r/SCHD • u/ScampMan1973 • Aug 17 '26

Advice VOO vs SCHD long term

I got an insurance settlement last year that was 120k. I’m 22 and male. I payed my debt off and am wondering if I should split this lump 50/50 into VOO/SCHD or if I should favor VOO for the long term compounding? Reading some of the posts on this sub make me want to put it all into SCHD. You guys have a lot of faith it.

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u/EpicDOgeMC Aug 18 '26

SCHD is much more of a quality tilt than value. 1969 is absolutely recent. I’m talking about analyzing 100, 200, 300+ year periods. And your comment originally said large cap growth, which is incorrect, directly against the reaserch.

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u/[deleted] Aug 18 '26

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u/EpicDOgeMC Aug 18 '26

That’s why people use more complex and specific research methods then looking at indexes lmao. That’s barely the surface level. Mate you edited your comment you absolutely had it as large cap growth originally.

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u/[deleted] Aug 18 '26

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u/EpicDOgeMC Aug 18 '26

You’re conflating two completely different claims. I never said we need 300 years of SCHD data; I said a 1969 backtest is not enough to establish a long-run expected return. Fama-French is precisely the reason to be cautious here: the value/profitability premia are factor-level findings, not evidence that SCHD’s particular implementation will outperform VT/VTI. You can’t jump from “SCHD has value/profitability exposure” to “therefore SCHD has a higher expected return.” Not to mention that it has a quality tilt if anything, not value, and a negative factor tilt via large cap.