Schwab Mortgage-Backed Securities ETF
U.S. bond index ETF · tracks Bloomberg US MBS Float Adjusted Total Return Index
As of its 2026 Q2 report, Schwab Mortgage-Backed Securities ETF held 4,197 positions with $6.42B in net assets. Its ten largest holdings made up 4.3% of the fund. The SMBS share class costs 0.03% a year. Over the 12 months to May 2026, SMBS returned 6.8%, with dividends reinvested. In 2026 Q2 it added 129 new positions and exited 4.
The funds goal is to track as closely as possible, before fees and expenses, the total return of an index composed of investment-grade mortgage-backed securities issued and/or guaranteed by U.S. government agencies.
The fund tracks the Bloomberg US MBS Float Adjusted Total Return Index, which comprises fixed-rate agency mortgage-backed securities issued or guaranteed by Ginnie Mae, Fannie Mae, and Freddie Mac, using sampling techniques to hold a subset of index securities expected to perform similarly to the index as a whole. Because the fund samples rather than holds all index constituents, its performance may diverge from the index. The fund invests at least 90% of assets in index securities, including through to-be-announced transactions, with the remainder in high-quality liquid investments and derivatives to manage interest rate and credit risk.
What you own
| Company | Weight | Value | Shares |
|---|---|---|---|
GVMXXState Street Institutional US Government Money Market Fund | 1.68% | $107.55M | — |
Government National Mortgage Association 5.00% · due 2054-11-20 | 0.47% | $30.33M | — |
Freddie Mac 5.50% · due 2054-10-01 | 0.35% | $22.68M | — |
Freddie Mac 2.50% · due 2054-01-01 | 0.29% | $18.61M | — |
Fannie Mae 2.00% · due 2051-05-01 | 0.28% | $18.02M | — |
Freddie Mac 2.00% · due 2052-02-01 | 0.27% | $17.54M | — |
Freddie Mac 2.00% · due 2050-11-01 | 0.26% | $16.46M | — |
Freddie Mac 5.00% · due 2056-04-01 | 0.25% | $16.10M | — |
Freddie Mac 2.00% · due 2052-03-01 | 0.25% | $15.85M | — |
Government National Mortgage Association 5.00% · due 2056-01-20 | 0.24% | $15.37M | — |
The 200 largest of 4,197 holdings, with the share counts as filed, open with a free account.
What the fund is made of
Percentages are of fund net assets. Rounding, liabilities and short positions can make totals differ from 100%.
| Securitized | 97.98% |
| Cash & short-term | 1.68% |
How it has done
SMBS share class · total returns with dividends reinvested
Volatility over the last 12 months: 3.14%. Past returns are a record, not a forecast.
Fees & fund details
Schwab Mortgage-Backed Securities ETF is a U.S. bond index ETF that tracks the Bloomberg US MBS Float Adjusted Total Return Index.
- Asset class
- Bonds
- Region
- United States
- Management
- Index (passive)
- Fund type
- ETF
- Credit quality
- Investment grade
- Rate sensitivity
- Intermediate duration
- Expense ratio, by class
- 0.03%· SMBS 0.03%
- Portfolio turnover
- 20.00% a year · as of 2025 Q4
Turnover is how much of the portfolio was replaced in a year.
Classified from what the fund holds, not from its name · 2026 Q2. The summary is a paraphrase of the prospectus; the objective is verbatim.
What changed this quarter
Positions that entered or left the fund since its previous filing. Positions that were only resized are not listed.
129 new· the largest 2
4 exited· the largest 2
Debt profile
What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-05-31
Share of the fund's debt by how its coupon behaves — the fact that decides whether a rate move reaches this portfolio at all.
| Fixed rate | 100.0% |
Share of the fund's debt value in each maturity band, shortest first.
| <1y | 0.0% |
| 1-3y | 0.0% |
| 3-5y | 0.1% |
| 5-10y | 2.2% |
| 10y+ | 97.6% |
Based on what filers reported; a filer that never reported a flag also reads as none.
Risk profile
Interest-rate and credit-spread sensitivity, both in years · as of 2026Q2
More of this fund’s sensitivity sits in credit spreads than in interest rates — a rate rally that comes with a credit selloff works against it.
Where the loss would come from. The two shocks are the same size, so this is the balance of the fund's two sensitivities rather than a bet on one moving more.
| Credit spreads | 50% |
| Interest rates | 50% |
Filers report the impact of a 0.01% move only, so the total is our own scaling of that one number and overstates the loss on most bonds — read it as approximate, never as precise. The two sensitivities overlap rather than add up: they measure the same positions against different shocks, which is why the durations above are shown side by side and never summed.
Share of the fund's spread duration carried by each credit tier.
| Investment grade | +5.11 yr |
Share of duration at each point, shortest first. A positive figure loses value when spreads widen; a negative one offsets — a credit hedge.
| 3 mo | 0.04 yr | 1% |
| 1 yr | 0.58 yr | 11% |
| 5 yr | 1.41 yr | 28% |
| 10 yr | 2.41 yr | 47% |
| 30 yr | 0.64 yr | 13% |
| 3 mo | 0.01 yr | 0% |
| 1 yr | 0.00 yr | 0% |
| 5 yr | 0.01 yr | 0% |
| 10 yr | 0.23 yr | 5% |
| 30 yr | 4.86 yr | 95% |
The two bands measure the same positions against different shocks and do not add — a Treasury carries rate duration and no spread duration, a floating-rate credit the reverse. Rate tenors are also summed across every currency the fund discloses.
Show the numbers
| Tenor | Rate yrs | IG yrs | HY yrs | IG $/bp | HY $/bp |
|---|---|---|---|---|---|
| 3 mo | +0.04 | +0.01 | +0.00 | $8.1k | $0 |
| 1 yr | +0.58 | +0.00 | +0.00 | $214 | $0 |
| 5 yr | +1.41 | +0.01 | +0.00 | $3.5k | $0 |
| 10 yr | +2.41 | +0.23 | +0.00 | $150.6k | $0 |
| 30 yr | +0.64 | +4.86 | +0.00 | $3.12m | $0 |
Dollar change per 1bp of spread movement, as filed and sign-anchored. A blank cell was not filed; a zero was.
Understand how this fund fits with the rest.
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