If you're interested in broad exposure to the Large Cap Blend segment of the US equity market, look no further than the Schwab 1000 Index ETF (SCHK Quick QuoteSCHK - Free Report) , a passively managed exchange traded fund launched on October 11, 2017.

The fund is sponsored by Charles Schwab. It has amassed assets over $4.67 billion, making it one of the larger ETFs attempting to match the Large Cap Blend segment of the US equity market.

Why Large Cap Blend

Large cap companies typically have a market capitalization above $10 billion. Considered a more stable option, large cap companies boast more predictable cash flows and are less volatile than their mid and small cap counterparts.

Typically holding a combination of both growth and value stocks, blend ETFs also demonstrate qualities seen in value and growth investments.

Costs

Expense ratios are an important factor in the return of an ETF and in the long term, cheaper funds can significantly outperform their more expensive counterparts, other things remaining the same.

Annual operating expenses for this ETF are 0.03%, making it one of the least expensive products in the space.

It has a 12-month trailing dividend yield of 1.07%.

Sector Exposure and Top Holdings

While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.

This ETF has heaviest allocation to the Information Technology sector -- about 33.2% of the portfolio. Financials and Consumer Discretionary round out the top three.

Looking at individual holdings, Nvidia Corp (NVDA) accounts for about 6.82% of total assets, followed by Microsoft Corp (MSFT) and Apple Inc (AAPL).

The top 10 holdings account for about 35.18% of total assets under management.

Performance and Risk

SCHK seeks to match the performance of the Schwab 1000 Index before fees and expenses. The Schwab 1000 Index is a float-adjusted market capitalization weighted index that includes the 1,000 largest stocks of publicly traded companies in the United States, with size being determined by market capitalization. The index is designed to be a measure of the performance of large- and mid-cap U.S. stocks.

The ETF return is roughly 14.65% so far this year and is up about 18.87% in the last one year (as of 09/23/2025). In the past 52-week period, it has traded between $23.87 and $32.29.

The ETF has a beta of 1.02 and standard deviation of 16.46% for the trailing three-year period. With about 980 holdings, it effectively diversifies company-specific risk.

Alternatives

Schwab 1000 Index ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, SCHK is a good option for those seeking exposure to the Style Box - Large Cap Blend area of the market. Investors might also want to consider some other ETF options in the space.

The SPDR S&P 500 ETF (SPY) and the Vanguard S&P 500 ETF (VOO) track a similar index. While SPDR S&P 500 ETF has $665.29 billion in assets, Vanguard S&P 500 ETF has $761.60 billion. SPY has an expense ratio of 0.09% and VOO charges 0.03%.

Bottom-Line

Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.

To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.