Charles Schwab announced today that it would be reducing expense ratios on seven of its ETFs, as well as three of its mutual funds, effective July 1, 2022.
The affected ETFs all cover the fixed income space, and each saw its expense ratio reduced by 1 basis point. They are as follows:
- Schwab Short-Term U.S. Treasury ETF (SCHO)
- Schwab Intermediate-Term U.S. Treasury ETF (SCHR)
- Schwab Long-Term U.S. Treasury ETF (SCHQ)
- Schwab 1-5 Year Corporate Bond ETF (SCHJ)
- Schwab 5-10 Year Corporate Bond ETF (SCHI)
While SCHP’s expense ratio will be reduced from 0.05% to 0.04%, all the other affected funds will see their expense ratio cut from 0.04% to 0.03%. Their assets under management range from $90 million for SCHQ to $15.6 billion for SCHP.
The changes place the Schwab ETFs among the cheapest fixed income ETFs available, with only two funds priced lower at zero basis points.
Contact Heather Bell at [email protected]