Two of the market's most popular income ETFs compared side-by-side. See which one fits your yield strategy.
What this means: AMEFX is ratedTier 1 (Cornerstone)while SCHD is ratedTier 2 (Yield Plus).AMEFX is structurally lower risk than SCHD.
| Metric | AMEFX | SCHD |
|---|---|---|
| Total Return (1Y) | 34.73% | 6.64% |
| NAV Change (1Y) | 3.62% | 2.91% |
| Max Drawdown | -16.91% | -17.19% |
| Beta | - | 0.88 |
* Returns include dividend reinvestment. Drawdown calculates peak-to-trough decline over trailing 12 months.
AMEFX (American Funds Income Fund of Amer F2) is a conservative dividend growth fund managed by American Funds. It focuses on generating income through strategic holdings. With significant capital, this fund has been operational since its inception.
Strategy: Focuses on quality dividend-paying companies with strong balance sheets and consistent payout histories.
SCHD (Schwab US Dividend Equity) is a conservative dividend growth fund managed by Schwab. It tracks the Dow Jones U.S. Dividend 100 index across approximately 103 positions. With $71.6B in assets under management, this fund has been operational since Oct 2011.
Strategy: Focuses on quality dividend-paying companies with strong balance sheets and consistent payout histories.
In the head-to-head battle of AMEFX vs SCHD, the choice depends on your specific goal. AMEFX wins for Immediate Income with a 31.11% yield. However, AMEFX is the better choice for Long-Term Growth due to superior total return performance.
Which fund is safer for retirement income? We analyze the yield sustainability and structural risk.
The Bottom Line Question: If you invest $100,000 today, how much cash will you actually receive each month? Here's the exact math:
AMEFX
Annual Yield: 31.11%
$2,592/mo
($31,106/year)
Frequency: quarterly
SCHD
Annual Yield: 3.73%
$311/mo
($3,729/year)
Frequency: quarterly
Income Gap: AMEFX generates $27,377/year more than SCHD on the same $100k investment.
Over 20 years, that's $547,543 in additional cash flow (before reinvestment).
Context Matters: Higher income doesn't always mean better investment. Review the "Yield Trap" and "Total Return" sections above—you want income that's sustainable, not just headline-grabbing.
Historical data reveals how these funds behave during market stress. AMEFX has delivered a superior Total Return of 34.73% over the past year.
Every investor has a unique risk profile. Use our Portfolio Intelligence tool to see the impact of adding these ETFs to your holdings.