Schwab's 1000 Stock ETF Beat the S&P 500 With Just 3% Turnover

"The average actively managed mutual fund charges around 1% annually, and even popular index funds from legacy providers can run 0.10% to 0.20%. Those differences sound trivial until you calculate what they cost over decades. SCHK charges just 0.03%, making it one of the lowest-cost ways to own broad U.S. equity exposure. This pricing advantage becomes meaningful over decades as the difference between paying $30 versus $1,000 annually on a $100,000 investment compounds into substantial wealth preservation."

"The Schwab 1000 ETF ( NYSEARCA:SCHK) exists to deliver broad U.S. equity exposure at the lowest possible cost. It tracks the thousand largest publicly traded American companies, weighted by market capitalization. The fund launched in October 2017 and has grown to $4.9 billion in assets, demonstrating investor confidence in Schwab's low-cost approach while remaining nimble enough to avoid the liquidity constraints that plague smaller ETFs."

"SCHK works best as a core holding for investors who want U.S. equity exposure without paying for active management or accepting unnecessary tracking error. The fund's portfolio reflects today's market leadership, with mega-cap technology companies driving returns. NVIDIA ( NASDAQ:NVDA), Apple ( NASDAQ:AAPL), and Microsoft ( NASDAQ:MSFT) anchor the top holdings, contributing to technology's one-third share of assets. This concentration means SCHK captures the growth of sector leaders that have powered recent market gains."

SCHK charges a 0.03% expense ratio, offering one of the lowest-cost options for broad U.S. equity exposure. The ETF tracks the thousand largest publicly traded American companies weighted by market capitalization. The fund launched in October 2017 and has grown to $4.9 billion in assets. Mega-cap technology names such as NVIDIA, Apple, and Microsoft anchor the top holdings, giving technology roughly one-third of assets. Over five years, SCHK returned 86.95%, reflecting growth from mid-cap companies beyond the S&P 500's universe. The fund reports about 3% annual turnover, which helps preserve gains in taxable accounts and reduces trading costs.

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