating the U.S. equity into a single total market fund cleans this up instantly. An 85% equity split is aggressive for mid-60s, so ensure they truly understand the volatility, but there is no need to pay a middleman to replicate the S&P 500.
10,800 shares of SCHB which is basically VTI. also 2 shares of SPY at $420.69
I'd stick with VTI for broader market exposure, but it depends on your goals. VTI gives you the entire US market (including small/mid caps), while SCHG focuses on large-cap growth stocks that could be more volatile. Since you're with Schwab, SCHB would be the closer equivalent to VTI (and commission-free), though VTI has a slightly lower expense ratio (0.03% vs 0.03%). The question is whether you want the diversification of the total market or if you're specifically betting on large growth companies outperforming. For a long-term retirement account, VTI's diversification typically makes sense.
All the other popular ETFs are open ended funds , VOO, VTI , VUG , SCHD , IVV, ITOT, SCHB, SCHX this really just brings QQQ inline with the other most popular ETFs I really see no reason to vote no on it especially if you hold one of the above funds you already own open ended fund what QQQ wants to convert too. It cuts the expense ratio 10% ; its seems weird to complain they should have cut it more then vote no and pay a higher expense ratio
might go SCHB+SCHF which is basically VTI+VXUS with lower ER but yeah that's probably a better idea than more S&P500 for me
Yes, you need to keep at least 6 months of your spending and some emergency funds that are readily available in either HYSA or buy SGOV ETFs which will save you on state taxes. After that keep investing whatever you can in the entire US market ETFs and may be the entire foreign market ETFs (so SCHB 80% and SCHF 20%), but make sure to understand that if the market doesn't do well, then you could "lose" a lot of money if not all. Always remember, you haven't made or lost any money unless you sell your shares.
SWTSX doesn’t update price until late evening. Reference SCHB for real-time.
SCHX is good large cap blend containing the top 750 US companies by market cap. You could also do SCHB which is a total US stock market ETF. Schwab also offers fundamental ETFs that are weighted based on a company’s fundamental factors such as sales, profits, dividends. It has a higher ER (0.25) but it addresses the top tech heavy, overvaluation in market cap weighted ETFs.
1. Establish or add to an emergency fund as needed 2. Complete your IRA contributions this year 3. Pick a brokerage you like and put the rest in a taxable account Any broad index fund is a good start, such as VT, VTI, ITOT, or SCHB
Yeah im planning on trimming down sometime soon and just putting most of my money into SCHB.
I just started investing this month, I’m only investing $10 a day across VOO, SCHB, & SVGOV(HYSA) but I wanna start investing in the cloud service business and gonna dip my toes in CLOU. Everything I see on TikTok, and YouTube makes me feel good about adding it into my portfolio and budget, just wanna understand how research my own ETF Also just curious I am planning to buy a house in 5 years and I plan on having at least 40 invested by then, would I be able to use these funds as like leverage or something if it’s in the Robinhood app? I use Robinhood cause it’s beginner friendly but plan on moving my money out once I hit $1000
>How bad will the taxes be on dividends? I mean if you are being taxed you are still making profit right? Yes, but if they don't distribute dividends you aren't taxed at all. The important part isn't how much you're paying in taxes necessarily, it's that the money that goes to taxes can't get reinvested. Let's say we've got two stocks that are growing at 10% a year. One of them distributes dividends yearly, and you're paying 10% on those. Year 1: Stock A grows from $100 to $110. Stock B grows from $100 to $110 and distributes a $10 dividend. You pay $1 in taxes and reinvest, ending up at $109. Year 2: Stock A grows $11 from $110 to $121. Stock B only grows $10.90. It distributes that, you pay $1.09 in taxes, reinvest and you're at $118.81. This pattern keeps on compounding so that even with a small tax rate you get further and further behind. That's tax drag. >And what combo of growth and value would you recommend if not schd and schg? As mentioned, SCHB is essentially a combination of all of those. You could also pick VOO, VTI, SCHX, or any number of other large cap blend or total market funds. There's also an argument to be made for avoiding dividend-heavy stocks entirely. If you were investing in a taxable account then maybe (I have some brk/b in taxable for this reason), but in a tax-advantaged account it doesn't matter. Regardless, I'd mostly just not select _for_ high dividends - if some come along fine, but you don't need them and they don't indicate the company is a better investment. >I like the idea that if tech/growth isn’t doing well in a period then value might help balance the account. I realize having value stocks doesn’t mean it won’t go down if tech/growth goes down. This incidentally is why I suggested the target date fund, as it will diversify even further and hide those sorts of losses from you.
>If I wanted to start contributing to a taxable account You probably should not: https://www.reddit.com/r/personalfinance/wiki/commontopics/ >does it make sense to buy more of the one currently not doing well since it’s at a lower price? Price of specific stocks is irrelevant. The stock can split and then the price is a lot less but you have more shares, so it's all the same amount of money. All you care about is total value. Hide the number of shares column. Look at the percentage of total portfolio column instead. Buy things to make that fit your 70/30 asset allocation. >I go with the schg and schd combo Btw, there are several problems with this: 1. You are betting on growth outperforming value, and value outperforming growth. Obviously these can't both be true. Save yourself the trouble and buy all of it at once with SCHB. 2. Optimizing for dividends is [irrelevant at best](https://www.investopedia.com/terms/d/dividendirrelevance.asp), but actively worse in a taxable account due to [tax drag](https://www.investopedia.com/terms/t/tax-drag.asp). What you likely should be doing is investing this money in a Roth IRA in [an index target date fund](https://www.schwabassetmanagement.com/products/stir). Then you don't need to worry about any of these asset allocation details and can simply [focus on increasing the amount you put in](https://www.kitces.com/blog/dont-save-10-of-income-spend-just-50-of-every-raise-and-systematically-save-more-tomorrow/).
SCHG isn't more aggressive; it's a bet that "growth" stocks (ones that have lower expectations and thus lower prices) will outperform the average. Historically they sometimes do and sometimes don't, and on average over longer time periods are basically the same to a little worse than the average. SCHA _is_ more aggressive, although [people have noticed small cap growth is particularly underwhelming](https://www.etf.com/sections/index-investor-corner/swedroe-small-cap-growth-anomaly) and so a popular option is to do [small cap value](https://www.optimizedportfolio.com/best-small-cap-value-etfs/) instead. That can take time to bear out though so you need to be convinced of the thesis. SCHB and SCHF is a very reasonable choice if you want to stick with it.
I’m trying to out away $500 a month in a Roth IRA and I have a question. Wife and I are mid 30s and I’ve been putting most of the money in SCHB and SCHF but wondering if, since we are still relatively young, if I should switch the SCHB to something more aggressive like SCHG or SCHA. Also have custodial accounts for our kids and same thing. I have all theirs in SCHB also. Thanks for any advice!
I’m trying to out away $500 a month in a Roth IRA and I have a question. Wife and I are mid 30s and I’ve been putting most of the money in SCHB and SCHF but wondering if, since we are still relatively young, if I should switch the SCHB to something more aggressive like SCHG or SCHA. Also have custodial accounts for our kids and same thing. I have all theirs in SCHB also. Thanks for any advice!
I’m trying to out away $500 a month in a Roth IRA and I have a question. Wife and I are mid 30s and I’ve been putting most of the money in SCHB and SCHF but wondering if, since we are still relatively young, if I should switch the SCHB to something more aggressive like SCHG or SCHA. Also have custodial accounts for our kids and same thing. I have all theirs in SCHB also. Thanks for any advice!
Is it worth it to move ETFs from a regular brokerage to a Roth IRA? I also just started and bought SCHB and SCHF but just did it all in a regular account. I recently opened a Roth also and was wondering about switching them. One has a very tiny gain and one has a very tiny loss so far (like less than a couple bucks so far)
I actually just did some research and planning on SCHB for my taxable brokerage account!
VTI/ITOT/SCHB are total US stock market ETFs but the track index from different index suppliers, so there is no wash sale problem. Some of the roboadvisor like Betterment and Wealthfront have white papers describing their tax loss harvesting techniques and they have very useful list of "near equivalent" but not "substantially identical" ETfs they use for tax loss harvesting. Some people will go so far as to swap between different ETFs that follow the same exact index, such as SP500. The IRS has never gone after anybody for doing that, but that is too aggressive for me.
Since you're maxing Roth IRA and have a solid HYSA, I'd recommend expanding your brokerage account with total market index funds or low-cost ETFs. With Charles Schwab, look into SCHB (total market) or VTI. Since you're not planning major purchases, you can be more aggressive. Consider a 70/30 or 80/20 stock/bond split depending on your risk tolerance. The S&P 500 is good, but total market gives broader exposure. Keep contributing consistently and diversify.
Try the Bogglehead sub. Seriously. A full market ETF, can't go wrong. You're not likely to beat the returns & are likely to underperform them. VOO / VTI or SCHB & SCHF. Or whatever your broker's equivalent is. Good luck. It's like anything else: practice and just doing it. Paper trading helps. Pick a ticker & just spend a weekend learning everything you can about the Co. Go to their site check out their financials yourself. The reports on Yahoo or wherever aren't really super useful. You'll get there. Damn near every single investor ever has been exactly where you are.