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SCHI

Schwab 5-10 Year Corporate Bond ETF
TREND FOLLOWING PERFORMANCE HISTORY
2026-09-10
Executive Summary
The quantitative backtest for SCHI (Schwab 5-10 Year Corporate Bond ETF) using the Moving Average (50/200)* strategy in a Investing context demonstrated its primary role in risk mitigation, experiencing a maximum drawdown of -4.8% (compared to the benchmark's drawdown of -19.8%). Over the evaluated period, this protective approach generated a Compound Annual Growth Rate (CAGR) of 2.8%, compared to a Buy-and-Hold benchmark return of 0.7%. The strategy executed 3 total trades.

* Moving Average (50/200): Classic Moving Average Crossover (e.g., 50-day crossing 200-day). The foundational basis of research-grade trend following.

🛡️ SCHI Drawdown Shield & Downside Protection

Why Drawdown Dictates Longevity →
Peak Drawdown Defense
-4.8% (vs -19.8% B&H)
+14.9% shallower drawdown
Downside Efficiency
0.77 Sortino
+0.61 vs 0.16 B&H
Capital Sheltered from Risk
30.0% of Time
Earning Treasury yield during downturns
* Drawdown Shield demonstrates how systematic trend-following bounded historical drawdowns and protected principal capital compared to passive Buy & Hold.

📊 SCHI Quality Metrics & KPI Summary

Metric 1Y5YFull
StrategyB&HStrategyB&HStrategyB&H
Max Drawdown-3.01%-3.28%-4.80%-20.45%-4.80%-19.75%
Sharpe Ratio0.21-0.190.590.080.590.10
Sortino Ratio0.32-0.300.760.120.770.16
CAGR0.84%-0.79%2.74%0.50%2.78%0.70%
% Time Invested92.9%100.0%69.0%100.0%70.0%100.0%
Trades / Year0.00.00.60.00.60.0

Cumulative Growth Performance

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Hydrating Performance Trajectory... Loading historical performance data
Figure 1: Cumulative Trajectory Analysis. Logarithmic growth comparison of SCHI under the Moving Average (50/200) strategy (Investing) versus Buy & Hold. The strategy produced a 2.8% CAGR with a -4.8% Max Drawdown across 3 trade signals (compared to Buy & Hold's 0.7% CAGR and -19.8% Max Drawdown).

Return Distribution Analysis

Histogram of monthly return distribution for SCHI under Moving Average (50/200) strategy in Investing context, illustrating downside risk mitigation and return skewness.
Figure 2: Monthly Return Distribution Profile. Monthly return distribution for SCHI under Moving Average (50/200) (Investing). Visualizes return frequency, volatility clustering, and tail-risk truncation relative to standard buy-and-hold returns.
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Top 5 non-correlated asset sleeves evaluated on 1Y daily percentage returns (Pearson r). Compare them side-by-side in Compare Studio to analyze portfolio diversification.

Diversifier Asset Category 1Y Correlation (r) Action
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Trade History

This log shows every signal-driven transition. Completed trades reflect standard market cycles. An Open or Mark-to-Market exit denotes an active position (either in the primary asset or a cash/yield sleeve) valued at the current price for reporting purposes. Interest entries record yield accrued from cash or cash alternatives (like BIL) during out-of-market defensive periods.

Entry DateExit DateTypeAllocationEntry PriceExit PriceNet Return %Exit Reason
🔒 Active Positions & Recent Execution Signals Hidden
Trading on delayed data carries high execution risk. Current allocations, pending next-day rebalances, and active execution signals (last 60 days) require a Premium subscription.
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2023-09-15 2023-12-26 Interest (CASH) 100% $1.00 $1.02 1.51% Interest Income
2023-01-25 2023-09-15 Completed 100% $18.78 $18.43 -1.89% Signal
2021-12-08 2023-01-25 Interest (CASH) 100% $1.00 $1.02 2.36% Interest Income
2021-10-06 2021-12-08 Completed 100% $21.07 $20.94 -0.64% Signal
2021-10-04 2021-10-06 Interest (CASH) 100% $1.00 $1.00 0.00% Interest Income

Next Steps: Portfolio Integration & Comparative Analysis

Single-ticker trend following is designed to truncate tail risk inside a broader portfolio. View where SCHI ranks across 40+ tracked assets, evaluate correlation against non-correlated diversifiers, or model it inside a custom all-weather asset mix.

📊 View Full 40-Asset Backtest Matrix → 🛠️ Build Custom Portfolio with SCHI → ⚖️ Compare SCHI vs Non-Correlated Assets →