Shares of the Schwab U.S. Large-Cap Growth ETF fell 1.6% to $28.43 on Friday, extending a punishing week that has shaved roughly 4.3% off the fund since Monday's close. The broader U.S. stock market faces significant downward pressure on March 27, 2026, with the Nasdaq dropping 2.38%, the S&P 500 falling 1.74%, and the Dow shedding 469 points. For a fund where nearly half the portfolio sits in technology stocks, the damage is concentrated and compounding.

  • NVIDIA's Slide Hits SCHG Where It Hurts Most

NVIDIA is SCHG's single largest holding at 11.26% of the fund , making it the ETF's center of gravity. NVIDIA shares closed at $171.24, down 4.16% , as retail investors dumped the stock for the first time since July amid the Iran war pulling markets down from their AI-fueled rally. That one stock alone dragged SCHG down roughly half a percentage point in a single session. Customer concentration fears persist — four customers accounted for 61% of NVIDIA's total revenue.

  • A Hot War Is Rewiring the Risk Calculus

President Trump extended the pause on targeting Iranian energy sites by 10 days as "talks are ongoing." But the uncertainty is real: the VIX surged 8.89% to 29.88, a reading suggesting traders are bracing for continued turbulence.

The 30-year Treasury yield has climbed to 4.975%, nearing the psychologically significant 5% mark — a level that directly punishes growth stocks whose valuations depend on future earnings being worth more today.

  • SCHG's Concentration Is a Feature — Until It Isn't

The fund holds just 198 assets, with the top 10 accounting for 57.77% of the portfolio and technology alone making up 48.8%. That concentration turbocharged returns during the AI boom but now amplifies losses. Markets expect no Fed rate cuts this year, with the next cut not forecast until July 2027 — a dramatic shift from earlier expectations of two cuts in 2026.

  • The Bigger Question: Is the Selloff Overdone?

The VIX 30 level is a key threshold — it hasn't closed above it yet, which historically can signal a short-term bottom. But if geopolitical tensions escalate further and yields keep climbing, SCHG's P/E of 34.28 — higher than the market average — leaves little margin for error. Shareholders betting on the AI growth story need the war premium to fade before the math works again.