Schwab® Monthly Income Funds

Three funds created to coincide with your retirement income needs. Pick the fund that’s right for you and let Charles Schwab Investment Management (CSIM) do the rest: Schwab Monthly Income Fund - Moderate Payout (SWJRX), Schwab Monthly Income Fund - Enhanced Payout (SWKRX), Schwab Monthly Income Fund - Maximum Payout (SWLRX).

Utilizing a fund-of-funds strategy, the Schwab Monthly Income Funds are designed to deliver monthly income and the opportunity for growth. Investors choose the fund that matches their asset allocation needs and let CSIM portfolio managers do the rest.

Choose your desired payout and growth potential.

Schwab Monthly Income Funds Estimated Allocation Mix

Schwab Monthly Income Fund - Maximum Payout: A target payout higher than the Enhanced Payout Fund with the most conservative level of growth potential.

Schwab Monthly Income - Enhanced Payout: A target payout higher than the Moderate Payout Fund with an average level of growth potential.

Schwab Monthly Income - Moderate Payout: A target payout with the highest level of growth potential compared to other Schwab Monthly Income Funds.

MI Chart MI Chart MI Chart

Asset Allocation Ranges

Asset Allocation Ranges

Asset Allocation Ranges
  • Equity
  • Fixed Income
  • Cash and Cash Equivalents
  • Schwab Monthly Income Fund - Moderate Payout 
  • Equity

    20-60%
  • Fixed Income

     40-70%
  • Cash and Cash Equivalents

    0-10%
  • Schwab Monthly Income Fund - Enhanced Payout
  • Equity

    10-40%
  • Fixed Income

    50-90%
  • Cash and Cash Equivalents

    0-12%
  • Schwab Monthly Income Fund - Maximum Payout
  • Equity

    0-25%
  • Fixed Income

    60-100%
  • Cash and Cash Equivalents

    0-15%

A fund's actual annual payout may vary from one year to the next and over time due to several factors, including, without limitation, the interest rate environment, the performance of the financial markets in which the fund invests, the allocation of fund assets across different asset classes and investments, and the amount and timing of prior distributions by the fund. Although a fund has its own distinct asset allocation strategy that is designed to accommodate the fund's targeted annual payout percentage while taking into account the fund's specific risk tolerances and desired level of capital appreciation, the fund's actual annual payout could be higher or lower.

The funds intend to allocate investments among various asset classes such as equity, fixed income and cash and cash equivalents (including money market funds). Each fund's target asset allocation is not fixed, and each fund has the flexibility to move within its asset allocation ranges (under normal market conditions) at the discretion of the investment adviser. Market appreciation or depreciation may cause a fund to temporarily be outside their ranges.

The Schwab Monthly Income Funds with a higher percent of equity investments generally have the greatest opportunity for potential growth. With this opportunity comes increased risk and the likelihood for fluctuation in net asset value. Actual asset allocation may vary over time depending on market conditions.

Anticipated Annual Payout

Anticipated Annual Payout

Anticipated Annual Payout
  • Fund
  • Anticipated Annual Payout in Low Interest Rate Environment
  • Anticipated Annual Payout in High Interest Rate Environment
  • Fund

    Schwab Monthly Income Fund - Moderate Payout
  • Anticipated Annual Payout in Low Interest Rate Environment

    1-3%
  • Anticipated Annual Payout in High Interest Rate Environment

    3-6%
  • Fund

    Schwab Monthly Income Fund - Enhanced Payout
  • Anticipated Annual Payout in Low Interest Rate Environment

    1-4%
  • Anticipated Annual Payout in High Interest Rate Environment

    4-7%
  • Fund

    Schwab Monthly Income Fund - Maximum Payout
  • Anticipated Annual Payout in Low Interest Rate Environment

    1-5%
  • Anticipated Annual Payout in High Interest Rate Environment

     5-8%

Yield targets are based on anticipated market returns. Actual returns may vary based on market conditions. Payout ranges mentioned are not actual rates of return or yields, but simply a target payout percentage set by the advisor. For distribution information, please visit www.schwab.com/monthlyincome or call 800-548-5589.

Get more for less.

All Schwab Monthly Income Funds are competitively priced.

Competitive Pricing

Competitive Pricing
  •  Fund
  • Minimum Investment
  • Net Expense Ratio1
  •  Fund

    Schwab Monthly Income Fund - Moderate Payout (SWJRX)
  • Minimum Investment

    $0
  • Net Expense Ratio1

    0.51%
  •  Fund

    Schwab Monthly Income Fund - Enhanced Payout (SWKRX)
  • Minimum Investment

    $0
  • Net Expense Ratio1

    0.37%
  •  Fund

    Schwab Monthly Income Fund - Maximum Payout (SWLRX)
  • Minimum Investment

    $0
  • Net Expense Ratio1

    0.22%

Take the next step.

  • Take the next step.

    Open an account to get monthly income funds that are right for you and plan for your future income needs.

    Call 800-548-5589.