Schwab Core Bond ETF

Schwab Core Bond ETF

SCCR
Schwab Core Bond ETFUS flagNew York Stock Exchange Arca
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Business
Schwab Core Bond ETF (SCCR) is an actively managed exchange-traded fund that seeks total return while generating income through investments in U.S. dollar-denominated, investment-grade debt securities, including corporate bonds; taxable municipal bonds; mortgage pass-through securities; commercial mortgage-backed securities; asset-backed securities; U.S. Treasuries; and other government-related bonds. The fund, which benchmarks against the Bloomberg US Aggregate Bond Index, features a weighted average maturity of approximately 8 years, effective duration of 5.8 years, and an expense ratio of 0.16%, positioning it below the industry average for intermediate core bond funds. As of December 2025, SCCR holds 455 securities diversified across mortgage-backed securities (31.78%); corporate bonds (28.29%); taxable municipal bonds (18.99%); and U.S. government and agency securities (18.58%), with top holdings including U.S. Treasury notes and bonds. Launched on February 5, 2025, by Schwab Asset Management—the asset management arm of Charles Schwab & Co., Inc., founded in 1971 and headquartered in Westlake, Texas—SCCR represents the firm's second actively managed fixed income ETF following the August 2024 debut of the Schwab Ultra-Short Income ETF (SCUS). The ETF's investment process draws from the Wasmer Schroeder Core Bond Separately Managed Account strategy, emphasizing credit research and professional management for retail and institutional investors seeking core fixed income exposure. Trading on NYSE Arca under ticker SCCR (CUSIP: 808524599), the fund has grown to over $1.07 billion in net assets with 41.4 million shares outstanding as of mid-December 2025. Recent developments include consistent monthly income distributions starting April 2025—such as $0.1028 per share in April, scaling to $0.1056 in August, and $0.0890 in December—demonstrating reliable yield generation amid a portfolio turnover rate of 105.82%. By late 2025, SCCR has delivered inception-to-date annualized returns of approximately 6% on a net asset value basis, outperforming certain category metrics in cumulative growth from a hypothetical $10,000 investment. These dynamics underscore Schwab Asset Management's strategic expansion into low-cost, actively managed fixed income products amid evolving interest rate environments.