Download the Schwab app from iTunes®Get the AppClose

Accounts & Products
Questions? Get answers now. Live Chat.
 

Index Funds

Print

For an extensive selection of index funds, look no further than Schwab. We provide experienced management and some of the lowest minimums and operating expense ratios available. Choose from our traditional cap-weighted funds or our exclusive Fundamental Index* funds.

Why invest in equity index funds?

Index funds are mutual funds that track the performance of a specific index, such as the S&P 500® Index. Because portfolio decisions are rules based and transactions are infrequent, expenses tend to be much lower than those of actively managed mutual funds. Index funds offer long-term growth potential and reduced risk through market diversification.

What Schwab offers.

Schwab makes it easy to invest in a low-cost, diversified index fund portfolio that reflects your goals.

  • Low costs. Our operating expense ratios (OERs) are some of the lowest in the industry.
  • Low investment minimums. You can start investing in our competitively priced funds with as little as $100 if you establish an automatic investment of $100 or more.
  • Experienced management. Charles Schwab Investment Management is a leader in index fund management.
  • Exclusive offerings. Charles Schwab Investment Management has an exclusive license to broadly offer investment companies tracking certain of the Russell Fundamental Index® Series.
 

Compare your options.

We offer traditional cap-weighted index funds as well as our exclusive Fundamental Index funds. Both types of index funds offer lower turnover, low fees and expenses, and full market participation. There are a few key differences, though:

  Traditional Cap-Weighted Methodology Fundamental Index Methodology
Index Construction
  • Weights companies in an index based on their market capitalization (the total market value of their stock).
  • Most major market indexes, such as the S&P 500, follow this approach.
Weights companies in an index based on fundamental measures of company size:

  • Adjusted sales
  • Retained operating cash flow
  • Dividends plus buybacks

This approach seeks to weight companies based on economic size, rather than how the market is currently valuing them.

See all index funds.

 
Expense Ratio
Symbol Description  Investment Strategy Fund1 Industry Average2
SWPPX Schwab® S&P 500 Index Seeks to track the total return of the S&P 500® Index by investing in leading U.S. publicly traded companies from a broad range of industries. 0.09% 0.40%
SWTSX Schwab Total Stock Market Index® Seeks to track the total return of the Dow Jones U.S. Total Stock Market Index (SM), which includes all U.S. headquartered equity securities with readily available price data. 0.09% 0.40%
SNXFX Schwab 1000 Index®  Fund Seeks to track the total return of the Schwab 1000 Index® by investing in the stocks of the 1,000 largest publicly traded companies in the United States. 0.30% 0.40%
SWSSX Schwab Small Cap Index Fund® Seeks to track the total return of the Russell 2000® Index. This index includes the stocks of the 2,000 smallest companies listed in the Russell 3000®  Index, that contains the 3,000 largest publicly traded companies in the U.S. 0.27% 0.53%
SWISX Schwab International Index Fund® Seeks to track the total return of the MSCI EAFE Index, which includes stocks from the developed markets outside North America – Europe, Australasia, and the Far East. 0.19%  0.47%

Take the next step.

Open an Account or call 866-855-5637.


Investors should consider carefully information contained in the prospectus, including investment objectives, risks, charges, and expenses. You can view, download, and print a prospectus. Please read the prospectus carefully before investing.

Investment value will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.