ETF Research Center

Schwab U.S. Small-Cap ETF is an exchange-traded fund incorporated in the USA. The Fund's goal is to track as closely as possible, before fees and expenses, the total return of the Dow Jones U.S. Small-Cap Total Stock Market Index.

FUND BASICS
Category	US Equities
Fund Sponsor	Charles Schwab Investment Management Inc
Website	www.schwab.com/etf
Inception date	Nov 03, 2009
Assets (mns)	$8,632
Currency	USD
Expense ratio	4 bp
Distributions	Quarterly

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian	State Street Bank & Trust
Weighting	Market Cap
Index replication	Optimized
Uses derivatives	No
Options available	Yes

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	1731
Wgt avg mkt cap (mns)	$2,908
Large cap (>$10bn)	0.5%
Mid cap ($2-10bn)	64.5%
Small cap (<$2bn)	35.0%
Developed mkts	100.0%
Emerging mkts	0.0%

TOP TEN HOLDINGS
Total	2.4 %
LPL FINANCIAL HOLDINGS INC	0.3 %
FIRST AMERICAN FINANCIAL	0.3 %
AECOM TECHNOLOGY CORP	0.2 %
CHARLES RIVER LABORATORIES	0.2 %
ENTEGRIS INC	0.2 %
FIVE BELOW	0.2 %
PROSPERITY BANCSHARES INC	0.2 %
CHEMICAL FINANCIAL CORP	0.2 %
NEW RESIDENTIAL INVESTMENT	0.2 %
CASEY'S GENERAL STORES INC	0.2 %

TOP COUNTRY EXPOSURE
	UNITED STATES	96.6 %
	BERMUDA	0.9 %
	BRITAIN	0.5 %
	IRELAND	0.4 %
	PUERTO RICO	0.4 %
	NETHERLANDS	0.2 %
	CAYMAN ISLANDS	0.2 %
	SWITZERLAND	0.1 %
	CANADA	0.1 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru October 31)
Year-to-date	1 year	5 years	10 years	Since Incep.
18.5%	6.2%	7.2%	--	12.7%

Market Correlations
versus...	Beta	R-squared
S&P500	1.20	79%
MSCI EAFE	0.93	40%
MSCI Emg. Mkts.	0.56	24%

Technical Indicators
Recent close	$73.00
30d moving avg.	$70.99
Annualized volatility	16.3%
Short interest (ETF)	0.1%
Short interest (Underlying)	6.4%
Relative strength (RSI)	69

Liquidity measures
Avg. volume (thou.)	324
Turnover	0.3%
Bid/Ask (% of price)	0.05%
ADV underlying (mns)	$29,541

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Schwab U.S. Small-Cap ETF based on the alternatives' overlap in portfolio holdings with SCHA. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

SCHA

Expense:

4 bp

ALTAR Score™:

5.1%

ALTERNATIVE ETFs BASED ON OVERLAP WITH SCHA
Ticker	Fund Name	Overlap¹ vs SCHA (%)	Expense ratio (bp)	Savings vs SCHA (bp)	ALTAR Score™ (%)	ALTAR vs SCHA (%)
SPSM	SPDR Portfolio Small Cap	84.3	5	-1	4.6	-0.5
PBSM	Invesco PureBeta MSCI USA Small Cap	74.7	6	-2	5.2	+0.1
IWM	iShares Russell 2000	68.0	19	-15	3.8	-1.3
VTWO	Vanguard Russell 2000	68.0	15	-11	3.8	-1.3
SPMD	SPDR Portfolio Mid Cap	62.2	5	-1	6.3	+1.2
VB	Vanguard Smallcap ETF	61.2	5	-1	5.6	+0.5
GSSC	Goldman Sachs Activebeta U.S. Small Cap Equity	56.9	20	-16	5.8	+0.7
ESML	iShares MSCI USA Small-Cap ESG Optimized	53.3	17	-13	4.8	-0.3
VXF	Vanguard Extended Market	51.8	7	-3	3.4	-1.7
VBR	Vanguard Small-Cap Value ETF	50.8	7	-3	7.8	+2.7
IUSS	Invesco Strategic US Small Company	48.3	23	-19	6.3	+1.2
FNDA	Schwab Fundamental Small Cap	47.8	25	-21	6.2	+1.1
PRFZ	Invesco FTSE-RAFI Small-Mid 1500	46.4	39	-35	4.7	-0.4
JPSE	JPMorgan Diversified Return U.S. Small Cap Equity	44.6	29	-25	5.0	-0.1
JHSC	John Hancock Multifactor Small Cap	42.2	50	-46	5.7	+0.6
EZM	WisdomTree Midcap Earnings	40.7	38	-34	7.8	+2.7
IWO	iShares Russell 2000 Growth	39.6	24	-20	0.9	-4.2
VTWG	Vanguard Russell 2000 Growth	39.4	20	-16	0.9	-4.2
IWN	iShares Russell 2000 Value	38.7	24	-20	6.5	+1.4
VTWV	Vanguard Russell 2000 Value	38.6	20	-16	6.6	+1.5

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

Content on this tab for subscribers only**

RESULTS & ESTIMATES

	2014	2015	2016	2017	2018	2019E	2020E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

Content on this tab for subscribers only

VALUATION METRICS

	2018	2019E	2020E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	Schwab U.S. Small-Cap
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

UNDERWEIGHT

Below average appreciation potential. A rating of UNDERWEIGHT is assigned to ETFs with ALTAR Scores in the 2nd quintile (ranking higher than only 20%-40%) of their category. Typically, funds in this category consist of stocks trading at relatively expensive valuations and/or having below-average fundamentals.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	8.8	%
Divided by: Fwd. P/BV	1.7	x
Less: Expense ratio	4	bp
Equals: ALTAR Score	5.1	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.55	CATEGORY AVERAGE	1.55

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.