N-Q 1 f54701nvq.htm FORM N-Q nvq
 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS
OF
REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-22311
Schwab Strategic Trust
(Exact name of registrant as specified in charter)
211 Main Street, San Francisco, California 94105
(Address of principal executive offices)     (Zip code)
Randall W. Merk
Schwab Strategic Trust
211 Main Street, San Francisco, California 94105
(Name and address of agent for service)
Registrant’s telephone number, including area code: (415) 636-7000
Date of fiscal year end: August 31
Date of reporting period: September 30 — November 30, 2009
 
 
Item 1. Schedule of Investments.

 

 

Schwab Strategic Trust
Schwab U.S. Broad Market ETFTM
Portfolio Holdings as of November 30, 2009, (Unaudited)
The following are the portfolio holdings as of the report date.
                         
            Cost   Value
Holdings by Category       ($)   ($)
  99.8 %  
Common Stock
     44,684,264       44,832,227  
  — %  
Other Investment Company
     21,143       21,143  
  99.8 %  
Total Investments
     44,705,407       44,853,370  
  0.2 %  
Other Assets and Liabilities, Net
             76,737  
  100.0 %  
Net Assets
             44,930,107  
                 
    Number   Value
Security   of Shares   ($)
Common Stock 99.8% of net assets
                
Automobiles & Components 0.6%
                
BorgWarner, Inc.
     455       13,746  
Cooper Tire & Rubber Co.
     350       6,272  
Dana Holding Corp. *
     945       6,880  
Federal-Mogul Corp. *
     490       6,615  
Ford Motor Co. *
     12,705       112,947  
Gentex Corp.
     525       8,726  
Harley-Davidson, Inc.
     910       26,517  
Johnson Controls, Inc.
     2,275       61,539  
The Goodyear Tire & Rubber Co. *
     1,120       15,355  
Thor Industries, Inc.
     175       4,979  
TRW Automotive Holdings Corp. *
     350       7,616  
WABCO Holdings, Inc.
     245       5,789  
 
             276,981  
 
                
Banks 3.1%
                
Associated Banc-Corp
     455       5,160  
Astoria Financial Corp.
     560       5,813  
BancorpSouth, Inc.
     280       6,496  
Bank of Hawaii Corp.
     175       7,997  
BB&T Corp.
     2,625       65,362  
Beneficial Mutual Bancorp, Inc. *
     595       5,534  
BOK Financial Corp.
     140       6,507  
CapitalSource, Inc.
     1,645       6,037  
Capitol Federal Financial
     175       5,107  
City National Corp.
     175       6,905  
Comerica, Inc.
     595       16,940  
Commerce Bancshares, Inc.
     255       10,229  
Cullen/Frost Bankers, Inc.
     210       10,084  
CVB Financial Corp.
     700       5,425  
East West Bancorp, Inc.
     560       8,170  
F.N.B Corp.
     770       5,013  
Fannie Mae *
     5,425       4,774  
Fifth Third Bancorp
     3,080       31,046  
First Citizens BancShares, Inc., Class A
     35       5,511  
First Financial Bancorp
     420       5,582  
First Financial Bankshares, Inc.
     105       5,437  
First Horizon National Corp. *
     840       11,382  
First Niagara Financial Group, Inc.
     700       9,233  
FirstMerit Corp.
     315       6,599  
Freddie Mac *
     4,795       4,939  
Fulton Financial Corp.
     665       5,732  
Glacier Bancorp, Inc.
     420       5,494  
Hancock Holding Co.
     140       5,796  
Hudson City Bancorp, Inc.
     1,820       24,188  
Huntington Bancshares, Inc.
     2,625       10,027  
IBERIABANK Corp.
     140       7,942  
International Bancshares Corp.
     350       5,869  
Investors Bancorp, Inc. *
     525       5,786  
Kearny Financial Corp.
     560       5,516  
KeyCorp
     3,500       20,510  
M&T Bank Corp.
     280       18,362  
Marshall & Ilsley Corp.
     1,435       8,251  
MB Financial, Inc.
     315       5,875  
National Penn Bancshares, Inc.
     875       4,830  
NBT Bancorp, Inc.
     245       5,045  
New York Community Bancorp, Inc.
     1,295       15,139  
NewAlliance Bancshares, Inc.
     490       5,772  
Northwest Bancorp, Inc.
     245       5,669  
Ocwen Financial Corp. *
     490       4,567  
Old National Bancorp
     525       6,111  
Park National Corp.
     105       6,280  
People’s United Financial, Inc.
     630       10,263  
PNC Financial Services Group, Inc.
     1,750       99,767  
Popular, Inc.
     2,450       5,807  
Prosperity Bancshares, Inc.
     175       6,970  
Regions Financial Corp.
     4,690       27,483  
Signature Bank *
     175       5,422  
SunTrust Banks, Inc.
     1,890       44,661  
SVB Financial Group *
     140       5,300  
Synovus Financial Corp.
     2,485       4,846  
TCF Financial Corp.
     455       5,979  
TFS Financial Corp.
     490       5,478  
Trustmark Corp.
     280       5,365  
U.S. Bancorp
     7,385       178,200  
UMB Financial Corp.
     140       5,502  
Umpqua Holdings Corp.
     560       6,586  
United Bankshares, Inc.
     280       4,788  
Valley National Bancorp
     525       6,940  
Washington Federal, Inc.
     420       8,001  
Webster Financial Corp.
     455       5,792  
Wells Fargo & Co.
     17,220       482,849  
Westamerica Bancorp
     105       5,586  
Whitney Holding Corp.
     700       5,635  
Wilmington Trust Corp.
     420       5,153  
Wintrust Financial Corp.
     175       4,545  
Zions Bancorp
     525       6,904  
 
             1,397,865  
 
                
Capital Goods 7.6%
                
3M Co.
     2,450       189,728  
A.O. Smith Corp.
     140       5,869  
A123 Systems, Inc. *
     280       4,522  
AAR Corp. *
     140       2,612  
Actuant Corp., Class A
     315       5,144  
Acuity Brands, Inc.
     175       5,649  
Aecom Technology Corp. *
     350       8,890  
AGCO Corp. *
     350       10,608  
Alliant Techsystems, Inc. *
     140       12,001  
American Superconductor Corp. *
     175       5,810  
AMETEK, Inc.
     385       14,076  
Applied Industrial Technologies, Inc.
     280       5,810  
Armstrong World Industries, Inc. *
     140       5,800  
Baldor Electric Co.
     210       5,408  

1

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Barnes Group, Inc.
     315       4,886  
BE Aerospace, Inc. *
     420       8,093  
Belden, Inc.
     210       4,645  
Brady Corp., Class A
     175       5,194  
Briggs & Stratton Corp.
     280       5,281  
Bucyrus International, Inc.
     280       14,501  
Carlisle Cos., Inc.
     245       7,867  
Caterpillar, Inc.
     2,450       143,055  
CLARCOR, Inc.
     175       5,577  
Crane Co.
     175       4,891  
Cubic Corp.
     140       4,875  
Cummins, Inc.
     700       31,430  
Curtiss-Wright Corp.
     175       4,981  
Danaher Corp.
     910       64,537  
Deere & Co.
     1,610       86,151  
DigitalGlobe, Inc. *
     245       5,637  
Donaldson Co., Inc.
     245       10,412  
Dover Corp.
     700       28,616  
DynCorp International, Inc., Class A *
     315       4,404  
Eaton Corp.
     630       40,257  
EMCOR Group, Inc. *
     245       5,831  
Emerson Electric Co.
     2,905       120,296  
EnerSys *
     245       5,576  
ESCO Technologies, Inc. *
     140       4,676  
Esterline Technologies Corp. *
     140       5,655  
Fastenal Co.
     525       19,467  
First Solar, Inc. *
     175       20,844  
Flowserve Corp.
     210       20,887  
Fluor Corp.
     700       29,736  
Gardner Denver, Inc.
     210       7,860  
GATX Corp.
     210       6,063  
General Cable Corp. *
     210       6,166  
General Dynamics Corp.
     1,260       83,034  
General Electric Co.
     41,020       657,140  
Goodrich Corp.
     490       29,077  
Graco, Inc.
     210       5,916  
GrafTech International Ltd. *
     490       7,208  
Granite Construction, Inc.
     210       6,294  
Harsco Corp.
     315       9,774  
HEICO Corp., Class A
     175       5,595  
Hexcel Corp. *
     490       5,170  
Honeywell International, Inc.
     2,660       102,330  
Hubbell, Inc., Class B
     210       9,536  
IDEX Corp.
     315       9,333  
II-VI, Inc. *
     210       5,981  
Illinois Tool Works, Inc.
     1,645       80,013  
ITT Corp.
     665       34,394  
Jacobs Engineering Group, Inc. *
     490       17,145  
Joy Global, Inc.
     420       22,487  
Kaydon Corp.
     175       6,223  
KBR, Inc.
     630       11,737  
Kennametal, Inc.
     315       7,088  
L-3 Communications Holdings, Inc.
     420       32,915  
Lennox International, Inc.
     210       7,795  
Lincoln Electric Holdings, Inc.
     140       7,193  
Lockheed Martin Corp.
     1,190       91,904  
Masco Corp.
     1,470       19,963  
MasTec, Inc. *
     455       5,806  
McDermott International, Inc. *
     910       19,055  
Moog, Inc., Class A *
     210       5,546  
MSC Industrial Direct Co., Inc., Class A
     175       8,032  
Mueller Industries, Inc.
     210       4,937  
Navistar International Corp. *
     210       6,932  
Nordson Corp.
     105       5,629  
Northrop Grumman Corp.
     1,120       61,376  
Oshkosh Corp.
     350       13,905  
Otter Tail Corp.
     245       5,642  
Owens Corning, Inc. *
     315       7,443  
PACCAR, Inc.
     1,330       49,316  
Pall Corp.
     455       14,483  
Parker Hannifin Corp.
     595       32,106  
Pentair, Inc.
     385       11,588  
Precision Castparts Corp.
     560       58,061  
Quanta Services, Inc. *
     770       14,437  
Raytheon Co.
     1,470       75,749  
Regal-Beloit Corp.
     140       6,644  
Robbins & Myers, Inc.
     245       5,633  
Rockwell Automation, Inc.
     490       21,310  
Rockwell Collins, Inc.
     595       31,809  
Roper Industries, Inc.
     350       18,214  
Seaboard Corp.
     35       50,890  
Simpson Manufacturing Co., Inc.
     210       5,221  
Snap-on, Inc.
     210       7,591  
Spirit AeroSystems Holdings, Inc., Class A *
     385       7,019  
SPX Corp.
     210       11,191  
SunPower Corp., Class A *
     350       7,234  
Teledyne Technologies, Inc. *
     175       5,866  
Terex Corp. *
     455       8,568  
Textron, Inc.
     1,085       21,754  
The Boeing Co.
     2,485       130,239  
The Manitowoc Co., Inc.
     595       5,843  
The Middleby Corp. *
     105       4,709  
The Shaw Group, Inc. *
     315       8,987  
The Stanley Works
     280       13,600  
The Timken Co.
     315       7,771  
The Toro Co.
     140       5,578  
Thomas & Betts Corp. *
     210       7,665  
TransDigm Group, Inc.
     140       6,069  
Trinity Industries, Inc.
     315       5,944  
Triumph Group, Inc.
     105       5,039  
Tutor Perini Corp. *
     280       4,654  
United Technologies Corp.
     3,360       225,926  
URS Corp. *
     315       13,088  
USG Corp. *
     420       5,809  
Valmont Industries, Inc.
     70       5,365  
W.W. Grainger, Inc.
     245       23,936  
Wabtec Corp.
     175       6,738  
Watsco, Inc.
     105       5,267  
Watts Water Technologies, Inc., Class A
     175       5,364  
WESCO International, Inc. *
     210       5,481  
Woodward Governor Co.
     210       4,885  
 
             3,412,463  
 
                
Commercial & Professional Services 1.0%
                
ABM Industries, Inc.
     280       5,160  
Avery Dennison Corp.
     420       15,775  
Cintas Corp.
     490       13,764  
Clean Harbors, Inc. *
     105       5,620  
Copart, Inc. *
     245       7,943  
Corrections Corp. of America *
     420       10,496  
CoStar Group, Inc. *
     140       5,562  
Covanta Holding Corp. *
     525       8,962  
Deluxe Corp.
     420       5,418  
EnergySolutions, Inc.
     665       5,706  
EnerNOC, Inc. *
     175       4,630  
Equifax, Inc.
     490       14,038  

2

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
FTI Consulting, Inc. *
     210       9,715  
Healthcare Services Group, Inc.
     280       5,513  
Herman Miller, Inc.
     350       5,316  
HNI Corp.
     210       5,307  
IHS, Inc., Class A *
     175       8,799  
Iron Mountain, Inc. *
     700       16,800  
Korn/Ferry International *
     350       5,677  
Manpower, Inc.
     280       13,793  
Mine Safety Appliances Co.
     210       5,195  
Monster Worldwide, Inc. *
     525       7,670  
MPS Group, Inc. *
     420       5,733  
Navigant Consulting, Inc. *
     455       6,029  
Pitney Bowes, Inc.
     770       17,741  
R.R. Donnelley & Sons Co.
     805       16,567  
Republic Services, Inc.
     1,190       33,558  
Resources Connection, Inc. *
     315       6,070  
RINO International Corp. *
     210       7,192  
Robert Half International, Inc.
     595       13,286  
Rollins, Inc.
     280       4,976  
Steelcase, Inc., Class A
     980       5,351  
Stericycle, Inc. *
     315       17,240  
Sykes Enterprises, Inc. *
     245       6,015  
Tetra Tech, Inc. *
     210       5,531  
The Brink’s Co.
     210       4,721  
The Corporate Executive Board Co.
     210       4,402  
The Dun & Bradstreet Corp.
     210       16,504  
The Geo Group, Inc. *
     245       4,871  
United Stationers, Inc. *
     105       5,349  
Verisk Analytics, Inc., Class A *
     315       8,477  
Waste Connections, Inc. *
     315       10,222  
Waste Management, Inc.
     1,890       62,067  
Watson Wyatt Worldwide, Inc., Class A
     175       7,234  
 
             455,995  
 
                
Consumer Durables & Apparel 1.2%
                
American Greetings Corp., Class A
     245       5,072  
Brunswick Corp.
     595       5,974  
Carter’s, Inc. *
     245       5,329  
Coach, Inc.
     1,260       43,785  
Columbia Sportswear Co.
     140       5,379  
D.R. Horton, Inc.
     1,120       11,514  
Deckers Outdoor Corp. *
     70       6,484  
Eastman Kodak Co.
     1,610       6,520  
Fortune Brands, Inc.
     595       22,854  
Fossil, Inc. *
     210       6,478  
Garmin Ltd.
     560       16,733  
Hanesbrands, Inc. *
     350       8,403  
Harman International Industries, Inc.
     245       9,214  
Hasbro, Inc.
     455       13,491  
Iconix Brand Group, Inc. *
     490       5,517  
Jarden Corp.
     315       8,647  
Jones Apparel Group, Inc.
     350       5,933  
KB Home
     385       5,217  
Leggett & Platt, Inc.
     630       12,260  
Lennar Corp., Class A
     595       7,539  
M.D.C Holdings, Inc.
     175       5,196  
Mattel, Inc.
     1,435       27,925  
Mohawk Industries, Inc. *
     210       8,627  
Newell Rubbermaid, Inc.
     1,120       16,251  
NIKE, Inc., Class B
     1,050       68,134  
NVR, Inc. *
     35       23,560  
Phillips-Van Heusen Corp.
     210       8,400  
Polaris Industries, Inc.
     140       6,108  
Polo Ralph Lauren Corp.
     210       16,138  
Pool Corp.
     315       5,689  
Pulte Homes, Inc.
     1,330       12,156  
Skechers U.S.A., Inc., Class A *
     280       6,182  
Tempur-Pedic International, Inc. *
     315       6,788  
The Black & Decker Corp.
     210       12,745  
The Ryland Group, Inc.
     315       5,768  
The Warnaco Group, Inc. *
     175       7,124  
Toll Brothers, Inc. *
     525       10,232  
Tupperware Brands Corp.
     245       11,405  
Under Armour, Inc., Class A *
     210       5,376  
UniFirst Corp.
     140       6,153  
VF Corp.
     315       22,907  
Whirlpool Corp.
     280       20,765  
Wolverine World Wide, Inc.
     210       5,370  
 
             531,342  
 
                
Consumer Services 2.0%
                
Ameristar Casinos, Inc.
     350       6,083  
Apollo Group, Inc., Class A *
     595       33,957  
Bally Technologies, Inc. *
     210       8,721  
Bob Evans Farms, Inc.
     210       5,305  
Boyd Gaming Corp. *
     700       5,719  
Bridgepoint Education, Inc. *
     385       6,148  
Brink’s Home Security Holdings, Inc. *
     175       5,726  
Brinker International, Inc.
     455       6,279  
Buffalo Wild Wings, Inc. *
     140       5,592  
Burger King Holdings, Inc.
     350       5,950  
Capella Education Co. *
     70       4,990  
Career Education Corp. *
     245       6,377  
Carnival Corp.
     1,645       52,689  
Chipotle Mexican Grill, Inc., Class A *
     105       8,762  
Choice Hotels International, Inc.
     175       5,486  
Coinstar, Inc. *
     175       4,688  
Corinthian Colleges, Inc. *
     315       4,668  
Cracker Barrel Old Country Store, Inc.
     175       6,573  
Darden Restaurants, Inc.
     525       16,501  
DeVry, Inc.
     245       13,308  
Grand Canyon Education, Inc. *
     350       6,710  
H&R Block, Inc.
     1,260       25,578  
Hillenbrand, Inc.
     280       5,124  
International Game Technology
     1,190       22,479  
International Speedway Corp., Class A
     210       5,664  
ITT Educational Services, Inc. *
     140       12,737  
Jack in the Box, Inc. *
     280       5,228  
Las Vegas Sands Corp. *
     1,750       26,810  
Life Time Fitness, Inc. *
     245       5,537  
Marriott International, Inc., Class A
     1,193       30,687  
Matthews International Corp., Class A
     140       4,850  
McDonald’s Corp.
     4,200       265,650  
MGM MIRAGE *
     1,015       10,729  
Panera Bread Co., Class A *
     105       6,611  
Penn National Gaming, Inc. *
     245       6,564  
Regis Corp.
     350       5,481  
Royal Caribbean Cruises Ltd. *
     525       12,899  
Scientific Games Corp., Class A *
     420       5,943  
Service Corp. International
     980       7,566  
Sotheby’s
     385       7,303  
Starbucks Corp. *
     2,765       60,553  
Starwood Hotels & Resorts Worldwide, Inc.
     665       21,293  
Strayer Education, Inc.
     70       13,825  
The Cheesecake Factory, Inc. *
     280       5,272  

3

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Vail Resorts, Inc. *
     140       5,431  
Weight Watchers International, Inc.
     210       5,813  
Wendy’s/Arby’s Group, Inc., Class A
     1,435       5,884  
WMS Industries, Inc. *
     175       6,804  
Wyndham Worldwide Corp.
     665       12,349  
Wynn Resorts Ltd.
     280       18,071  
Yum! Brands, Inc.
     1,785       62,957  
 
             911,924  
 
                
Diversified Financials 6.9%
                
Affiliated Managers Group, Inc. *
     140       9,129  
American Express Co.
     4,095       171,294  
AmeriCredit Corp. *
     315       5,812  
Ameriprise Financial, Inc.
     980       37,358  
Artio Global Investors, Inc. *
     210       4,809  
Bank of America Corp.
     33,425       529,786  
Bank of New York Mellon Corp.
     4,550       121,212  
BlackRock, Inc.
     70       15,896  
Broadpoint Gleacher Securities, Inc. *
     840       4,553  
Capital One Financial Corp.
     1,785       68,473  
Cash America International, Inc.
     175       5,628  
Citigroup, Inc.
     59,675       245,264  
CME Group, Inc.
     245       80,416  
Cohen & Steers, Inc.
     280       5,359  
Credit Acceptance Corp. *
     175       6,053  
Discover Financial Services
     2,100       32,466  
Duff & Phelps Corp., Class A
     315       5,346  
E*TRADE Financial Corp. *
     4,515       7,405  
Eaton Vance Corp.
     455       13,714  
Federated Investors, Inc., Class B
     385       9,925  
Franklin Resources, Inc.
     630       68,059  
GAMCO Investors, Inc., Class A
     140       6,430  
Greenhill & Co., Inc.
     70       5,715  
IntercontinentalExchange, Inc. *
     280       29,901  
Invesco Ltd.
     1,680       37,380  
Investment Technology Group, Inc. *
     210       3,833  
Janus Capital Group, Inc.
     700       9,163  
Jefferies Group, Inc. *
     420       9,849  
JPMorgan Chase & Co.
     15,190       645,423  
KBW, Inc. *
     175       4,303  
Knight Capital Group, Inc., Class A *
     350       5,124  
Legg Mason, Inc.
     630       17,823  
Leucadia National Corp. *
     770       16,570  
MF Global Ltd. *
     770       4,843  
Moody’s Corp.
     700       16,261  
Morgan Stanley
     4,900       154,742  
MSCI, Inc., Class A *
     385       11,731  
Northern Trust Corp.
     945       46,777  
NYSE Euronext
     1,015       25,659  
optionsXpress Holdings, Inc.
     350       5,355  
PHH Corp. *
     350       4,837  
PICO Holdings, Inc. *
     175       5,240  
Piper Jaffray Cos., Inc. *
     105       4,552  
Raymond James Financial, Inc.
     385       9,352  
Riskmetrics Group, Inc. *
     350       5,226  
SEI Investments Co.
     630       11,031  
SLM Corp. *
     1,820       19,965  
State Street Corp.
     1,890       78,057  
Stifel Financial Corp. *
     105       5,641  
T. Rowe Price Group, Inc.
     980       47,951  
TD Ameritrade Holding Corp. *
     910       17,872  
The Charles Schwab Corp.(a)
     3,570       65,438  
The Goldman Sachs Group, Inc.
     1,680       285,029  
The NASDAQ OMX Group, Inc. *
     595       11,115  
The Student Loan Corp.
     105       5,216  
Waddell & Reed Financial, Inc., Class A
     315       9,176  
 
             3,090,537  
 
                
Energy 11.4%
                
Alon USA Energy, Inc.
     665       4,781  
Alpha Natural Resources, Inc. *
     630       23,310  
Anadarko Petroleum Corp.
     1,925       114,595  
Apache Corp.
     1,330       126,722  
Apco Oil & Gas International, Inc.
     245       5,383  
Arch Coal, Inc.
     630       13,142  
Arena Resources, Inc. *
     140       5,725  
Atlas Energy, Inc.
     210       5,397  
ATP Oil & Gas Corp. *
     315       5,024  
Atwood Oceanics, Inc. *
     210       7,913  
Baker Hughes, Inc.
     1,225       49,906  
Basic Energy Services, Inc. *
     700       4,816  
Berry Petroleum Co., Class A
     210       5,739  
Bill Barrett Corp. *
     175       4,996  
BJ Services Co.
     1,120       21,034  
BP Prudhoe Bay Royalty Trust
     70       5,507  
BPZ Resources, Inc. *
     875       6,370  
Brigham Exploration Co. *
     595       6,212  
Bristow Group, Inc. *
     175       6,006  
Cabot Oil & Gas Corp.
     420       16,086  
Cal Dive International, Inc. *
     595       4,320  
Cameron International Corp. *
     994       37,573  
CARBO Ceramics, Inc.
     105       6,229  
Carrizo Oil & Gas, Inc. *
     210       4,421  
Chesapeake Energy Corp.
     2,485       59,441  
Chevron Corp.
     7,665       598,177  
Cimarex Energy Co.
     350       16,394  
Clean Energy Fuels Corp. *
     490       5,733  
CNX Gas Corp. *
     175       4,774  
Complete Production Services, Inc. *
     560       5,818  
Comstock Resources, Inc. *
     175       6,498  
Concho Resources, Inc. *
     315       12,877  
ConocoPhillips
     5,075       262,733  
CONSOL Energy, Inc.
     700       32,144  
Contango Oil & Gas Co. *
     105       4,660  
Continental Resources, Inc. *
     140       5,271  
CVR Energy, Inc. *
     525       3,848  
Delek US Holdings, Inc.
     805       5,530  
Delta Petroleum Corp. *
     4,340       3,949  
Denbury Resources, Inc. *
     1,015       13,469  
Devon Energy Corp.
     1,645       110,791  
Diamond Offshore Drilling, Inc.
     245       24,387  
Dresser-Rand Group, Inc. *
     350       9,828  
Dril-Quip, Inc. *
     105       5,671  
El Paso Corp.
     2,765       26,433  
Encore Acquisition Co. *
     210       9,454  
ENSCO International, Inc.
     560       24,640  
EOG Resources, Inc.
     980       84,760  
EXCO Resources, Inc.
     665       11,252  
Exterran Holdings, Inc. *
     245       5,133  
Exxon Mobil Corp.
     18,445       1,384,666  
FMC Technologies, Inc. *
     490       26,690  
Forest Oil Corp. *
     420       7,694  
Frontier Oil Corp.
     420       4,843  
General Maritime Corp.
     805       5,691  
Global Industries Ltd. *
     735       4,314  
GMX Resources, Inc. *
     420       4,906  

4

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Goodrich Petroleum Corp. *
     210       4,647  
GulfMark Offshore, Inc. *
     210       5,725  
Gulfport Energy Corp. *
     735       6,990  
Halliburton Co.
     3,500       102,760  
Helix Energy Solutions Group, Inc. *
     385       4,528  
Helmerich & Payne, Inc.
     385       14,457  
Hercules Offshore, Inc. *
     1,015       5,187  
Hess Corp.
     1,190       68,972  
Holly Corp.
     175       4,454  
Hornbeck Offshore Services, Inc. *
     210       4,790  
Hugoton Royalty Trust
     350       5,632  
International Coal Group, Inc. *
     1,365       5,692  
ION Geophysical Corp. *
     1,470       7,997  
James River Coal Co. *
     245       4,491  
Key Energy Services, Inc. *
     665       5,067  
Lufkin Industries, Inc.
     105       6,318  
Marathon Oil Corp.
     2,765       90,194  
Mariner Energy, Inc. *
     420       5,254  
Massey Energy Co.
     350       13,181  
McMoRan Exploration Co. *
     700       5,082  
Murphy Oil Corp.
     735       41,447  
Nabors Industries Ltd. *
     1,155       23,851  
National-Oilwell Varco, Inc.
     1,645       70,768  
Newfield Exploration Co. *
     525       22,197  
Noble Energy, Inc.
     700       45,675  
Occidental Petroleum Corp.
     3,150       254,488  
Oceaneering International, Inc. *
     175       9,560  
Oil States International, Inc. *
     175       6,277  
Overseas Shipholding Group, Inc.
     140       5,363  
Parker Drilling Co. *
     1,050       5,250  
Patriot Coal Corp. *
     455       5,574  
Patterson-UTI Energy, Inc.
     630       9,696  
Peabody Energy Corp.
     1,085       48,239  
Penn Virginia Corp.
     245       4,439  
Petrohawk Energy Corp. *
     1,225       27,366  
Petroleum Development Corp. *
     350       6,289  
PetroQuest Energy, Inc. *
     980       5,517  
Pioneer Drilling Co. *
     875       5,303  
Pioneer Natural Resources Co.
     455       18,814  
Plains Exploration & Production Co. *
     560       15,238  
Pride International, Inc. *
     630       19,927  
Quicksilver Resources, Inc. *
     490       6,522  
Range Resources Corp.
     630       29,692  
Rosetta Resources, Inc. *
     420       6,615  
Rowan Cos., Inc. *
     420       10,370  
RPC, Inc.
     560       5,410  
SandRidge Energy, Inc. *
     595       5,581  
Schlumberger Ltd.
     4,655       297,408  
SEACOR Holdings, Inc. *
     70       5,362  
Seahawk Drilling, Inc. *
     175       3,768  
Ship Finance International Ltd.
     490       6,390  
Smith International, Inc.
     840       22,831  
Southern Union Co.
     385       7,977  
Southwestern Energy Co. *
     1,400       61,544  
Spectra Energy Corp.
     2,485       48,234  
St. Mary Land & Exploration Co.
     245       7,933  
Stone Energy Corp. *
     350       6,618  
Sunoco, Inc.
     455       11,466  
Superior Energy Services, Inc. *
     315       6,659  
Swift Energy Co. *
     280       6,012  
Teekay Corp.
     280       6,720  
Tesco Corp. *
     630       6,735  
Tesoro Corp.
     560       7,157  
TETRA Technologies, Inc. *
     595       6,164  
The Williams Cos., Inc.
     2,240       44,554  
Tidewater, Inc.
     210       9,439  
Ultra Petroleum Corp. *
     595       27,959  
Unit Corp. *
     175       6,582  
USEC, Inc. *
     1,470       5,380  
Valero Energy Corp.
     2,170       34,481  
Venoco, Inc. *
     420       4,683  
W&T Offshore, Inc.
     455       4,709  
Western Refining, Inc. *
     980       4,557  
Whiting Petroleum Corp. *
     175       10,894  
World Fuel Services Corp.
     105       5,584  
XTO Energy, Inc.
     2,240       95,066  
 
             5,143,428  
 
                
Food & Staples Retailing 2.4%
                
BJ’s Wholesale Club, Inc. *
     210       7,289  
Casey’s General Stores, Inc.
     175       5,353  
Costco Wholesale Corp.
     1,645       98,552  
CVS Caremark Corp.
     5,460       169,315  
Rite Aid Corp. *
     4,410       5,645  
Ruddick Corp.
     210       5,590  
Safeway, Inc.
     1,575       35,438  
SUPERVALU, Inc.
     805       11,133  
Sysco Corp.
     2,240       60,570  
The Kroger Co.
     2,275       51,733  
United Natural Foods, Inc. *
     210       5,294  
Wal-Mart Stores, Inc.
     8,365       456,311  
Walgreen Co.
     3,780       147,004  
Weis Markets, Inc.
     140       4,869  
Whole Foods Market, Inc. *
     560       14,364  
Winn-Dixie Stores, Inc. *
     490       5,282  
 
             1,083,742  
 
                
Food, Beverage & Tobacco 5.2%
                
Altria Group, Inc.
     7,910       148,787  
Archer-Daniels-Midland Co.
     2,240       69,014  
Brown-Forman Corp., Class B
     420       21,491  
Bunge Ltd.
     490       30,331  
Campbell Soup Co.
     805       28,151  
Central European Distribution Corp. *
     175       4,879  
Chiquita Brands International, Inc. *
     315       5,352  
Coca-Cola Enterprises, Inc.
     1,260       24,759  
ConAgra Foods, Inc.
     1,715       38,056  
Constellation Brands, Inc., Class A *
     770       13,175  
Corn Products International, Inc.
     315       8,833  
Dean Foods Co. *
     665       10,573  
Del Monte Foods Co.
     735       7,710  
Dole Food Co., Inc. *
     1,365       15,684  
Dr. Pepper Snapple Group, Inc. *
     875       22,916  
Flowers Foods, Inc.
     315       7,210  
Fresh Del Monte Produce, Inc. *
     245       5,324  
General Mills, Inc.
     1,155       78,540  
Green Mountain Coffee Roasters, Inc. *
     140       8,817  
H.J. Heinz Co.
     1,190       50,515  
Hansen Natural Corp. *
     280       9,792  
Hormel Foods Corp.
     280       10,506  
J&J Snack Foods Corp.
     140       5,054  
Kellogg Co.
     910       47,848  
Kraft Foods, Inc., Class A
     5,145       136,754  
Lancaster Colony Corp.
     105       5,011  
Lance, Inc.
     210       5,114  
Lorillard, Inc.
     630       49,083  

5

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
McCormick & Co., Inc.
     420       14,986  
Molson Coors Brewing Co., Class B
     595       26,900  
PepsiAmericas, Inc.
     245       7,252  
PepsiCo, Inc.
     6,020       374,564  
Philip Morris International, Inc.
     7,420       356,828  
Ralcorp Holdings, Inc. *
     210       12,163  
Reynolds American, Inc.
     630       31,475  
Sanderson Farms, Inc.
     140       5,624  
Sara Lee Corp.
     2,555       31,018  
Smithfield Foods, Inc. *
     595       9,211  
The Coca-Cola Co.
     8,155       466,466  
The Hain Celestial Group, Inc. *
     280       4,855  
The Hershey Co.
     595       21,045  
The J.M. Smucker Co.
     455       26,881  
The Pepsi Bottling Group, Inc.
     525       19,924  
Tootsie Roll Industries, Inc.
     210       5,338  
TreeHouse Foods, Inc. *
     140       4,882  
Tyson Foods, Inc., Class A
     1,085       13,042  
Universal Corp.
     140       6,007  
Vector Group Ltd.
     385       5,355  
 
             2,313,095  
 
                
Health Care Equipment & Services 4.5%
                
Aetna, Inc.
     1,715       49,924  
Align Technology, Inc. *
     315       5,153  
Allscripts-Misys Healthcare Solutions, Inc. *
     280       5,376  
Amedisys, Inc. *
     140       5,186  
American Medical Systems Holdings, Inc. *
     350       6,149  
AMERIGROUP Corp. *
     245       5,809  
AmerisourceBergen Corp.
     1,155       28,517  
AmSurg Corp. *
     245       5,074  
athenahealth, Inc. *
     140       5,866  
Baxter International, Inc.
     2,275       124,101  
Beckman Coulter, Inc.
     245       15,915  
Becton, Dickinson & Co.
     840       62,832  
Boston Scientific Corp. *
     5,845       48,923  
Brookdale Senior Living, Inc. *
     350       5,453  
C.R. Bard, Inc.
     350       28,773  
Cardinal Health, Inc.
     1,365       43,994  
CareFusion Corp. *
     665       17,177  
Catalyst Health Solutions, Inc. *
     175       5,952  
Centene Corp. *
     315       5,928  
Cerner Corp. *
     245       18,446  
Chemed Corp.
     105       4,744  
CIGNA Corp.
     1,050       33,684  
Community Health Systems, Inc. *
     385       11,746  
CONMED Corp. *
     245       5,094  
Coventry Health Care, Inc. *
     595       13,417  
DaVita, Inc. *
     385       22,807  
DENTSPLY International, Inc.
     560       18,659  
Eclipsys Corp. *
     280       5,135  
Edwards Lifesciences Corp. *
     210       17,279  
Emdeon, Inc., Class A *
     350       5,282  
Emergency Medical Services Corp., Class A *
     105       5,066  
Emeritus Corp. *
     245       3,832  
ev3, Inc. *
     455       5,778  
Express Scripts, Inc. *
     980       84,084  
Gen-Probe, Inc. *
     175       7,296  
Genoptix, Inc. *
     140       5,075  
Gentiva Health Services, Inc. *
     210       4,967  
Haemonetics Corp. *
     105       5,605  
Health Management Associates, Inc., Class A *
     1,015       6,222  
Health Net, Inc. *
     385       8,170  
HEALTHSOUTH Corp. *
     350       6,139  
Healthspring, Inc. *
     420       6,955  
Henry Schein, Inc. *
     350       17,381  
Hill-Rom Holdings, Inc.
     245       5,434  
HMS Holdings Corp. *
     140       6,189  
Hologic, Inc. *
     980       14,181  
Hospira, Inc. *
     630       29,578  
Humana, Inc. *
     630       26,151  
IDEXX Laboratories, Inc. *
     210       10,510  
Immucor, Inc. *
     315       5,812  
IMS Health, Inc.
     700       14,952  
Integra LifeSciences Holdings Corp. *
     175       5,729  
Intuitive Surgical, Inc. *
     140       39,276  
Invacare Corp.
     245       6,100  
Inverness Medical Innovations, Inc. *
     280       11,774  
Kindred Healthcare, Inc. *
     350       5,201  
Kinetic Concepts, Inc. *
     245       8,259  
Laboratory Corp. of America Holdings *
     420       30,643  
LifePoint Hospitals, Inc. *
     210       6,096  
Lincare Holdings, Inc. *
     245       8,702  
Magellan Health Services, Inc. *
     175       6,435  
Masimo Corp. *
     210       5,536  
McKesson Corp.
     1,050       65,121  
MedAssets, Inc. *
     245       5,718  
Medco Health Solutions, Inc. *
     1,820       114,951  
MEDNAX, Inc. *
     175       9,837  
Medtronic, Inc.
     4,200       178,248  
Meridian Bioscience, Inc.
     245       5,074  
NuVasive, Inc. *
     140       4,543  
Omnicare, Inc.
     455       10,547  
Owens & Minor, Inc.
     140       5,431  
Patterson Cos., Inc. *
     385       9,898  
Phase Forward, Inc. *
     385       5,875  
PSS World Medical, Inc. *
     245       4,741  
Psychiatric Solutions, Inc. *
     315       6,980  
Quality Systems, Inc.
     105       6,246  
Quest Diagnostics, Inc.
     595       34,474  
RehabCare Group, Inc. *
     140       3,944  
ResMed, Inc. *
     280       14,076  
Select Medical Holdings Corp. *
     560       5,068  
Sirona Dental Systems, Inc. *
     175       5,093  
St. Jude Medical, Inc. *
     1,330       48,824  
STERIS Corp.
     210       6,785  
Stryker Corp.
     1,190       59,976  
Teleflex, Inc.
     140       7,293  
Tenet Healthcare Corp. *
     1,890       8,599  
The Cooper Cos., Inc.
     175       5,861  
Thoratec Corp. *
     210       6,256  
UnitedHealth Group, Inc.
     4,480       128,442  
Universal American Financial Corp. *
     630       6,527  
Universal Health Services, Inc., Class B
     175       9,781  
Varian Medical Systems, Inc. *
     455       21,267  
VCA Antech, Inc. *
     315       7,141  
Volcano Corp. *
     350       5,156  
WellCare Health Plans, Inc. *
     210       6,928  
WellPoint, Inc. *
     1,785       96,444  
West Pharmaceutical Services, Inc.
     140       5,397  
Wright Medical Group, Inc. *
     350       6,300  
Zimmer Holdings, Inc. *
     840       49,703  
 
             2,028,068  

6

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Household & Personal Products 2.6%
                
Alberto-Culver Co.
     315       8,867  
Avon Products, Inc.
     1,645       56,341  
Bare Escentuals, Inc. *
     490       6,267  
Chattem, Inc. *
     70       4,609  
Church & Dwight Co., Inc.
     280       16,531  
Colgate-Palmolive Co.
     1,890       159,119  
Energizer Holdings, Inc. *
     245       13,803  
Herbalife Ltd.
     245       10,275  
Kimberly-Clark Corp.
     1,575       103,903  
Mead Johnson Nutrition Co., Class A *
     140       6,142  
NBTY, Inc. *
     210       8,429  
Nu Skin Enterprises, Inc., Class A
     245       6,561  
Revlon, Inc., Class A *
     385       6,969  
The Clorox Co.
     525       31,642  
The Estee Lauder Cos., Inc., Class A
     385       18,030  
The Procter & Gamble Co.
     11,200       698,320  
 
             1,155,808  
 
                
Insurance 3.8%
                
Aflac, Inc.
     1,820       83,775  
Alleghany Corp. *
     35       9,344  
Allied World Assurance Co. Holdings Ltd.
     140       6,691  
American Financial Group, Inc.
     280       6,793  
American International Group, Inc. *
     455       12,922  
American National Insurance Co.
     70       7,596  
Aon Corp.
     910       35,244  
Arch Capital Group Ltd. *
     210       14,666  
Argo Group International Holdings Ltd. *
     140       4,084  
Arthur J. Gallagher & Co.
     420       9,408  
Aspen Insurance Holdings Ltd.
     280       7,255  
Assurant, Inc.
     455       13,909  
Assured Guaranty Ltd.
     455       10,319  
Axis Capital Holdings Ltd.
     525       14,695  
Berkshire Hathaway, Inc., Class B *
     140       469,420  
Brown & Brown, Inc.
     420       7,497  
Cincinnati Financial Corp.
     560       14,291  
CNA Financial Corp. *
     245       5,574  
Conseco, Inc. *
     1,085       5,197  
Delphi Financial Group, Inc., Class A
     245       5,356  
Endurance Specialty Holdings Ltd.
     175       6,543  
Erie Indemnity Co., Class A
     140       5,176  
Everest Re Group Ltd.
     210       17,873  
Fidelity National Financial, Inc., Class A
     910       12,640  
First American Corp.
     495       15,701  
Genworth Financial, Inc., Class A *
     1,960       21,109  
Hanover Insurance Group, Inc.
     210       8,742  
HCC Insurance Holdings, Inc.
     420       10,975  
Lincoln National Corp.
     1,015       23,254  
Loews Corp.
     1,365       48,348  
Markel Corp. *
     35       11,865  
Marsh & McLennan Cos., Inc.
     2,030       45,777  
Max Capital Group Ltd.
     280       6,101  
Mercury General Corp.
     140       5,172  
MetLife, Inc.
     2,205       75,389  
Montpelier Re Holdings Ltd.
     315       5,273  
Old Republic International Corp.
     875       9,310  
OneBeacon Insurance Group Ltd., Class A
     455       6,370  
PartnerRe Ltd.
     210       16,179  
Platinum Underwriters Holdings Ltd.
     175       6,176  
Principal Financial Group, Inc.
     1,190       30,214  
ProAssurance Corp. *
     140       7,455  
Protective Life Corp.
     315       5,210  
Prudential Financial, Inc.
     1,855       92,472  
Reinsurance Group of America, Inc.
     280       13,020  
RenaissanceRe Holdings Ltd.
     245       13,054  
RLI Corp.
     105       5,295  
StanCorp Financial Group, Inc.
     175       6,494  
The Allstate Corp.
     2,030       57,672  
The Chubb Corp.
     1,365       68,441  
The Hartford Financial Services Group, Inc.
     1,470       35,956  
The Progressive Corp. *
     2,415       40,500  
The Travelers Cos., Inc.
     2,170       113,686  
Torchmark Corp.
     315       13,696  
Transatlantic Holdings, Inc.
     210       11,348  
Unitrin, Inc.
     280       6,247  
Unum Group
     1,295       24,657  
Validus Holdings Ltd.
     280       7,420  
W.R. Berkley Corp.
     525       12,973  
Wesco Financial Corp.
     35       11,935  
White Mountains Insurance Group Ltd.
     35       11,404  
XL Capital Ltd., Class A
     1,330       24,352  
Zenith National Insurance Corp.
     175       5,003  
 
             1,720,513  
 
                
Materials 4.0%
                
Air Products & Chemicals, Inc.
     770       63,856  
Airgas, Inc.
     245       11,331  
AK Steel Holding Corp.
     455       9,100  
Albemarle Corp.
     350       11,812  
Alcoa, Inc.
     3,920       49,078  
Allegheny Technologies, Inc.
     385       13,102  
AMCOL International Corp.
     210       5,723  
AptarGroup, Inc.
     245       8,849  
Ashland, Inc.
     280       10,060  
Ball Corp.
     350       17,293  
Bemis Co., Inc.
     420       12,306  
Cabot Corp.
     245       5,618  
Calgon Carbon Corp. *
     385       5,386  
Carpenter Technology Corp.
     280       6,490  
Celanese Corp. Series A
     560       16,666  
CF Industries Holdings, Inc.
     210       17,926  
Cliffs Natural Resources, Inc.
     525       23,131  
Coeur d’Alene Mines Corp. *
     315       7,185  
Commercial Metals Co.
     455       7,234  
Compass Minerals International, Inc.
     105       6,834  
Crown Holdings, Inc. *
     595       14,976  
Cytec Industries, Inc.
     175       5,946  
Domtar Corp. *
     140       7,899  
E.I. du Pont de Nemours & Co.
     3,255       112,558  
Eagle Materials, Inc.
     210       5,662  
Eastman Chemical Co.
     245       14,729  
Ecolab, Inc.
     875       39,296  
FMC Corp.
     280       15,677  
Freeport-McMoRan Copper & Gold, Inc. *
     1,610       133,308  
Graphic Packaging Holding Co. *
     2,380       6,426  
Greif, Inc., Class A
     140       7,820  
H.B. Fuller Co.
     280       5,701  
Hecla Mining Co. *
     1,435       9,485  
Huntsman Corp.
     700       6,664  
International Flavors & Fragrances, Inc.
     280       11,402  

7

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
International Paper Co.
     1,575       40,084  
Intrepid Potash, Inc. *
     210       6,392  
Kaiser Aluminum Corp.
     140       5,410  
Martin Marietta Materials, Inc.
     175       14,926  
MeadWestvaco Corp.
     595       16,285  
Minerals Technologies, Inc.
     105       5,548  
Monsanto Co.
     2,065       166,749  
Nalco Holding Co.
     525       12,841  
NewMarket Corp.
     70       7,330  
Newmont Mining Corp.
     1,855       99,502  
Nucor Corp.
     1,120       47,499  
Olin Corp.
     350       5,870  
OM Group, Inc. *
     175       5,360  
Owens-Illinois, Inc. *
     665       20,795  
Packaging Corp. of America
     385       7,669  
Pactiv Corp. *
     490       11,931  
PPG Industries, Inc.
     665       39,521  
Praxair, Inc.
     1,190       97,616  
Reliance Steel & Aluminum Co.
     245       10,016  
Rock-Tenn Co., Class A
     140       6,324  
Rockwood Holdings, Inc. *
     280       6,303  
Royal Gold, Inc.
     140       7,535  
RPM International, Inc.
     525       10,290  
Schnitzer Steel Industries, Inc., Class A
     105       4,685  
Schweitzer-Mauduit International, Inc.
     105       6,464  
Sealed Air Corp.
     595       13,263  
Sensient Technologies Corp.
     210       5,321  
Sigma-Aldrich Corp.
     385       20,536  
Silgan Holdings, Inc.
     105       5,625  
Solutia, Inc. *
     490       5,277  
Sonoco Products Co.
     385       10,849  
Southern Copper Corp.
     840       29,266  
Steel Dynamics, Inc.
     840       14,213  
Temple-Inland, Inc.
     420       7,556  
Terra Industries, Inc.
     420       16,204  
Texas Industries, Inc.
     140       4,864  
The Dow Chemical Co.
     4,410       122,510  
The Lubrizol Corp.
     245       17,767  
The Mosaic Co.
     595       32,398  
The Scotts Miracle-Gro Co., Class A
     175       6,988  
The Valspar Corp.
     350       9,177  
Titanium Metals Corp.
     665       6,497  
United States Steel Corp.
     560       25,010  
Valhi, Inc.
     595       6,158  
Vulcan Materials Co.
     420       20,362  
W.R. Grace & Co. *
     245       5,601  
Walter Energy, Inc.
     210       14,406  
Westlake Chemical Corp.
     210       5,492  
Weyerhaeuser Co.
     805       31,347  
Worthington Industries, Inc.
     490       5,738  
 
             1,811,899  
 
                
Media 2.7%
                
Cablevision Systems Corp., Class A
     910       22,768  
CBS Corp., Class B
     2,415       30,936  
Cinemark Holdings, Inc.
     490       6,199  
Clear Channel Outdoor Holdings, Inc., Class A *
     770       7,030  
Comcast Corp., Class A
     11,060       162,250  
DIRECTV, Class A *
     3,674       116,209  
Discovery Communications, Inc., Series A *
     1,085       34,666  
DISH Network Corp., Class A *
     840       17,396  
DreamWorks Animation SKG, Inc., Class A *
     245       8,200  
Gannett Co., Inc.
     980       9,692  
Interactive Data Corp.
     210       5,363  
John Wiley & Sons, Inc., Class A
     175       6,554  
Lamar Advertising Co., Class A *
     245       6,782  
Liberty Global, Inc., Series A *
     980       18,904  
Liberty Media — Starz, Series A *
     191       9,139  
Liberty Media Corp. — Capital Series A*
     315       6,958  
Marvel Entertainment, Inc. *
     210       10,931  
Meredith Corp.
     175       4,611  
Morningstar, Inc. *
     105       4,868  
News Corp., Class A
     9,065       103,885  
Omnicom Group, Inc.
     1,190       43,697  
Regal Entertainment Group, Class A
     490       6,713  
Scripps Networks Interactive, Class A
     315       12,458  
Sirius XM Radio, Inc. *
     15,155       9,548  
The Interpublic Group of Cos., Inc. *
     1,855       11,742  
The McGraw-Hill Cos., Inc.
     1,190       35,652  
The New York Times Co., Class A
     630       5,317  
The Walt Disney Co.
     6,720       203,079  
The Washington Post Co., Class B
     35       14,476  
Time Warner Cable, Inc.
     1,400       58,646  
Time Warner, Inc.
     4,620       141,927  
Viacom, Inc., Class B *
     2,100       62,244  
Virgin Media, Inc.
     1,085       17,859  
World Wrestling Entertainment, Inc., Class A
     385       6,187  
 
             1,222,886  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 8.0%
                
Abbott Laboratories
     5,880       320,401  
Abraxis BioScience, Inc. *
     175       5,857  
Acorda Therapeutics, Inc. *
     245       5,900  
Alexion Pharmaceuticals, Inc. *
     350       15,872  
Alkermes, Inc. *
     665       5,972  
Allergan, Inc.
     1,225       71,209  
Allos Therapeutics, Inc. *
     910       5,888  
Alnylam Pharmaceuticals, Inc. *
     315       5,295  
Amgen, Inc. *
     3,850       216,947  
Amylin Pharmaceuticals, Inc. *
     560       7,986  
Auxilium Pharmaceuticals, Inc. *
     175       6,102  
Bio-Rad Laboratories, Inc., Class A *
     70       6,768  
Biogen Idec, Inc. *
     1,120       52,573  
BioMarin Pharmaceutical, Inc. *
     420       6,934  
Bristol-Myers Squibb Co. *
     7,560       191,344  
Bruker Corp. *
     560       6,345  
Celgene Corp. *
     1,750       97,037  
Cephalon, Inc. *
     280       15,386  
Cepheid, Inc. *
     420       5,200  
Charles River Laboratories International, Inc. *
     245       7,877  
Covance, Inc. *
     245       13,012  
Cubist Pharmaceuticals, Inc. *
     315       5,254  
Dendreon Corp. *
     455       12,440  
Dionex Corp. *
     70       4,908  
Eli Lilly & Co.
     3,710       136,268  
Endo Pharmaceuticals Holdings, Inc. *
     385       8,482  
Exelixis, Inc. *
     1,015       6,943  
Forest Laboratories, Inc. *
     1,155       35,412  
Genzyme Corp. *
     1,015       51,460  
Gilead Sciences, Inc. *
     3,465       159,563  
Halozyme Therapeutics, Inc. *
     875       4,778  

8

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Human Genome Sciences, Inc. *
     630       17,527  
Illumina, Inc. *
     560       16,195  
Incyte Corp. *
     980       8,163  
Isis Pharmaceuticals, Inc. *
     420       4,498  
Johnson & Johnson
     10,605       666,418  
King Pharmaceuticals, Inc. *
     945       11,179  
Life Technologies Corp. *
     700       34,846  
Luminex Corp. *
     385       5,275  
Martek Biosciences Corp. *
     280       4,872  
Medicis Pharmaceutical Corp., Class A
     245       5,780  
Medivation, Inc. *
     210       6,447  
Merck & Co., Inc.
     11,690       423,295  
Mettler-Toledo International, Inc. *
     140       13,927  
Millipore Corp. *
     210       14,301  
Mylan, Inc. *
     1,155       20,640  
Myriad Genetics, Inc. *
     350       8,092  
Nektar Therapeutics *
     700       6,097  
Onyx Pharmaceuticals, Inc. *
     245       7,009  
OSI Pharmaceuticals, Inc. *
     210       6,995  
Par Pharmaceutical Cos., Inc. *
     245       5,811  
PAREXEL International Corp. *
     455       5,465  
PDL BioPharma, Inc.
     700       4,550  
PerkinElmer, Inc.
     490       9,246  
Perrigo Co.
     315       12,644  
Pfizer, Inc.
     30,800       559,636  
Pharmaceutical Product Development, Inc.
     455       9,755  
Regeneron Pharmaceuticals, Inc. *
     315       5,780  
Salix Pharmaceuticals Ltd. *
     280       6,384  
Savient Pharmaceuticals, Inc. *
     455       6,111  
Seattle Genetics, Inc. *
     595       5,522  
Techne Corp.
     140       9,503  
Theravance, Inc. *
     385       5,067  
Thermo Fisher Scientific, Inc. *
     1,540       72,734  
United Therapeutics Corp. *
     175       7,978  
Valeant Pharmaceuticals International *
     245       8,009  
Varian, Inc. *
     105       5,375  
Vertex Pharmaceuticals, Inc. *
     665       25,815  
ViroPharma, Inc. *
     735       5,557  
VIVUS, Inc. *
     735       5,968  
Waters Corp. *
     350       20,573  
Watson Pharmaceuticals, Inc. *
     385       14,280  
 
             3,588,732  
 
                
Real Estate 2.2%
                
Alexander’s, Inc. *
     35       9,749  
Alexandria Real Estate Equities, Inc.
     175       9,865  
AMB Property Corp.
     595       14,012  
American Campus Communities, Inc.
     210       5,660  
Annaly Capital Management, Inc.
     2,065       38,017  
Anworth Mortgage Asset Corp.
     770       5,544  
Apartment Investment & Management Co., Class A
     490       6,620  
AvalonBay Communities, Inc.
     315       22,756  
BioMed Realty Trust, Inc.
     455       6,229  
Boston Properties, Inc.
     560       37,509  
Brandywine Realty Trust
     595       5,843  
BRE Properties, Inc.
     210       6,579  
Brookfield Properties Corp.
     1,015       11,429  
Camden Property Trust
     245       9,494  
Capstead Mortgage Corp.
     420       5,998  
CB Richard Ellis Group, Inc., Class A *
     910       10,401  
CBL & Associates Properties, Inc.
     665       6,158  
Chimera Investment Corp.
     2,485       10,015  
Colony Financial, Inc. *
     280       5,272  
Corporate Office Properties Trust
     210       7,180  
DCT Industrial Trust, Inc.
     1,190       5,653  
Developers Diversified Realty Corp.
     595       6,021  
DiamondRock Hospitality Co. *
     735       5,909  
Digital Realty Trust, Inc.
     280       13,625  
Douglas Emmett, Inc.
     490       6,723  
Duke Realty Corp.
     875       9,809  
EastGroup Properties, Inc.
     140       5,309  
Entertainment Properties Trust
     175       5,528  
Equity Lifestyle Properties, Inc.
     105       5,041  
Equity One, Inc.
     350       5,653  
Equity Residential
     1,050       33,820  
Essex Property Trust, Inc.
     105       8,374  
Extra Space Storage, Inc.
     595       6,539  
Federal Realty Investment Trust
     245       15,758  
Forest City Enterprises, Inc., Class A
     630       6,760  
Franklin Street Properties Corp.
     525       5,927  
Hatteras Financial Corp.
     210       6,426  
HCP, Inc.
     1,120       35,056  
Health Care REIT, Inc.
     455       20,270  
Healthcare Realty Trust, Inc.
     280       6,185  
Highwoods Properties, Inc.
     280       8,571  
Home Properties, Inc.
     140       6,290  
Hospitality Properties Trust
     490       9,511  
Host Hotels & Resorts, Inc.
     2,380       25,038  
HRPT Properties Trust
     875       5,373  
Jones Lang LaSalle, Inc.
     140       7,122  
Kilroy Realty Corp.
     210       6,327  
Kimco Realty Corp.
     1,470       18,110  
LaSalle Hotel Properties
     315       5,868  
Liberty Property Trust
     420       12,449  
Mack-Cali Realty Corp.
     280       8,593  
MFA Financial, Inc.
     1,050       7,948  
Mid-America Apartment Communities, Inc.
     140       6,511  
National Health Investors, Inc.
     175       5,773  
National Retail Properties, Inc.
     350       7,014  
Nationwide Health Properties, Inc.
     385       13,094  
OMEGA Healthcare Investors, Inc.
     350       6,332  
Plum Creek Timber Co., Inc.
     630       21,729  
Potlatch Corp.
     175       5,152  
ProLogis
     1,820       23,806  
PS Business Parks, Inc.
     105       4,992  
Public Storage
     525       41,779  
Rayonier, Inc.
     315       12,518  
Realty Income Corp.
     385       9,737  
Redwood Trust, Inc.
     385       5,532  
Regency Centers Corp.
     350       11,714  
Senior Housing Properties Trust
     490       10,177  
Simon Property Group, Inc.
     1,085       78,836  
SL Green Realty Corp.
     280       12,438  
Sovran Self Storage, Inc.
     175       5,656  
Starwood Property Trust, Inc.
     280       5,432  
Sunstone Hotel Investors, Inc. *
     700       5,670  
Tanger Factory Outlet Centers, Inc.
     140       5,495  
Taubman Centers, Inc.
     210       7,216  
The Macerich Co.
     350       10,416  
The St. Joe Co. *
     385       9,586  
UDR, Inc.
     560       8,383  
Ventas, Inc.
     595       25,543  
Vornado Realty Trust
     700       45,822  

9

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Washington Real Estate Investment Trust
     210       5,481  
Weingarten Realty Investors
     490       9,511  
 
             991,261  
 
                
Retailing 3.6%
                
99 Cents Only Stores *
     455       5,469  
Aaron’s, Inc.
     210       5,265  
Abercrombie & Fitch Co., Class A
     315       12,578  
Advance Auto Parts, Inc.
     350       13,755  
Aeropostale, Inc. *
     245       7,718  
Amazon.com, Inc. *
     1,190       161,733  
American Eagle Outfitters, Inc.
     700       10,766  
AnnTaylor Stores Corp. *
     420       5,872  
AutoNation, Inc. *
     280       4,942  
AutoZone, Inc. *
     105       15,526  
Barnes & Noble, Inc.
     315       7,352  
Bed Bath & Beyond, Inc. *
     1,015       37,920  
Best Buy Co., Inc.
     1,295       55,465  
Big Lots, Inc. *
     315       7,264  
Blue Nile, Inc. *
     105       5,868  
Cabela’s, Inc. *
     420       5,065  
CarMax, Inc. *
     770       15,308  
Chico’s FAS, Inc. *
     700       9,849  
Collective Brands, Inc. *
     315       6,092  
Dick’s Sporting Goods, Inc. *
     315       6,539  
Dillard’s, Inc., Class A
     385       6,541  
Dollar Tree, Inc. *
     350       17,139  
DSW, Inc., Class A *
     280       6,535  
Expedia, Inc. *
     805       20,511  
Family Dollar Stores, Inc.
     490       14,950  
Foot Locker, Inc.
     630       5,979  
GameStop Corp., Class A *
     595       14,524  
Genuine Parts Co.
     595       21,319  
Group 1 Automotive, Inc.
     175       4,417  
Guess?, Inc.
     210       7,781  
HSN, Inc. *
     385       6,899  
J. Crew Group, Inc. *
     210       8,986  
J.C. Penney Co., Inc.
     805       23,136  
Jo-Ann Stores, Inc. *
     210       7,006  
Jos. A. Bank Clothiers, Inc. *
     140       5,713  
Kohl’s Corp. *
     1,120       59,517  
Liberty Media Corp. — Interactive, Series A *
     2,345       24,951  
Limited Brands, Inc.
     1,050       17,419  
LKQ Corp. *
     560       9,761  
Lowe’s Cos., Inc.
     5,600       122,136  
Macy’s, Inc.
     1,645       26,830  
Netflix, Inc. *
     175       10,260  
Nordstrom, Inc.
     665       22,244  
O’Reilly Automotive, Inc. *
     525       20,359  
Office Depot, Inc. *
     1,085       6,662  
OfficeMax, Inc. *
     525       5,555  
Penske Automotive Group, Inc.
     350       5,173  
PetSmart, Inc.
     490       12,613  
Priceline.com, Inc. *
     175       37,471  
RadioShack Corp.
     490       9,241  
Rent-A-Center, Inc. *
     315       5,572  
Ross Stores, Inc.
     490       21,550  
Saks, Inc. *
     1,015       6,202  
Sally Beauty Holdings, Inc. *
     805       5,619  
Sears Holdings Corp. *
     210       14,899  
Signet Jewelers Ltd. *
     315       8,143  
Staples, Inc.
     2,765       64,480  
Target Corp.
     2,625       122,220  
The Buckle, Inc.
     175       4,785  
The Children’s Place Retail Stores, Inc. *
     175       5,586  
The Dress Barn, Inc. *
     280       6,012  
The Gap, Inc.
     1,960       41,983  
The Gymboree Corp. *
     105       4,192  
The Home Depot, Inc.
     6,580       180,029  
The Men’s Wearhouse, Inc.
     210       4,284  
The Sherwin-Williams Co.
     385       23,423  
The TJX Cos., Inc.
     1,575       60,448  
Tiffany & Co.
     490       20,913  
Tractor Supply Co. *
     140       6,537  
Ulta Salon, Cosmetics & Fragrance, Inc. *
     350       5,751  
Urban Outfitters, Inc. *
     525       16,611  
Williams-Sonoma, Inc.
     385       7,823  
 
             1,599,036  
 
                
Semiconductors & Semiconductor Equipment 2.6%
                
Advanced Micro Devices, Inc. *
     2,450       17,174  
Altera Corp.
     1,120       23,554  
Amkor Technology, Inc. *
     980       5,439  
Analog Devices, Inc.
     1,120       33,589  
Applied Materials, Inc.
     5,145       63,335  
Atheros Communications *
     245       6,975  
Atmel Corp. *
     1,575       6,253  
Broadcom Corp., Class A *
     1,470       42,924  
Cavium Networks, Inc. *
     280       5,648  
Cree, Inc. *
     350       16,740  
Cymer, Inc. *
     140       4,682  
Cypress Semiconductor Corp. *
     665       6,364  
Fairchild Semiconductor International, Inc. *
     735       5,953  
FEI Co. *
     210       5,128  
FormFactor, Inc. *
     315       5,339  
Hittite Microwave Corp. *
     140       5,281  
Integrated Device Technology, Inc. *
     945       5,349  
Intel Corp.
     21,630       415,296  
International Rectifier Corp. *
     280       5,242  
Intersil Corp., Class A
     455       5,879  
KLA-Tencor Corp.
     665       20,775  
Lam Research Corp. *
     490       16,655  
Linear Technology Corp.
     770       20,767  
LSI Corp. *
     2,485       13,146  
Marvell Technology Group Ltd. *
     1,925       29,683  
Maxim Integrated Products, Inc.
     1,190       20,944  
MEMC Electronic Materials, Inc. *
     840       10,114  
Microchip Technology, Inc.
     700       18,375  
Micron Technology, Inc. *
     3,290       24,741  
Microsemi Corp. *
     385       5,864  
MKS Instruments, Inc. *
     350       5,302  
National Semiconductor Corp.
     875       12,775  
Netlogic Microsystems, Inc. *
     140       5,712  
Novellus Systems, Inc. *
     350       7,241  
NVIDIA Corp. *
     2,135       27,883  
ON Semiconductor Corp. *
     1,680       13,037  
PMC-Sierra, Inc. *
     840       6,661  
Power Integrations, Inc.
     175       5,878  
Rambus, Inc. *
     420       7,484  
RF Micro Devices, Inc. *
     1,365       5,897  
Semtech Corp. *
     350       5,607  

10

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Silicon Laboratories, Inc. *
     175       7,390  
Skyworks Solutions, Inc. *
     630       7,755  
Teradyne, Inc. *
     700       6,202  
Tessera Technologies, Inc. *
     210       4,971  
Texas Instruments, Inc.
     4,865       123,036  
TriQuint Semiconductor, Inc. *
     1,050       5,712  
Varian Semiconductor Equipment Associates, Inc. *
     280       8,156  
Veeco Instruments, Inc. *
     245       6,691  
Xilinx, Inc.
     1,085       24,564  
 
             1,165,162  
 
                
Software & Services 7.5%
                
Activision Blizzard, Inc. *
     2,240       25,514  
Acxiom Corp. *
     560       6,462  
Adobe Systems, Inc. *
     2,030       71,212  
Advent Software, Inc. *
     140       5,309  
Affiliated Computer Services, Inc., Class A *
     350       19,320  
Akamai Technologies, Inc. *
     700       16,800  
Alliance Data Systems Corp. *
     210       12,808  
ANSYS, Inc. *
     315       12,266  
ArcSight, Inc. *
     210       4,778  
Ariba, Inc. *
     490       5,312  
Autodesk, Inc. *
     840       19,698  
Automatic Data Processing, Inc.
     1,890       82,120  
Blackbaud, Inc.
     245       5,454  
Blackboard, Inc. *
     140       5,842  
BMC Software, Inc. *
     700       27,111  
Broadridge Financial Solutions, Inc.
     525       11,539  
CA, Inc.
     1,610       35,581  
CACI International, Inc., Class A *
     105       4,874  
Cadence Design Systems, Inc. *
     1,015       6,090  
Citrix Systems, Inc. *
     665       25,390  
Cognizant Technology Solutions Corp., Class A *
     1,085       47,664  
CommVault Systems, Inc. *
     280       5,824  
Computer Sciences Corp. *
     560       30,974  
Compuware Corp. *
     910       6,315  
Concur Technologies, Inc. *
     175       6,485  
Convergys Corp. *
     490       5,478  
CyberSource Corp. *
     350       6,010  
Digital River, Inc. *
     245       6,181  
DST Systems, Inc. *
     140       5,947  
Earthlink, Inc.
     665       5,473  
eBay, Inc. *
     4,200       102,774  
Electronic Arts, Inc. *
     1,260       21,281  
Equinix, Inc. *
     140       13,467  
Euronet Worldwide, Inc. *
     210       4,460  
FactSet Research Systems, Inc.
     175       12,661  
Fair Isaac Corp.
     245       4,471  
Fidelity National Information Services, Inc.
     1,190       26,894  
Fiserv, Inc. *
     630       29,131  
Gartner, Inc. *
     280       5,298  
Genpact Ltd. *
     455       5,906  
Global Payments, Inc.
     315       16,147  
Google, Inc., Class A *
     875       510,125  
GSI Commerce, Inc. *
     280       6,255  
Hewitt Associates, Inc., Class A *
     315       12,657  
IAC/InterActiveCorp *
     420       8,169  
Informatica Corp. *
     315       7,072  
Intuit, Inc. *
     1,155       33,738  
j2 Global Communications, Inc. *
     280       5,566  
Jack Henry & Associates, Inc.
     315       7,198  
JDA Software Group, Inc. *
     210       4,931  
Lawson Software, Inc. *
     840       5,502  
Lender Processing Services, Inc.
     350       14,623  
ManTech International Corp., Class A *
     105       4,544  
MasterCard, Inc., Class A
     385       92,731  
MAXIMUS, Inc.
     105       4,881  
McAfee, Inc. *
     595       22,699  
MICROS Systems, Inc. *
     315       8,839  
Microsoft Corp.
     30,310       891,417  
MicroStrategy, Inc., Class A *
     70       6,130  
NetSuite, Inc. *
     385       5,375  
NeuStar, Inc., Class A *
     280       6,552  
Novell, Inc. *
     1,365       5,337  
Nuance Communications, Inc. *
     840       12,760  
Oracle Corp.
     14,735       325,349  
Parametric Technology Corp. *
     420       6,325  
Paychex, Inc.
     1,225       38,404  
Pegasystems, Inc.
     175       5,028  
Progress Software Corp. *
     245       5,902  
Quest Software, Inc. *
     315       5,301  
Rackspace Hosting, Inc. *
     315       5,831  
Red Hat, Inc. *
     735       19,624  
Rovi Corp. *
     315       9,390  
SAIC, Inc. *
     770       13,721  
Salesforce.com, Inc. *
     385       24,132  
Sapient Corp. *
     700       5,152  
SAVVIS, Inc. *
     350       4,382  
Solarwinds, Inc. *
     315       5,843  
Solera Holdings, Inc.
     245       8,565  
SRA International, Inc., Class A *
     280       5,054  
SuccessFactors, Inc. *
     385       5,798  
Sybase, Inc. *
     315       12,676  
Symantec Corp. *
     3,150       55,912  
Synopsys, Inc. *
     525       11,797  
Syntel, Inc.
     140       5,296  
Take-Two Interactive Software, Inc. *
     490       5,513  
TeleTech Holdings, Inc. *
     315       6,076  
TIBCO Software, Inc. *
     700       6,020  
TiVo, Inc. *
     525       5,198  
Total System Services, Inc.
     770       13,306  
Unisys Corp. *
     210       6,739  
ValueClick, Inc. *
     560       5,281  
VeriFone Holdings, Inc. *
     420       5,569  
VeriSign, Inc. *
     770       17,279  
Visa, Inc., Class A
     1,645       133,245  
VMware, Inc., Class A *
     140       5,877  
WebMD Health Corp. *
     175       6,352  
Websense, Inc. *
     315       4,955  
Western Union Co.
     2,695       49,723  
Wright Express Corp. *
     175       5,105  
Yahoo!, Inc. *
     5,110       76,497  
 
             3,381,639  
 
                
Technology Hardware & Equipment 8.2%
                
3Com Corp. *
     1,435       10,576  
3PAR, Inc. *
     525       5,381  
ADC Telecommunications, Inc. *
     840       5,149  
ADTRAN, Inc.
     245       5,177  
Agilent Technologies, Inc. *
     1,330       38,464  
Amphenol Corp., Class A
     665       27,398  
Anixter International, Inc. *
     140       6,051  

11

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Apple, Inc. *
     3,395       678,694  
Arris Group, Inc. *
     525       5,245  
Arrow Electronics, Inc. *
     490       12,877  
Aruba Networks, Inc. *
     700       5,600  
Avnet, Inc. *
     595       16,214  
Avocent Corp. *
     210       5,246  
AVX Corp.
     490       5,909  
Benchmark Electronics, Inc. *
     350       6,311  
Blue Coat Systems, Inc. *
     210       5,550  
Brightpoint, Inc. *
     735       5,277  
Brocade Communications Systems, Inc. *
     1,575       11,167  
Ciena Corp. *
     455       5,528  
Cisco Systems, Inc. *
     22,120       517,608  
Cogent, Inc. *
     595       5,075  
Cognex Corp.
     315       5,185  
CommScope, Inc. *
     350       8,796  
Comtech Telecommunications Corp. *
     175       5,030  
Corning, Inc.
     6,020       100,414  
Dell, Inc. *
     6,790       95,875  
Diebold, Inc.
     245       6,159  
Dolby Laboratories, Inc., Class A *
     210       9,391  
EchoStar Corp., Class A *
     315       6,120  
EMC Corp. *
     7,735       130,180  
Emulex Corp. *
     525       5,114  
F5 Networks, Inc. *
     280       13,168  
FLIR Systems, Inc. *
     595       17,076  
Harris Corp.
     455       19,974  
Hewlett-Packard Co.
     9,100       446,446  
Infinera Corp. *
     700       5,761  
Ingram Micro, Inc., Class A *
     595       10,109  
InterDigital, Inc. *
     280       6,661  
Intermec, Inc. *
     420       5,162  
International Business Machines Corp.
     5,075       641,226  
Itron, Inc. *
     140       8,511  
Jabil Circuit, Inc.
     770       10,249  
JDS Uniphase Corp. *
     945       6,984  
Juniper Networks, Inc. *
     2,065       53,958  
Lexmark International, Inc., Class A *
     280       7,048  
Molex, Inc.
     560       10,410  
Motorola, Inc.
     7,980       63,920  
Multi-Fineline Electronix, Inc. *
     210       5,235  
National Instruments Corp.
     245       6,990  
NCR Corp. *
     595       5,599  
NetApp, Inc. *
     1,295       39,912  
Palm, Inc. *
     595       6,491  
Plantronics, Inc.
     210       4,862  
Plexus Corp. *
     210       5,704  
Polycom, Inc. *
     315       6,791  
QLogic Corp. *
     490       8,791  
QUALCOMM, Inc.
     6,265       281,925  
Riverbed Technology, Inc. *
     245       4,988  
Rofin-Sinar Technologies, Inc. *
     245       5,581  
SanDisk Corp. *
     875       17,255  
ScanSource, Inc. *
     210       4,887  
Seagate Technology
     1,925       29,125  
Starent Networks Corp. *
     175       6,036  
STEC, Inc. *
     245       3,036  
Sun Microsystems, Inc. *
     2,800       23,828  
Sycamore Networks, Inc. *
     1,960       5,547  
Synaptics, Inc. *
     245       6,600  
SYNNEX Corp. *
     210       5,945  
Tech Data Corp. *
     175       7,369  
Tekelec *
     350       4,977  
Tellabs, Inc. *
     1,365       7,658  
Teradata Corp. *
     630       18,459  
Trimble Navigation Ltd. *
     455       10,160  
ViaSat, Inc. *
     175       5,364  
Vishay Intertechnology, Inc. *
     840       6,090  
Western Digital Corp. *
     875       32,235  
Xerox Corp.
     3,395       26,141  
Zebra Technologies Corp., Class A *
     210       5,588  
 
             3,692,593  
 
                
Telecommunication Services 2.9%
                
AboveNet, Inc. *
     105       5,387  
American Tower Corp., Class A *
     1,505       61,585  
AT&T, Inc.
     22,785       613,828  
Atlantic Tele-Network, Inc.
     105       4,921  
CenturyTel, Inc.
     1,120       39,861  
Clearwire Corp., Class A *
     910       5,151  
Crown Castle International Corp. *
     945       34,672  
Frontier Communications Corp.
     1,155       9,124  
Global Crossing Ltd. *
     455       5,142  
Leap Wireless International, Inc. *
     420       6,061  
Level 3 Communications, Inc. *
     6,930       8,662  
MetroPCS Communications, Inc. *
     945       5,954  
Neutral Tandem, Inc. *
     245       5,652  
NII Holdings, Inc. *
     665       19,817  
Qwest Communications International, Inc.
     5,075       18,524  
SBA Communications Corp., Class A *
     455       14,578  
Sprint Nextel Corp. *
     10,430       38,695  
Syniverse Holdings, Inc. *
     315       4,996  
Telephone & Data Systems, Inc.
     350       10,671  
tw telecom, Inc.*
     595       8,657  
United States Cellular Corp. *
     140       5,216  
Verizon Communications, Inc.
     10,955       344,644  
Windstream Corp.
     1,680       16,666  
 
             1,288,464  
 
                
Transportation 2.0%
                
Alaska Air Group, Inc. *
     210       6,279  
Alexander & Baldwin, Inc.
     175       5,346  
AMERCO *
     140       7,176  
AMR Corp. *
     1,330       8,033  
Avis Budget Group, Inc. *
     665       6,484  
Burlington Northern Santa Fe Corp.
     1,050       103,215  
C.H. Robinson Worldwide, Inc.
     630       35,116  
Con-way, Inc.
     175       5,303  
Continental Airlines, Inc., Class B *
     560       7,986  
CSX Corp.
     1,505       71,457  
Delta Air Lines, Inc. *
     3,080       25,225  
Expeditors International of Washington, Inc.
     805       25,704  
FedEx Corp.
     1,120       94,584  
Genesee & Wyoming, Inc., Class A *
     175       5,446  
Heartland Express, Inc.
     385       5,679  
Hertz Global Holdings, Inc. *
     770       7,546  
Hub Group, Inc., Class A *
     210       5,555  
J.B. Hunt Transport Services, Inc.
     350       11,151  
JetBlue Airways Corp. *
     1,085       5,978  
Kansas City Southern *
     350       10,020  
Kirby Corp. *
     210       7,004  
Knight Transportation, Inc.
     350       5,954  
Landstar System, Inc.
     210       7,837  

12

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Norfolk Southern Corp.
     1,365       70,161  
Old Dominion Freight Line, Inc. *
     210       5,561  
Ryder System, Inc.
     210       8,513  
SkyWest, Inc.
     385       5,663  
Southwest Airlines Co.
     2,870       26,404  
UAL Corp. *
     875       6,790  
Union Pacific Corp.
     1,890       119,561  
United Parcel Service, Inc., Class B
     2,695       154,882  
UTI Worldwide, Inc.
     420       5,489  
Werner Enterprises, Inc.
     280       5,225  
 
             882,327  
 
                
Utilities 3.8%
                
AGL Resources, Inc.
     280       9,674  
Allegheny Energy, Inc.
     630       13,847  
ALLETE, Inc.
     175       5,852  
Alliant Energy Corp.
     420       11,542  
Ameren Corp.
     805       20,922  
American Electric Power Co., Inc.
     1,820       58,586  
American States Water Co.
     175       5,789  
American Water Works Co., Inc.
     350       7,784  
Aqua America, Inc.
     525       8,568  
Atmos Energy Corp.
     350       9,587  
Avista Corp.
     280       5,827  
Black Hills Corp.
     210       4,950  
California Water Service Group
     140       5,121  
Calpine Corp. *
     1,435       15,957  
CenterPoint Energy, Inc.
     1,225       16,256  
CH Energy Group, Inc.
     140       5,653  
Cleco Corp.
     210       5,359  
CMS Energy Corp.
     840       11,962  
Consolidated Edison, Inc.
     1,015       43,554  
Constellation Energy Group, Inc.
     700       22,274  
Dominion Resources, Inc.
     2,205       80,218  
DPL, Inc.
     420       11,281  
DTE Energy Co.
     630       25,269  
Duke Energy Corp.
     4,865       81,148  
Dynegy, Inc., Class A *
     2,625       4,751  
Edison International
     1,120       38,136  
El Paso Electric Co. *
     280       5,544  
Energen Corp.
     280       12,180  
Entergy Corp.
     735       57,808  
EQT Corp.
     455       18,723  
Exelon Corp.
     2,520       121,414  
FirstEnergy Corp.
     1,155       49,757  
FPL Group, Inc.
     1,435       74,577  
Great Plains Energy, Inc.
     490       8,722  
Hawaiian Electric Industries, Inc.
     350       6,951  
IDACORP, Inc.
     210       6,210  
Integrys Energy Group, Inc.
     280       10,791  
ITC Holdings Corp.
     175       7,782  
MDU Resources Group, Inc.
     630       14,238  
MGE Energy, Inc.
     140       4,808  
Mirant Corp. *
     560       7,974  
NV Energy, Inc.
     875       10,185  
National Fuel Gas Co.
     245       11,473  
New Jersey Resources Corp.
     175       6,165  
Nicor, Inc.
     175       6,853  
NiSource, Inc.
     1,050       14,962  
Northeast Utilities
     665       16,033  
Northwest Natural Gas Co.
     140       6,003  
NorthWestern Corp.
     245       6,319  
NRG Energy, Inc. *
     1,015       24,299  
NSTAR
     385       12,755  
OGE Energy Corp.
     350       12,110  
ONEOK, Inc.
     385       15,408  
Ormat Technologies, Inc.
     140       5,764  
Pepco Holdings, Inc.
     840       13,692  
PG&E Corp.
     1,400       59,276  
Piedmont Natural Gas Co., Inc.
     245       5,807  
Pinnacle West Capital Corp.
     385       13,510  
PNM Resources, Inc.
     455       5,069  
Portland General Electric Co.
     280       5,491  
PPL Corp.
     1,400       42,728  
Progress Energy, Inc.
     1,050       41,044  
Public Service Enterprise Group, Inc.
     1,960       61,466  
Questar Corp.
     630       24,992  
RRI Energy, Inc. *
     1,400       6,888  
SCANA Corp.
     420       14,784  
Sempra Energy
     840       44,638  
South Jersey Industries, Inc.
     140       5,048  
Southern Co.
     2,975       95,468  
Southwest Gas Corp.
     210       5,504  
TECO Energy, Inc.
     735       10,841  
The AES Corp. *
     2,695       34,334  
The Empire District Electric Co.
     280       5,079  
The Laclede Group, Inc.
     175       5,479  
UGI Corp.
     420       9,862  
UIL Holdings Corp.
     245       6,605  
Unisource Energy Corp.
     210       6,262  
Vectren Corp.
     315       7,399  
Westar Energy, Inc.
     420       8,648  
WGL Holdings, Inc.
     175       5,509  
Wisconsin Energy Corp.
     455       20,520  
Xcel Energy, Inc.
     1,715       34,849  
 
             1,686,467  
Total Common Stock
(Cost $44,684,264)
             44,832,227  
 
                
 
                
Other Investment Company 0.0% of net assets
                
State Street Institutional Liquid Reserves Fund
     21,143       21,143  
Total Other Investment Company
(Cost $21,143)
             21,143  
 
                
End of Investments.
At 11/30/09, the tax basis cost of the fund’s investments was $44,705,417 and the unrealized appreciation and depreciation were $610,722 and ($462,769), respectively, with a net unrealized appreciation of $147,953.
 
*   Non-income producing security.
 
(a)   Issuer is affiliated with the fund’s adviser.
         
Security name   The Charles Schwab Corp.
Shares held at beginning of period
     —  
Gross additions
     3,570  
Gross sales
     —  
Shares held at 11/30/2009
     3,570  
Market value at 11/30/2009
   $ 65,438  
Realized gain (loss) during the period
   $ —  
Dividends received during the period
   $ 43  

13

 

Schwab U.S. Broad Market ETF
Portfolio Holdings (Unaudited) continued
Various inputs are used on determining the value of the fund’s investments. The fair value measurements and disclosures establish a three-tier hierarchy of inputs to establish a classification of fair value measurements for disclosure purposes. These inputs are summarized in the three broad levels listed below:
  •   Level 1—quoted prices in active markets for identical securities. — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. The fund does not adjust the quoted price for such investments, even in situations where the fund holds a large position and a sale could reasonably impact the quoted price.
 
  •   Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •   Level 3—significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments). — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
                                 
    Quoted Prices            
    in Active   Significant        
    Markets for   Other   Significant    
    Identical   Observable   Unobservable    
    Assets   Inputs   Inputs    
Description   (Level 1)   (Level 2)   (Level 3)   Total*
 
Common Stock – (a)
   $ 44,832,227     $ —     $ —     $ 44,832,227  
 
Other Investment Company
     21,143       —       —       21,143  
 
Total
   $ 44,853,370     $ —     $ —     $ 44,853,370  
 
 
*   The fund had no Other Financial Instruments.
 
(a)   as categorized in Portfolio Holdings

14

 

Schwab Strategic Trust
Schwab U.S. Large-Cap ETFTM
Portfolio Holdings as of November 30, 2009, (Unaudited)
The following are the portfolio holdings as of the report date.
                         
            Cost   Value
Holdings by Category       ($)   ($)
  99.8 %  
Common Stock
     30,805,097       30,833,975  
  0.1 %  
Other Investment Company
     16,431       16,431  
  99.9 %  
Total Investments
     30,821,528       30,850,406  
  0.1 %  
Other Assets and Liabilities, Net
             39,354  
  100.0 %  
Net Assets
             30,889,760  
                 
    Number   Value
Security   of Shares   ($)
Common Stock 99.8% of net assets
                
Automobiles & Components 0.6%
                
BorgWarner, Inc.
     360       10,876  
Ford Motor Co. *
     9,672       85,984  
Harley-Davidson, Inc.
     696       20,282  
Johnson Controls, Inc.
     1,728       46,742  
The Goodyear Tire & Rubber Co. *
     840       11,516  
 
             175,400  
 
                
Banks 2.7%
                
BB&T Corp.
     1,992       49,601  
BOK Financial Corp.
     72       3,347  
Capitol Federal Financial
     72       2,101  
City National Corp.
     120       4,735  
Comerica, Inc.
     456       12,982  
Commerce Bancshares, Inc.
     201       8,088  
Cullen/Frost Bankers, Inc.
     168       8,067  
Fifth Third Bancorp
     2,352       23,708  
First Horizon National Corp. *
     648       8,780  
Hudson City Bancorp, Inc.
     1,392       18,500  
KeyCorp
     2,640       15,471  
M&T Bank Corp.
     216       14,165  
New York Community Bancorp, Inc.
     984       11,503  
People’s United Financial, Inc.
     480       7,819  
PNC Financial Services Group, Inc.
     1,368       77,990  
Regions Financial Corp.
     3,552       20,815  
SunTrust Banks, Inc.
     1,440       34,027  
TFS Financial Corp.
     264       2,952  
U.S. Bancorp
     5,640       136,093  
Wells Fargo & Co.
     13,128       368,109  
 
             828,853  
 
                
Capital Goods 7.4%
                
3M Co.
     1,896       146,826  
Aecom Technology Corp. *
     264       6,706  
AGCO Corp. *
     264       8,002  
Alliant Techsystems, Inc. *
     96       8,229  
AMETEK, Inc.
     312       11,407  
Caterpillar, Inc.
     1,848       107,905  
Cummins, Inc.
     552       24,785  
Danaher Corp.
     720       51,062  
Deere & Co.
     1,248       66,780  
Donaldson Co., Inc.
     192       8,160  
Dover Corp.
     552       22,566  
Eaton Corp.
     480       30,672  
Emerson Electric Co.
     2,208       91,433  
Fastenal Co.
     408       15,129  
First Solar, Inc. *
     144       17,152  
Flowserve Corp.
     168       16,709  
Fluor Corp.
     552       23,449  
General Dynamics Corp.
     960       63,264  
General Electric Co.
     31,296       501,362  
Goodrich Corp.
     384       22,787  
Harsco Corp.
     240       7,447  
Honeywell International, Inc.
     2,016       77,555  
Hubbell, Inc., Class B
     168       7,629  
Illinois Tool Works, Inc.
     1,272       61,870  
ITT Corp.
     552       28,549  
Jacobs Engineering Group, Inc. *
     384       13,436  
Joy Global, Inc.
     312       16,704  
KBR, Inc.
     480       8,942  
L-3 Communications Holdings, Inc.
     336       26,332  
Lincoln Electric Holdings, Inc.
     120       6,166  
Lockheed Martin Corp.
     912       70,434  
Masco Corp.
     1,104       14,992  
McDermott International, Inc. *
     696       14,574  
MSC Industrial Direct Co., Class A
     120       5,508  
Navistar International Corp. *
     144       4,753  
Northrop Grumman Corp.
     864       47,347  
Owens Corning, Inc. *
     240       5,671  
PACCAR, Inc.
     1,008       37,377  
Pall Corp.
     336       10,695  
Parker Hannifin Corp.
     480       25,901  
Pentair, Inc.
     288       8,669  
Precision Castparts Corp.
     432       44,790  
Quanta Services, Inc. *
     576       10,800  
Raytheon Co.
     1,152       59,363  
Rockwell Automation, Inc.
     384       16,700  
Rockwell Collins, Inc.
     456       24,378  
Roper Industries, Inc.
     264       13,739  
Spirit AeroSystems Holdings, Inc., Class A *
     288       5,250  
SPX Corp.
     168       8,953  
SunPower Corp., Class A *
     288       5,953  
Textron, Inc.
     816       16,361  
The Boeing Co.
     1,944       101,885  
The Shaw Group, Inc. *
     264       7,532  
The Stanley Works
     240       11,657  
United Technologies Corp.
     2,592       174,286  
URS Corp. *
     240       9,972  
W.W. Grainger, Inc.
     192       18,758  
 
             2,275,313  
 
                
Commercial & Professional Services 0.8%
                
Avery Dennison Corp.
     336       12,620  
Cintas Corp.
     384       10,787  
Copart, Inc. *
     192       6,225  
Corrections Corp. of America *
     336       8,397  
Covanta Holding Corp. *
     384       6,555  
Equifax, Inc.
     360       10,314  
FTI Consulting, Inc. *
     144       6,661  
IHS, Inc., Class A *
     144       7,240  
Iron Mountain, Inc. *
     528       12,672  
Manpower, Inc.
     264       13,005  

1

 

Schwab U.S. Large-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Pitney Bowes, Inc.
     624       14,377  
R.R. Donnelley & Sons Co.
     600       12,348  
Republic Services, Inc.
     912       25,718  
Robert Half International, Inc.
     456       10,182  
Stericycle, Inc. *
     240       13,135  
The Dun & Bradstreet Corp.
     168       13,203  
Verisk Analytics, Inc., Class A *
     240       6,458  
Waste Connections, Inc. *
     240       7,788  
Waste Management, Inc.
     1,440       47,290  
Watson Wyatt Worldwide, Inc., Class A
     120       4,961  
 
             249,936  
 
                
Consumer Durables & Apparel 0.9%
                
Coach, Inc.
     960       33,360  
D.R. Horton, Inc.
     840       8,635  
Fortune Brands, Inc.
     456       17,515  
Garmin Ltd.
     408       12,191  
Hasbro, Inc.
     360       10,674  
Leggett & Platt, Inc.
     480       9,341  
Mattel, Inc.
     1,080       21,017  
Mohawk Industries, Inc. *
     168       6,901  
Newell Rubbermaid, Inc.
     840       12,188  
NIKE, Inc., Class B
     792       51,393  
NVR, Inc. *
     24       16,156  
Polo Ralph Lauren Corp.
     168       12,911  
Pulte Homes, Inc.
     984       8,994  
The Black & Decker Corp.
     168       10,196  
Toll Brothers, Inc. *
     408       7,952  
VF Corp.
     264       19,198  
Whirlpool Corp.
     216       16,018  
 
             274,640  
 
                
Consumer Services 1.9%
                
Apollo Group, Inc., Class A *
     432       24,654  
Burger King Holdings, Inc.
     264       4,488  
Career Education Corp. *
     168       4,373  
Carnival Corp. *
     1,248       39,974  
Chipotle Mexican Grill, Inc., Class A *
     96       8,011  
Darden Restaurants, Inc.
     408       12,823  
DeVry, Inc.
     192       10,429  
Education Management Corp. *
     48       1,017  
H&R Block, Inc.
     1,008       20,462  
Hyatt Hotels Corp., Class A *
     120       3,450  
International Game Technology
     888       16,774  
ITT Educational Services, Inc. *
     120       10,918  
Las Vegas Sands Corp. *
     1,320       20,222  
Marriott International, Inc., Class A
     939       24,136  
McDonald’s Corp.
     3,216       203,412  
MGM MIRAGE *
     744       7,864  
Penn National Gaming, Inc. *
     192       5,144  
Royal Caribbean Cruises Ltd. *
     408       10,025  
Starbucks Corp. *
     2,136       46,778  
Starwood Hotels & Resorts Worldwide, Inc.
     528       16,907  
Strayer Education, Inc.
     48       9,480  
Weight Watchers International, Inc.
     96       2,657  
Wendy’s/Arby’s Group, Inc., Class A
     1,080       4,428  
Wyndham Worldwide Corp.
     504       9,359  
Wynn Resorts Ltd.
     216       13,941  
Yum! Brands, Inc.
     1,344       47,403  
 
             579,129  
 
                
Diversified Financials 7.4%
                
Affiliated Managers Group, Inc. *
     120       7,825  
American Express Co.
     3,144       131,513  
Ameriprise Financial, Inc.
     768       29,276  
Bank of America Corp.
     25,464       403,604  
Bank of New York Mellon Corp.
     3,504       93,347  
BlackRock, Inc.
     72       16,350  
Capital One Financial Corp.
     1,368       52,476  
Citigroup, Inc.
     45,480       186,923  
CME Group, Inc.
     216       70,898  
Discover Financial Services
     1,632       25,231  
Eaton Vance Corp.
     336       10,127  
Federated Investors, Inc., Class B
     288       7,425  
Franklin Resources, Inc.
     480       51,854  
IntercontinentalExchange, Inc. *
     216       23,067  
Invesco Ltd.
     1,248       27,768  
Jefferies Group, Inc. *
     312       7,316  
JPMorgan Chase & Co.
     11,568       491,524  
Legg Mason, Inc.
     480       13,579  
Leucadia National Corp. *
     576       12,396  
Moody’s Corp.
     552       12,823  
Morgan Stanley
     3,744       118,236  
MSCI, Inc., Class A *
     288       8,775  
Northern Trust Corp.
     720       35,640  
NYSE Euronext
     768       19,415  
Raymond James Financial, Inc.
     288       6,996  
SEI Investments Co.
     456       7,985  
SLM Corp. *
     1,368       15,007  
State Street Corp.
     1,440       59,472  
T. Rowe Price Group, Inc.
     768       37,578  
TD Ameritrade Holding Corp. *
     696       13,669  
The Charles Schwab Corp.(a)
     2,784       51,031  
The Goldman Sachs Group, Inc.
     1,296       219,879  
The NASDAQ OMX Group, Inc. *
     456       8,518  
 
             2,277,523  
 
                
Energy 11.6%
                
Alpha Natural Resources, Inc. *
     480       17,760  
Anadarko Petroleum Corp.
     1,488       88,581  
Apache Corp.
     1,008       96,042  
Arch Coal, Inc.
     480       10,013  
Baker Hughes, Inc.
     936       38,133  
BJ Services Co.
     888       16,677  
Cabot Oil & Gas Corp.
     336       12,869  
Cameron International Corp. *
     758       28,652  
Chesapeake Energy Corp.
     1,920       45,926  
Chevron Corp.
     5,904       460,748  
Cimarex Energy Co.
     264       12,366  
CNX Gas Corp. *
     72       1,964  
Concho Resources, Inc. *
     240       9,811  
ConocoPhillips
     3,864       200,039  
CONSOL Energy, Inc.
     552       25,348  
Continental Resources, Inc. *
     96       3,614  
Denbury Resources, Inc. *
     744       9,873  
Devon Energy Corp.
     1,248       84,053  
Diamond Offshore Drilling, Inc.
     192       19,112  
El Paso Corp.
     2,088       19,961  
ENSCO International, Inc.
     432       19,008  
EOG Resources, Inc.
     744       64,349  
EXCO Resources, Inc.
     528       8,934  
Exxon Mobil Corp.
     14,136       1,061,189  
FMC Technologies, Inc. *
     384       20,916  

2

 

Schwab U.S. Large-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Forest Oil Corp. *
     312       5,716  
Halliburton Co.
     2,664       78,215  
Helmerich & Payne, Inc.
     312       11,716  
Hess Corp.
     888       51,468  
Marathon Oil Corp.
     2,112       68,893  
Murphy Oil Corp.
     576       32,481  
Nabors Industries Ltd. *
     864       17,842  
National-Oilwell Varco, Inc.
     1,248       53,689  
Newfield Exploration Co. *
     408       17,250  
Noble Energy, Inc.
     528       34,452  
Occidental Petroleum Corp.
     2,400       193,896  
Oceaneering International, Inc. *
     144       7,867  
Patterson-UTI Energy, Inc.
     456       7,018  
Peabody Energy Corp.
     816       36,279  
Petrohawk Energy Corp. *
     936       20,910  
Pioneer Natural Resources Co.
     360       14,886  
Plains Exploration & Production Co. *
     408       11,102  
Pride International, Inc. *
     480       15,182  
Quicksilver Resources, Inc. *
     360       4,792  
Range Resources Corp.
     480       22,622  
Rowan Cos., Inc. *
     312       7,703  
Schlumberger Ltd.
     3,552       226,937  
Smith International, Inc.
     648       17,613  
Southwestern Energy Co. *
     1,056       46,422  
Spectra Energy Corp.
     1,872       36,336  
Sunoco, Inc.
     336       8,467  
Tesoro Corp.
     408       5,214  
The Williams Cos., Inc.
     1,728       34,370  
Tidewater, Inc.
     144       6,473  
Ultra Petroleum Corp. *
     456       21,427  
Valero Energy Corp.
     1,656       26,314  
Whiting Petroleum Corp. *
     144       8,964  
XTO Energy, Inc.
     1,704       72,318  
 
             3,600,772  
 
                
Food & Staples Retailing 2.6%
                
Costco Wholesale Corp.
     1,272       76,205  
CVS Caremark Corp.
     4,224       130,986  
Safeway, Inc.
     1,200       27,000  
SUPERVALU, Inc.
     600       8,298  
Sysco Corp.
     1,728       46,725  
The Kroger Co.
     1,800       40,932  
Wal-Mart Stores, Inc.
     6,432       350,866  
Walgreen Co.
     2,928       113,870  
Whole Foods Market, Inc. *
     432       11,081  
 
             805,963  
 
                
Food, Beverage & Tobacco 5.5%
                
Altria Group, Inc.
     6,072       114,214  
Archer-Daniels-Midland Co.
     1,728       53,240  
Brown-Forman Corp., Class B
     336       17,193  
Bunge Ltd.
     408       25,255  
Campbell Soup Co.
     648       22,660  
Coca-Cola Enterprises, Inc.
     960       18,864  
ConAgra Foods, Inc.
     1,296       28,758  
Constellation Brands, Inc., Class A *
     576       9,855  
Dean Foods Co. *
     504       8,014  
Dr. Pepper Snapple Group, Inc. *
     672       17,600  
Flowers Foods, Inc.
     240       5,494  
General Mills, Inc.
     912       62,016  
Hansen Natural Corp. *
     216       7,553  
H.J. Heinz Co.
     912       38,714  
Hormel Foods Corp.
     216       8,104  
Kellogg Co.
     696       36,596  
Kraft Foods, Inc., Class A
     3,960       105,257  
Lorillard, Inc.
     480       37,397  
McCormick & Co., Inc.
     336       11,988  
Molson Coors Brewing Co., Class B
     456       20,616  
PepsiAmericas, Inc.
     168       4,973  
PepsiCo, Inc.
     4,608       286,710  
Philip Morris International, Inc.
     5,688       273,536  
Ralcorp Holdings, Inc. *
     168       9,730  
Reynolds American, Inc.
     504       25,180  
Sara Lee Corp.
     1,920       23,309  
Smithfield Foods, Inc. *
     432       6,687  
The Coca-Cola Co.
     6,264       358,301  
The Hershey Co.
     456       16,129  
The J.M. Smucker Co.
     384       22,687  
The Pepsi Bottling Group, Inc.
     408       15,484  
Tyson Foods, Inc., Class A
     888       10,674  
 
             1,702,788  
 
                
Health Care Equipment & Services 4.3%
                
Aetna, Inc.
     1,296       37,727  
AmerisourceBergen Corp.
     864       21,332  
Baxter International, Inc.
     1,800       98,190  
Beckman Coulter, Inc.
     192       12,472  
Becton, Dickinson & Co.
     672       50,266  
Boston Scientific Corp. *
     4,440       37,163  
C.R. Bard, Inc.
     288       23,677  
Cardinal Health, Inc.
     1,056       34,035  
CareFusion Corp. *
     504       13,018  
Cerner Corp. *
     192       14,456  
CIGNA Corp.
     792       25,407  
Community Health Systems, Inc. *
     288       8,787  
Coventry Health Care, Inc. *
     456       10,283  
DaVita, Inc. *
     312       18,483  
DENTSPLY International, Inc.
     432       14,394  
Edwards Lifesciences Corp. *
     168       13,823  
Express Scripts, Inc. *
     768       65,894  
Gen-Probe, Inc. *
     144       6,003  
Henry Schein, Inc. *
     264       13,110  
Hologic, Inc. *
     744       10,766  
Hospira, Inc. *
     480       22,536  
Humana, Inc. *
     504       20,921  
IDEXX Laboratories, Inc. *
     168       8,408  
IMS Health, Inc.
     528       11,278  
Intuitive Surgical, Inc. *
     120       33,665  
Inverness Medical Innovations, Inc. *
     216       9,083  
Kinetic Concepts, Inc. *
     168       5,663  
Laboratory Corp. of America Holdings *
     312       22,764  
Lincare Holdings, Inc. *
     192       6,820  
McKesson Corp.
     792       49,120  
Medco Health Solutions, Inc. *
     1,392       87,919  
Medtronic, Inc.
     3,264       138,524  
Omnicare, Inc.
     336       7,789  
Patterson Cos., Inc. *
     288       7,404  
Quest Diagnostics, Inc.
     456       26,421  
ResMed, Inc. *
     216       10,858  
St. Jude Medical, Inc. *
     1,008       37,004  
Stryker Corp.
     936       47,174  
Teleflex, Inc.
     120       6,251  
UnitedHealth Group, Inc.
     3,408       97,707  
Universal Health Services, Inc., Class B
     144       8,048  
Varian Medical Systems, Inc. *
     360       16,826  

3

 

Schwab U.S. Large-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
WellPoint, Inc. *
     1,392       75,210  
Zimmer Holdings, Inc. *
     648       38,342  
 
             1,325,021  
 
                
Household & Personal Products 2.8%
                
Alberto-Culver Co.
     240       6,756  
Avon Products, Inc.
     1,272       43,566  
Church & Dwight Co., Inc.
     216       12,753  
Colgate-Palmolive Co.
     1,488       125,275  
Energizer Holdings, Inc. *
     216       12,169  
Kimberly-Clark Corp.
     1,224       80,747  
Mead Johnson Nutrition Co., Class A
     96       4,211  
The Clorox Co.
     408       24,590  
The Estee Lauder Cos., Inc., Class A
     312       14,611  
The Procter & Gamble Co.
     8,616       537,208  
 
             861,886  
 
                
Insurance 3.8%
                
Aflac, Inc.
     1,392       64,074  
Alleghany Corp. *
     24       6,407  
Allied World Assurance Co. Holdings Ltd.
     96       4,588  
American Financial Group, Inc.
     216       5,240  
American International Group, Inc. *
     360       10,224  
Aon Corp.
     720       27,886  
Arch Capital Group Ltd. *
     168       11,733  
Assurant, Inc.
     336       10,271  
Axis Capital Holdings Ltd.
     408       11,420  
Berkshire Hathaway, Inc., Class B *
     96       321,888  
Brown & Brown, Inc.
     336       5,998  
Cincinnati Financial Corp.
     432       11,025  
CNA Financial Corp. *
     216       4,914  
Everest Re Group Ltd.
     168       14,298  
Fidelity National Financial, Inc., Class A
     672       9,334  
First American Corp.
     336       10,658  
Genworth Financial, Inc., Class A *
     1,488       16,026  
Hanover Insurance Group, Inc.
     144       5,995  
HCC Insurance Holdings, Inc.
     408       10,661  
Lincoln National Corp.
     768       17,595  
Loews Corp.
     1,032       36,553  
Markel Corp. *
     48       16,272  
Marsh & McLennan Cos., Inc.
     1,536       34,637  
MetLife, Inc.
     1,704       58,260  
Old Republic International Corp.
     648       6,895  
PartnerRe Ltd.
     168       12,943  
Principal Financial Group, Inc.
     912       23,156  
Prudential Financial, Inc.
     1,392       69,391  
Reinsurance Group of America, Inc.
     216       10,044  
RenaissanceRe Holdings Ltd.
     192       10,230  
The Allstate Corp.
     1,656       47,047  
The Chubb Corp.
     1,032       51,744  
The Hartford Financial Services Group, Inc.
     1,152       28,178  
The Progressive Corp. *
     1,872       31,393  
The Travelers Cos., Inc.
     1,680       88,015  
Torchmark Corp.
     240       10,435  
Transatlantic Holdings, Inc.
     168       9,079  
Unum Group
     960       18,278  
W.R. Berkley Corp.
     408       10,082  
Wesco Financial Corp.
     24       8,184  
White Mountains Insurance Group Ltd.
     24       7,820  
XL Capital Ltd. Class A
     1,008       18,456  
 
             1,187,327  
 
                
Materials 3.8%
                
Air Products & Chemicals, Inc.
     600       49,758  
Airgas, Inc.
     216       9,990  
Albemarle Corp.
     264       8,910  
Alcoa, Inc.
     3,000       37,560  
Allegheny Technologies, Inc.
     288       9,801  
AptarGroup, Inc.
     192       6,935  
Ball Corp.
     288       14,230  
Bemis Co., Inc.
     312       9,142  
Celanese Corp. Series A
     432       12,856  
CF Industries Holdings, Inc.
     168       14,340  
Cliffs Natural Resources, Inc.
     408       17,976  
Crown Holdings, Inc. *
     456       11,478  
E.I. du Pont de Nemours & Co.
     2,496       86,312  
Eastman Chemical Co.
     192       11,543  
Ecolab, Inc.
     696       31,257  
FMC Corp.
     216       12,094  
Freeport-McMoRan Copper & Gold, Inc. *
     1,248       103,334  
International Flavors & Fragrances, Inc.
     240       9,773  
International Paper Co.
     1,176       29,929  
Intrepid Potash, Inc. *
     120       3,653  
Martin Marietta Materials, Inc.
     144       12,282  
MeadWestvaco Corp.
     456       12,481  
Monsanto Co.
     1,584       127,908  
Newmont Mining Corp.
     1,416       75,954  
Nucor Corp.
     840       35,624  
Owens-Illinois, Inc. *
     504       15,760  
Pactiv Corp. *
     384       9,350  
PPG Industries, Inc.
     504       29,953  
Praxair, Inc.
     912       74,811  
Reliance Steel & Aluminum Co.
     192       7,849  
Sealed Air Corp.
     456       10,164  
Sigma-Aldrich Corp.
     312       16,642  
Sonoco Products Co.
     288       8,116  
Southern Copper Corp.
     624       21,740  
Steel Dynamics, Inc.
     624       10,558  
Terra Industries, Inc.
     312       12,037  
The Dow Chemical Co.
     3,384       94,008  
The Lubrizol Corp.
     192       13,924  
The Mosaic Co.
     456       24,829  
The Scotts Miracle-Gro Co., Class A
     144       5,750  
The Valspar Corp.
     264       6,922  
United States Steel Corp.
     432       19,293  
Vulcan Materials Co.
     360       17,453  
Walter Energy, Inc.
     168       11,525  
Weyerhaeuser Co.
     624       24,299  
 
             1,190,103  
 
                
Media 2.8%
                
Cablevision Systems Corp., Class A
     696       17,414  
CBS Corp., Class B
     1,824       23,365  
Clear Channel Outdoor Holdings, Inc., Class A *
     96       876  
Comcast Corp., Class A
     8,472       124,284  
DIRECTV, Class A *
     2,876       90,968  
Discovery Communications, Inc., Series A *
     816       26,071  
DISH Network Corp., Class A *
     624       12,923  

4

 

Schwab U.S. Large-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
DreamWorks Animation SKG, Inc., Class A *
     192       6,426  
Interactive Data Corp.
     96       2,452  
John Wiley & Sons, Inc., Class A
     144       5,393  
Liberty Global, Inc., Series A *
     744       14,352  
Liberty Media — Starz, Series A *
     148       7,082  
Marvel Entertainment, Inc. *
     144       7,495  
News Corp., Class A
     6,888       78,936  
Omnicom Group, Inc.
     912       33,489  
Scripps Networks Interactive, Class A
     240       9,492  
The Interpublic Group of Cos., Inc. *
     1,392       8,811  
The McGraw-Hill Cos., Inc.
     936       28,043  
The Walt Disney Co.
     5,136       155,210  
The Washington Post Co., Class B
     24       9,927  
Time Warner Cable, Inc.
     1,056       44,236  
Time Warner, Inc.
     3,504       107,643  
Viacom, Inc., Class B *
     1,584       46,950  
Virgin Media, Inc.
     840       13,826  
 
             875,664  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 8.4%
                
Abbott Laboratories
     4,536       247,167  
Alexion Pharmaceuticals, Inc. *
     288       13,061  
Allergan, Inc.
     936       54,410  
Amgen, Inc. *
     3,000       169,050  
Amylin Pharmaceuticals, Inc. *
     408       5,818  
Biogen Idec, Inc. *
     864       40,556  
Bristol-Myers Squibb Co. *
     5,784       146,393  
Celgene Corp. *
     1,344       74,525  
Cephalon, Inc. *
     216       11,869  
Charles River Laboratories International, Inc. *
     192       6,173  
Covance, Inc. *
     192       10,197  
Dendreon Corp. *
     360       9,842  
Eli Lilly & Co.
     2,904       106,664  
Endo Pharmaceuticals Holdings, Inc. *
     288       6,345  
Forest Laboratories, Inc. *
     888       27,226  
Genzyme Corp. *
     816       41,371  
Gilead Sciences, Inc. *
     2,688       123,782  
Illumina, Inc. *
     456       13,187  
Johnson & Johnson
     8,136       511,266  
King Pharmaceuticals, Inc. *
     720       8,518  
Life Technologies Corp. *
     528       26,284  
Merck & Co., Inc.
     8,953       324,188  
Mettler-Toledo International, Inc. *
     96       9,550  
Millipore Corp. *
     168       11,441  
Mylan, Inc. *
     888       15,868  
Myriad Genetics, Inc. *
     264       6,104  
OSI Pharmaceuticals, Inc. *
     168       5,596  
PerkinElmer, Inc.
     360       6,793  
Perrigo Co.
     240       9,634  
Pfizer, Inc.
     23,688       430,411  
Pharmaceutical Product Development, Inc.
     336       7,204  
Talecris Biotherapeutics Holdings Corp. *
     144       2,700  
Techne Corp.
     120       8,146  
Thermo Fisher Scientific, Inc. *
     1,224       57,809  
Vertex Pharmaceuticals, Inc. *
     528       20,497  
Waters Corp. *
     288       16,929  
Watson Pharmaceuticals, Inc. *
     312       11,572  
 
             2,598,146  
 
                
Real Estate 1.5%
                
AMB Property Corp.
     432       10,174  
Annaly Capital Management, Inc.
     1,584       29,162  
AvalonBay Communities, Inc.
     240       17,338  
Boston Properties, Inc.
     432       28,935  
Brookfield Properties Corp.
     744       8,377  
CB Richard Ellis Group, Inc., Class A *
     672       7,681  
Digital Realty Trust, Inc.
     216       10,511  
Equity Residential
     816       26,283  
Federal Realty Investment Trust
     192       12,349  
HCP, Inc.
     864       27,043  
Health Care REIT, Inc.
     360       16,038  
Host Hotels & Resorts, Inc.
     1,800       18,936  
Kimco Realty Corp.
     1,128       13,897  
Liberty Property Trust
     336       9,959  
Nationwide Health Properties, Inc.
     312       10,611  
Plum Creek Timber Co., Inc.
     480       16,555  
ProLogis
     1,368       17,894  
Public Storage
     408       32,469  
Rayonier, Inc.
     264       10,491  
Realty Income Corp.
     288       7,284  
Regency Centers Corp.
     264       8,836  
Simon Property Group, Inc.
     864       62,778  
The St. Joe Co. *
     288       7,171  
Ventas, Inc.
     456       19,576  
Vornado Realty Trust
     552       36,134  
 
             466,482  
 
                
Retailing 3.4%
                
Abercrombie & Fitch Co., Class A
     264       10,542  
Advance Auto Parts, Inc.
     264       10,375  
Amazon.com, Inc. *
     912       123,950  
American Eagle Outfitters, Inc.
     528       8,121  
AutoNation, Inc. *
     216       3,812  
AutoZone, Inc. *
     96       14,196  
Bed Bath & Beyond, Inc. *
     768       28,692  
Best Buy Co., Inc.
     1,008       43,173  
CarMax, Inc. *
     576       11,451  
Dollar General Corp. *
     144       3,312  
Dollar Tree, Inc. *
     264       12,928  
Expedia, Inc. *
     624       15,900  
Family Dollar Stores, Inc.
     384       11,716  
GameStop Corp., Class A *
     456       11,131  
Genuine Parts Co.
     456       16,338  
Guess?, Inc.
     168       6,224  
J.C. Penney Co., Inc.
     624       17,934  
Kohl’s Corp. *
     840       44,638  
Liberty Media Corp. — Interactive, Class A *
     1,752       18,641  
Limited Brands, Inc.
     840       13,936  
Lowe’s Cos., Inc.
     4,272       93,172  
Macy’s, Inc.
     1,248       20,355  
Netflix, Inc. *
     144       8,443  
Nordstrom, Inc.
     504       16,859  
O’Reilly Automotive, Inc. *
     408       15,822  
PetSmart, Inc.
     360       9,266  
Priceline.com, Inc. *
     120       25,694  
Ross Stores, Inc.
     360       15,833  
Sears Holdings Corp. *
     168       11,920  
Staples, Inc.
     2,088       48,692  
Target Corp.
     2,016       93,865  
The Gap, Inc.
     1,488       31,873  

5

 

Schwab U.S. Large-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
The Home Depot, Inc.
     4,992       136,581  
The Sherwin-Williams Co.
     288       17,522  
The TJX Cos., Inc.
     1,248       47,898  
Tiffany & Co.
     384       16,389  
Urban Outfitters, Inc. *
     408       12,909  
 
             1,050,103  
 
                
Semiconductors & Semiconductor Equipment 2.5%
                
Advanced Micro Devices, Inc. *
     1,872       13,123  
Altera Corp.
     864       18,170  
Analog Devices, Inc.
     864       25,911  
Applied Materials, Inc.
     3,912       48,157  
Broadcom Corp., Class A *
     1,128       32,938  
Cree, Inc. *
     264       12,627  
Intel Corp.
     16,512       317,030  
KLA-Tencor Corp.
     504       15,745  
Lam Research Corp. *
     384       13,052  
Linear Technology Corp.
     600       16,182  
LSI Corp. *
     1,872       9,903  
Marvell Technology Group Ltd. *
     1,464       22,575  
Maxim Integrated Products, Inc.
     912       16,051  
MEMC Electronic Materials, Inc. *
     624       7,513  
Microchip Technology, Inc.
     528       13,860  
Micron Technology, Inc. *
     2,472       18,589  
National Semiconductor Corp.
     672       9,811  
NVIDIA Corp. *
     1,632       21,314  
ON Semiconductor Corp. *
     1,272       9,871  
Texas Instruments, Inc.
     3,768       95,293  
Varian Semiconductor Equipment Associates, Inc. *
     216       6,292  
Xilinx, Inc.
     816       18,474  
 
             762,481  
 
                
Software & Services 7.7%
                
Activision Blizzard, Inc. *
     1,680       19,135  
Adobe Systems, Inc. *
     1,560       54,725  
Affiliated Computer Services, Inc., Class A *
     264       14,573  
Akamai Technologies, Inc. *
     504       12,096  
Alliance Data Systems Corp. *
     168       10,246  
ANSYS, Inc. *
     264       10,280  
Autodesk, Inc. *
     648       15,196  
Automatic Data Processing, Inc.
     1,488       64,654  
BMC Software, Inc. *
     528       20,450  
Broadridge Financial Solutions, Inc.
     408       8,968  
CA, Inc.
     1,224       27,050  
Citrix Systems, Inc. *
     552       21,075  
Cognizant Technology Solutions Corp., Class A *
     864       37,956  
Computer Sciences Corp. *
     456       25,221  
DST Systems, Inc. *
     120       5,098  
eBay, Inc. *
     3,240       79,283  
Electronic Arts, Inc. *
     936       15,809  
Equinix, Inc. *
     120       11,543  
FactSet Research Systems, Inc.
     120       8,682  
Fidelity National Information Services, Inc.
     912       20,611  
Fiserv, Inc. *
     480       22,195  
Genpact Ltd. *
     168       2,181  
Global Payments, Inc.
     240       12,302  
Google, Inc., Class A *
     696       405,768  
Hewitt Associates, Inc., Class A *
     240       9,643  
IAC/InterActiveCorp *
     312       6,068  
Intuit, Inc. *
     864       25,238  
Lender Processing Services, Inc.
     312       13,035  
Mantech International Corp., Class A *
     72       3,116  
MasterCard, Inc., Class A
     288       69,368  
McAfee, Inc. *
     456       17,396  
Microsoft Corp.
     23,256       683,959  
Nuance Communications, Inc. *
     648       9,843  
Oracle Corp.
     11,232       248,003  
Paychex, Inc.
     936       29,344  
Red Hat, Inc. *
     552       14,738  
Rovi Corp. *
     240       7,154  
SAIC, Inc. *
     576       10,264  
Salesforce.com, Inc. *
     312       19,556  
Sybase, Inc. *
     240       9,658  
Symantec Corp. *
     2,424       43,026  
Synopsys, Inc. *
     408       9,168  
Total System Services, Inc.
     600       10,368  
VeriSign, Inc. *
     576       12,925  
Visa, Inc., Class A
     1,272       103,032  
VMware, Inc., Class A *
     120       5,038  
Western Union Co.
     2,040       37,638  
Yahoo!, Inc. *
     3,888       58,203  
 
             2,380,878  
 
                
Technology Hardware & Equipment 8.5%
                
Agilent Technologies, Inc. *
     1,008       29,151  
Amphenol Corp., Class A
     528       21,754  
Apple, Inc. *
     2,616       522,965  
Arrow Electronics, Inc. *
     360       9,461  
Avnet, Inc. *
     456       12,426  
Brocade Communications Systems, Inc. *
     1,176       8,338  
Cisco Systems, Inc. *
     16,968       397,051  
Corning, Inc.
     4,560       76,061  
Dell, Inc. *
     5,184       73,198  
Dolby Laboratories, Inc., Class A *
     144       6,440  
EMC Corp. *
     5,928       99,768  
F5 Networks, Inc. *
     240       11,287  
FLIR Systems, Inc. *
     456       13,087  
Harris Corp.
     384       16,858  
Hewlett-Packard Co.
     6,984       342,635  
Ingram Micro, Inc., Class A *
     480       8,155  
International Business Machines Corp.
     3,888       491,249  
Itron, Inc. *
     120       7,295  
Juniper Networks, Inc. *
     1,560       40,763  
Molex, Inc.
     432       8,031  
Motorola, Inc.
     6,336       50,751  
NCR Corp. *
     432       4,065  
NetApp, Inc. *
     984       30,327  
QUALCOMM, Inc.
     4,824       217,080  
SanDisk Corp. *
     672       13,252  
Seagate Technology
     1,488       22,513  
Sun Microsystems, Inc. *
     2,136       18,177  
Tellabs, Inc. *
     1,032       5,789  
Teradata Corp. *
     504       14,767  
Trimble Navigation Ltd. *
     336       7,503  
Western Digital Corp. *
     648       23,872  
Xerox Corp.
     2,568       19,774  
 
             2,623,843  

6

 

Schwab U.S. Large-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Telecommunication Services 3.1%
                
American Tower Corp., Class A *
     1,176       48,122  
AT&T, Inc.
     17,472       470,696  
CenturyTel, Inc.
     888       31,604  
Clearwire Corp., Class A *
     216       1,223  
Crown Castle International Corp. *
     720       26,417  
Frontier Communications Corp.
     888       7,015  
Level 3 Communications, Inc. *
     5,256       6,570  
MetroPCS Communications, Inc. *
     696       4,385  
NII Holdings, Inc. *
     504       15,019  
Qwest Communications International, Inc.
     4,104       14,980  
SBA Communications Corp., Class A *
     336       10,765  
Sprint Nextel Corp. *
     8,376       31,075  
Telephone & Data Systems, Inc.
     288       8,781  
United States Cellular Corp. *
     48       1,788  
Verizon Communications, Inc.
     8,424       265,019  
Windstream Corp.
     1,272       12,618  
 
             956,077  
 
                
Transportation 1.9%
                
Burlington Northern Santa Fe Corp.
     816       80,213  
C.H. Robinson Worldwide, Inc.
     504       28,093  
CSX Corp.
     1,152       54,697  
Delta Air Lines, Inc. *
     2,352       19,263  
Expeditors International of Washington, Inc.
     648       20,691  
FedEx Corp.
     864       72,965  
Hertz Global Holdings, Inc. *
     552       5,409  
J.B. Hunt Transport Services, Inc.
     264       8,411  
Kansas City Southern *
     264       7,558  
Norfolk Southern Corp.
     1,080       55,512  
Ryder System, Inc.
     168       6,811  
Southwest Airlines Co.
     2,160       19,872  
Union Pacific Corp.
     1,488       94,131  
United Parcel Service, Inc., Class B
     2,064       118,618  
 
             592,244  
 
                
Utilities 3.9%
                
AGL Resources, Inc.
     216       7,463  
Allegheny Energy, Inc.
     480       10,550  
Alliant Energy Corp.
     312       8,574  
Ameren Corp.
     648       16,841  
American Electric Power Co., Inc.
     1,392       44,808  
American Water Works Co., Inc.
     264       5,871  
Aqua America, Inc.
     384       6,267  
Atmos Energy Corp.
     264       7,231  
Calpine Corp. *
     1,080       12,010  
Centerpoint Energy, Inc.
     912       12,102  
CMS Energy Corp.
     648       9,227  
Consolidated Edison, Inc.
     864       37,074  
Constellation Energy Group, Inc.
     528       16,801  
Dominion Resources, Inc.
     1,752       63,738  
DPL, Inc.
     336       9,025  
DTE Energy Co.
     480       19,253  
Duke Energy Corp.
     3,792       63,251  
Dynegy, Inc., Class A *
     1,488       2,693  
Edison International
     864       29,419  
Energen Corp.
     216       9,396  
Entergy Corp.
     576       45,302  
EQT Corp.
     384       15,802  
Exelon Corp.
     1,944       93,662  
FirstEnergy Corp.
     888       38,255  
FPL Group, Inc.
     1,104       57,375  
Integrys Energy Group, Inc.
     216       8,325  
ITC Holdings Corp.
     144       6,404  
MDU Resources Group, Inc.
     480       10,848  
Mirant Corp. *
     432       6,152  
National Fuel Gas Co.
     192       8,991  
NiSource, Inc.
     792       11,286  
Northeast Utilities
     504       12,151  
NRG Energy, Inc. *
     792       18,960  
NSTAR
     312       10,337  
NV Energy, Inc.
     648       7,543  
OGE Energy Corp.
     360       12,456  
ONEOK, Inc.
     288       11,526  
Pepco Holdings, Inc.
     624       10,171  
PG&E Corp.
     1,104       46,743  
Piedmont Natural Gas Co., Inc.
     192       4,550  
Pinnacle West Capital Corp.
     288       10,106  
PPL Corp.
     1,080       32,962  
Progress Energy, Inc.
     816       31,897  
Public Service Enterprise Group, Inc.
     1,488       46,664  
Questar Corp.
     504       19,994  
RRI Energy, Inc. *
     1,056       5,195  
SCANA Corp.
     312       10,982  
Sempra Energy
     672       35,710  
Southern Co.
     2,352       75,476  
TECO Energy, Inc.
     552       8,142  
The AES Corp. *
     2,040       25,990  
UGI Corp.
     312       7,326  
Vectren Corp.
     240       5,638  
Westar Energy, Inc.
     312       6,424  
Wisconsin Energy Corp.
     336       15,154  
Xcel Energy, Inc.
     1,344       27,310  
 
             1,193,403  
Total Common Stock
(Cost $30,805,097)
             30,833,975  
 
                
 
                
Other Investment Company 0.1% of net assets
                
State Street Institutional Liquid Reserves Fund
     16,431       16,431  
Total Other Investment Company
(Cost $16,431)
             16,431  
 
                
End of Investments.
At 11/30/09, the tax basis cost of the fund’s investments was $30,821,532 and the unrealized appreciation and depreciation were $378,097 and ($349,223), respectively, with a net unrealized appreciation of $28,874.
 
*   Non-income producing security.
 
(a)   Issuer is affiliated with the fund’s adviser.
         
Security name   The Charles Schwab Corp.  
Shares held at beginning of period
     —  
Gross additions
     2,784  
Gross sales
     —  
Shares held at 11/30/2009
     2,784  
Market value at 11/30/2009
   $ 51,031  
Realized gain (loss) during the period
   $ —  
Dividends received during the period
   $ 14  

7

 

Schwab U.S. Large-Cap ETF
Portfolio Holdings (Unaudited) continued
Various inputs are used on determining the value of the fund’s investments. The fair value measurements and disclosures establish a three-tier hierarchy of inputs to establish a classification of fair value measurements for disclosure purposes. These inputs are summarized in the three broad levels listed below:
  •   Level 1—quoted prices in active markets for identical securities. — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. The fund does not adjust the quoted price for such investments, even in situations where the fund holds a large position and a sale could reasonably impact the quoted price.
 
  •   Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •   Level 3—significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments). — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
                                 
    Quoted Prices            
    in Active   Significant        
    Markets for   Other   Significant    
    Identical   Observable   Unobservable    
    Assets   Inputs   Inputs    
Description   (Level 1)   (Level 2)   (Level 3)   Total*
 
Common Stock — (a)
   $ 30,833,975     $ —     $ —     $ 30,833,975  
 
Other Investment Company
     16,431       —       —       16,431  
 
Total
   $ 30,850,406     $ —     $ —     $ 30,850,406  
 
 
*   The fund had no Other Financial Instruments.
 
(a)   as categorized in Portfolio Holdings

8

 

Schwab Strategic Trust
Schwab U.S. Small-Cap ETFTM
Portfolio Holdings as of November 30, 2009, (Unaudited)
The following are the portfolio holdings as of the report date.
                         
            Cost   Value
Holdings by Category   ($)   ($)
  99.8 %  
Common Stock
     26,667,743       26,245,851  
  0.1 %  
Other Investment Company
     28,821       28,821  
  99.9 %  
Total Investments
     26,696,564       26,274,672  
  0.1 %  
Other Assets and Liabilities, Net
             33,668  
  100.0 %  
Net Assets
             26,308,340  
                 
    Number   Value
Security   of Shares   ($)
Common Stock 99.8% of net assets
                
Automobiles & Components 1.0%
                
ArvinMeritor, Inc.
     1,701       13,795  
Cooper Tire & Rubber Co.
     1,365       24,461  
Dana Holding Corp. *
     2,352       17,123  
Drew Industries, Inc. *
     399       7,721  
Exide Technologies *
     1,134       8,505  
Federal-Mogul Corp. *
     525       7,087  
Fuel Systems Solutions, Inc. *
     315       15,196  
Gentex Corp.
     3,003       49,910  
Raser Technologies, Inc. *
     693       804  
Superior Industries International, Inc.
     483       6,917  
Tenneco, Inc. *
     1,092       15,747  
Thor Industries, Inc.
     861       24,495  
TRW Automotive Holdings Corp. *
     1,638       35,643  
WABCO Holdings, Inc.
     1,302       30,766  
Winnebago Industries, Inc. *
     630       6,835  
 
             265,005  
 
                
Banks 6.8%
                
1st Source Corp.
     273       3,877  
Arrow Financial Corp.
     357       9,025  
Associated Banc-Corp
     2,604       29,529  
Astoria Financial Corp.
     1,974       20,490  
BancFirst Corp.
     147       5,520  
BancorpSouth, Inc.
     1,659       38,489  
Bank Mutual Corp.
     1,008       7,066  
Bank of Hawaii Corp.
     1,050       47,985  
Bank of the Ozarks, Inc.
     273       7,256  
BankFinancial Corp.
     420       3,944  
Beneficial Mutual Bancorp, Inc. *
     945       8,788  
Berkshire Hills Bancorp, Inc.
     294       5,545  
Boston Private Financial Holdings, Inc.
     1,365       6,402  
Brookline Bancorp, Inc.
     1,218       11,583  
Camden National Corp.
     168       5,151  
Capital City Bank Group, Inc.
     273       3,350  
CapitalSource, Inc.
     5,628       20,655  
Capitol Bancorp Ltd.
     420       844  
Cathay General Bancorp
     1,218       9,513  
Chemical Financial Corp.
     483       11,365  
City Holding Co.
     336       10,960  
Clifton Savings Bancorp, Inc.
     399       3,543  
CoBiz Financial, Inc.
     483       2,053  
Columbia Banking System, Inc.
     546       8,010  
Community Bank System, Inc.
     735       13,642  
Community Trust Bancorp, Inc.
     315       7,384  
CVB Financial Corp.
     2,079       16,112  
Danvers Bancorp, Inc.
     336       4,539  
Dime Community Bancshares
     630       7,081  
Doral Financial Corp. *
     273       852  
East West Bancorp, Inc.
     1,827       26,656  
ESSA Bancorp, Inc.
     462       5,849  
F.N.B. Corp.
     2,436       15,858  
Fannie Mae *
     24,213       21,307  
First Bancorp
     357       4,645  
First BanCorp Puerto Rico
     1,617       2,506  
First Busey Corp.
     630       2,066  
First Citizens BancShares, Inc., Class A
     126       19,839  
First Commonwealth Financial Corp.
     1,617       6,872  
First Community Bancshares, Inc.
     315       3,462  
First Financial Bancorp
     1,071       14,234  
First Financial Bankshares, Inc.
     441       22,835  
First Financial Corp.
     210       6,008  
First Financial Holdings, Inc.
     378       5,061  
First Financial Northwest, Inc.
     462       3,169  
First Merchants Corp.
     399       2,390  
First Midwest Bancorp, Inc.
     1,008       10,513  
First Niagara Financial Group, Inc.
     4,011       52,905  
FirstMerit Corp.
     1,848       38,716  
Flagstar Bancorp, Inc. *
     756       529  
Flushing Financial Corp.
     567       6,186  
Freddie Mac *
     14,154       14,579  
Fulton Financial Corp.
     3,696       31,860  
Glacier Bancorp, Inc.
     1,302       17,030  
Great Southern Bancorp, Inc.
     189       4,249  
Guaranty Bancorp *
     1,092       1,114  
Hampton Roads Bankshares, Inc.
     819       1,704  
Hancock Holding Co.
     672       27,821  
Harleysville National Corp.
     861       5,114  
Heartland Financial USA, Inc.
     294       3,878  
Home Bancshares, Inc.
     441       10,094  
Hudson Valley Holding Corp.
     126       3,296  
Huntington Bancshares, Inc.
     14,805       56,555  
IBERIABANK Corp.
     420       23,827  
Independent Bank Corp.
     441       9,018  
International Bancshares Corp.
     1,155       19,369  
Investors Bancorp, Inc. *
     945       10,414  
Kearny Financial Corp.
     399       3,930  
Lakeland Financial Corp.
     252       4,294  
Marshall & Ilsley Corp.
     8,001       46,006  
MB Financial, Inc.
     1,008       18,799  
Meridian Interstate Bancorp, Inc. *
     231       1,927  
MGIC Investment Corp. *
     3,066       12,264  
Nara Bancorp, Inc.
     714       7,219  
National Penn Bancshares, Inc.
     2,646       14,606  
NBT Bancorp, Inc.
     714       14,701  
NewAlliance Bancshares, Inc.
     2,184       25,728  
Northfield Bancorp, Inc.
     441       5,640  
Northwest Bancorp, Inc.
     462       10,691  
Ocwen Financial Corp. *
     1,554       14,483  
Old National Bancorp
     1,743       20,289  
Oriental Financial Group, Inc.
     462       4,481  
Oritani Financial Corp.
     210       2,734  
Orrstown Financial Services, Inc.
     231       7,635  
Pacific Capital Bancorp
     1,176       1,105  

1

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
PacWest Bancorp
     546       10,046  
Park National Corp.
     231       13,816  
Pinnacle Financial Partners, Inc. *
     714       8,432  
Popular, Inc.
     5,670       13,438  
PrivateBancorp, Inc.
     1,134       11,215  
Prosperity Bancshares, Inc.
     1,008       40,149  
Provident Financial Services, Inc.
     1,239       13,109  
Provident New York Bancorp
     819       6,839  
Radian Group, Inc.
     1,785       7,979  
Renasant Corp.
     420       5,977  
Republic Bancorp, Inc. Class A
     189       3,565  
Rockville Financial, Inc.
     168       1,793  
Roma Financial Corp.
     210       2,522  
S&T Bancorp, Inc.
     588       9,379  
S.Y. Bancorp, Inc.
     273       5,957  
Sandy Spring Bancorp, Inc.
     336       3,128  
Santander BanCorp *
     168       1,915  
SCBT Financial Corp.
     252       6,552  
Signature Bank *
     882       27,324  
Simmons First National Corp., Class A
     273       6,910  
Southside Bancshares, Inc.
     315       6,457  
StellarOne Corp.
     504       5,085  
Sterling Bancorp
     483       3,284  
Sterling Bancshares, Inc.
     1,743       8,750  
Sterling Financial Corp. *
     1,281       769  
Suffolk Bancorp
     210       5,655  
Sun Bancorp, Inc. *
     378       1,357  
Susquehanna Bancshares, Inc.
     1,680       9,643  
SVB Financial Group *
     714       27,032  
Synovus Financial Corp.
     9,492       18,509  
TCF Financial Corp.
     2,604       34,217  
Texas Capital Bancshares, Inc. *
     735       10,672  
The PMI Group, Inc.
     2,016       3,709  
The South Financial Group, Inc.
     3,129       1,909  
Tompkins Financial Corp.
     168       6,703  
TowneBank
     483       5,844  
TriCo Bancshares
     378       6,551  
TrustCo Bank Corp.
     1,638       10,090  
Trustmark Corp.
     1,113       21,325  
UMB Financial Corp.
     735       28,885  
Umpqua Holdings Corp.
     1,764       20,745  
Union Bankshares Corp.
     399       4,708  
United Bankshares, Inc.
     882       15,082  
United Community Banks, Inc. *
     1,869       7,233  
United Financial Bancorp, Inc.
     273       3,505  
Univest Corp. of Pennsylvania
     357       5,780  
Valley National Bancorp
     3,108       41,088  
ViewPoint Financial Group
     252       3,296  
Washington Federal, Inc.
     2,394       45,606  
Washington Trust Bancorp, Inc.
     294       4,366  
Waterstone Financial, Inc. *
     315       608  
Webster Financial Corp.
     1,470       18,713  
WesBanco, Inc.
     504       6,507  
Westamerica Bancorp
     609       32,399  
Western Alliance Bancorp *
     1,470       5,836  
Westfield Financial, Inc.
     630       5,210  
Whitney Holding Corp.
     2,016       16,229  
Wilmington Trust Corp.
     1,512       18,552  
Wintrust Financial Corp.
     504       13,089  
WSFS Financial Corp.
     126       3,360  
Zions Bancorp
     2,772       36,452  
 
             1,783,468  
 
                
Capital Goods 10.2%
                
A.O. Smith Corp.
     546       22,888  
A123 Systems, Inc. *
     609       9,835  
AAON, Inc.
     273       5,171  
AAR CORP. *
     861       16,066  
Aceto Corp.
     546       2,845  
Actuant Corp., Class A
     1,407       22,976  
Acuity Brands, Inc.
     966       31,182  
Advanced Battery Technologies, Inc. *
     1,134       3,935  
Aerovironment, Inc. *
     357       10,260  
Aircastle Ltd.
     966       8,559  
Albany International Corp., Class A
     588       10,631  
Altra Holdings, Inc. *
     567       6,379  
American Railcar Industries, Inc.
     210       2,218  
American Science & Engineering, Inc.
     189       13,145  
American Superconductor Corp. *
     903       29,980  
American Woodmark Corp.
     210       4,091  
Ameron International Corp.
     210       11,962  
Ampco-Pittsburgh Corp.
     168       4,912  
Apogee Enterprises, Inc.
     672       9,200  
Applied Industrial Technologies, Inc.
     819       16,994  
Applied Signal Technology, Inc.
     273       5,397  
Argon ST, Inc. *
     294       5,286  
Armstrong World Industries, Inc. *
     378       15,661  
Astec Industries, Inc. *
     357       8,911  
AZZ, Inc. *
     273       9,241  
Badger Meter, Inc.
     294       10,343  
Baldor Electric Co.
     945       24,334  
Barnes Group, Inc.
     903       14,006  
BE Aerospace, Inc. *
     2,289       44,109  
Beacon Roofing Supply, Inc. *
     987       15,170  
Belden, Inc.
     1,029       22,761  
Blount International, Inc. *
     777       7,498  
Brady Corp., Class A
     1,008       29,917  
Briggs & Stratton Corp.
     1,071       20,199  
Broadwind Energy, Inc. *
     693       4,955  
Bucyrus International, Inc.
     1,659       85,920  
Builders FirstSource, Inc. *
     420       1,600  
Carlisle Cos., Inc.
     1,344       43,156  
Cascade Corp.
     210       4,761  
Ceradyne, Inc. *
     525       8,878  
Chart Industries, Inc. *
     630       10,458  
CIRCOR International, Inc.
     336       8,111  
CLARCOR, Inc.
     1,134       36,141  
Colfax Corp. *
     546       6,781  
Columbus McKinnon Corp. *
     399       6,264  
Comfort Systems USA, Inc.
     798       9,089  
Crane Co.
     1,071       29,934  
Cubic Corp.
     357       12,431  
Curtiss-Wright Corp.
     945       26,895  
DigitalGlobe, Inc. *
     336       7,731  
Ducommun, Inc.
     189       3,525  
Dycom Industries, Inc. *
     819       6,380  
Dynamic Materials Corp.
     273       5,222  
DynCorp International, Inc., Class A *
     546       7,633  
EMCOR Group, Inc. *
     1,428       33,986  
Encore Wire Corp.
     399       7,940  
Ener1, Inc. *
     1,344       7,876  
Energy Conversion Devices, Inc. *
     987       9,791  
Energy Recovery, Inc. *
     567       3,170  
EnerSys *
     903       20,552  
EnPro Industries, Inc. *
     441       10,117  

2

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
ESCO Technologies, Inc. *
     567       18,938  
Esterline Technologies Corp. *
     630       25,446  
Evergreen Solar, Inc. *
     3,990       5,586  
Federal Signal Corp.
     1,218       6,979  
Force Protection, Inc. *
     1,617       8,344  
Franklin Electric Co., Inc.
     399       10,988  
FreightCar America, Inc.
     273       4,982  
FuelCell Energy, Inc. *
     1,575       4,819  
Furmanite Corp. *
     588       1,929  
Gardner Denver, Inc.
     1,134       42,446  
GATX Corp.
     882       25,463  
GenCorp, Inc. *
     1,197       9,349  
General Cable Corp. *
     1,197       35,144  
GeoEye, Inc. *
     462       14,401  
Gibraltar Industries, Inc.
     588       8,808  
Graco, Inc.
     1,323       37,269  
GrafTech International Ltd. *
     2,667       39,232  
Graham Corp.
     189       3,504  
Granite Construction, Inc.
     735       22,028  
Great Lakes Dredge & Dock Co.
     840       4,948  
Griffon Corp. *
     1,155       12,012  
GT Solar International, Inc. *
     651       3,086  
H&E Equipment Services, Inc. *
     651       6,028  
HEICO Corp. Class A
     441       14,099  
Hexcel Corp. *
     2,037       21,490  
IDEX Corp.
     1,785       52,890  
II-VI, Inc. *
     546       15,550  
Insituform Technologies, Inc., Class A *
     840       17,388  
Interline Brands, Inc. *
     672       11,303  
John Bean Technologies Corp.
     609       10,457  
K-Tron International, Inc. *
     63       6,039  
Kaman Corp.
     525       11,891  
Kaydon Corp.
     735       26,137  
Kennametal, Inc.
     1,806       40,635  
L.B. Foster Co., Class A *
     231       6,325  
Ladish Co., Inc. *
     336       4,667  
Lawson Products, Inc.
     105       1,507  
Layne Christensen Co. *
     420       10,928  
Lennox International, Inc.
     1,155       42,874  
Lindsay Corp.
     252       8,843  
MasTec, Inc. *
     1,071       13,666  
Michael Baker Corp. *
     147       5,593  
Moog, Inc. Class A *
     882       23,294  
Mueller Industries, Inc.
     798       18,761  
Mueller Water Products, Inc. Class A
     2,751       13,865  
MYR Group, Inc. *
     399       6,232  
NACCO Industries, Inc., Class A
     105       5,306  
Nordson Corp.
     672       36,026  
Northwest Pipe Co. *
     168       4,245  
Orbital Sciences Corp. *
     1,218       15,262  
Orion Marine Group, Inc. *
     609       11,260  
Oshkosh Corp.
     1,932       76,758  
Otter Tail Corp.
     693       15,960  
Pike Electric Corp. *
     462       4,232  
Plug Power, Inc. *
     1,155       924  
Polypore International, Inc. *
     483       5,685  
Powell Industries, Inc. *
     189       6,634  
Power-One, Inc. *
     1,701       6,260  
Primoris Services Corp.
     336       2,540  
Quanex Building Products Corp.
     861       13,957  
Raven Industries, Inc.
     357       9,635  
RBC Bearings, Inc. *
     462       10,700  
Regal-Beloit Corp.
     798       37,873  
Robbins & Myers, Inc.
     567       13,035  
RSC Holdings, Inc. *
     945       6,010  
Rush Enterprises, Inc., Class A *
     714       7,690  
Sauer-Danfoss, Inc.
     252       2,177  
Seaboard Corp.
     21       30,534  
Simpson Manufacturing Co., Inc.
     819       20,360  
Snap-On, Inc.
     1,260       45,549  
Standex International Corp.
     273       4,982  
Stanley, Inc. *
     378       10,085  
Sterling Construction Co., Inc. *
     336       5,813  
Sun Hydraulics Corp.
     231       5,463  
TAL International Group, Inc.
     252       3,442  
Taser International, Inc. *
     1,281       5,419  
Tecumseh Products Co., Class A *
     315       3,597  
Teledyne Technologies, Inc. *
     756       25,341  
Tennant Co.
     378       10,289  
Terex Corp. *
     2,478       46,661  
Textainer Group Holdings Ltd.
     420       6,699  
The Gorman-Rupp Co.
     336       8,366  
The Greenbrier Cos., Inc.
     336       3,605  
The Manitowoc Co., Inc.
     3,045       29,902  
The Middleby Corp. *
     420       18,837  
The Timken Co.
     1,722       42,482  
The Toro Co.
     777       30,956  
Thomas & Betts Corp. *
     1,176       42,924  
Titan International, Inc.
     819       6,781  
Titan Machinery, Inc. *
     357       4,009  
TransDigm Group, Inc.
     819       35,504  
Tredegar Corp.
     483       6,960  
Trex Co., Inc. *
     315       5,648  
Trinity Industries, Inc.
     1,722       32,494  
Triumph Group, Inc.
     378       18,140  
Tutor Perini Corp. *
     609       10,122  
United Rentals, Inc. *
     1,365       12,585  
Universal Forest Products, Inc.
     420       15,095  
USG Corp. *
     1,491       20,621  
Valence Technology, Inc. *
     1,659       1,775  
Valmont Industries, Inc.
     462       35,408  
Vicor Corp. *
     525       4,305  
Wabtec Corp.
     1,197       46,084  
Watsco, Inc.
     588       29,494  
Watts Water Technologies, Inc., Class A
     630       19,309  
WESCO International, Inc. *
     903       23,568  
Woodward Governor Co.
     1,218       28,331  
 
             2,681,230  
 
                
Commercial & Professional Services 2.8%
                
ABM Industries, Inc.
     945       17,416  
Acco Brands Corp. *
     1,176       7,679  
Administaff, Inc.
     483       10,766  
American Ecology Corp.
     357       5,780  
American Reprographics Co. *
     798       4,437  
APAC Customer Services, Inc. *
     630       3,295  
ATC Technology Corp. *
     399       8,786  
Bowne & Co., Inc.
     777       4,709  
CBIZ, Inc. *
     1,701       11,703  
CDI Corp.
     294       3,493  
Cenveo, Inc. *
     1,176       9,032  
Clean Harbors, Inc. *
     483       25,850  
Consolidated Graphics, Inc. *
     231       6,814  
Cornell Cos., Inc. *
     231       5,073  
CoStar Group, Inc. *
     441       17,521  
Courier Corp.
     210       2,738  
CRA International, Inc. *
     231       5,745  

3

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Deluxe Corp.
     1,113       14,358  
EnergySolutions, Inc.
     1,638       14,054  
EnerNOC, Inc. *
     378       10,002  
Ennis, Inc.
     588       8,520  
Exponent, Inc. *
     294       7,935  
Fuel Tech, Inc. *
     462       3,959  
G&K Services, Inc., Class A
     378       8,354  
Healthcare Services Group, Inc.
     861       16,953  
Heidrick & Struggles International, Inc.
     357       10,085  
Herman Miller, Inc.
     1,218       18,501  
Hill International, Inc. *
     525       3,208  
HNI Corp.
     798       20,165  
Huron Consulting Group, Inc. *
     462       10,534  
ICF International, Inc. *
     210       5,670  
Innerworkings, Inc. *
     630       3,238  
Interface, Inc. Class A
     1,197       9,193  
Kelly Services, Inc., Class A
     588       6,168  
Kforce, Inc. *
     735       9,518  
Kimball International, Inc., Class B
     525       4,279  
Knoll, Inc.
     1,050       10,206  
Korn/Ferry International *
     1,008       16,350  
M&F Worldwide Corp. *
     231       7,635  
McGrath Rentcorp
     504       10,418  
Metalico, Inc. *
     819       3,391  
Mine Safety Appliances Co.
     693       17,145  
Mistras Group, Inc. *
     147       1,792  
Mobile Mini, Inc. *
     819       12,457  
Monster Worldwide, Inc. *
     2,814       41,113  
MPS Group, Inc. *
     1,953       26,658  
Navigant Consulting, Inc. *
     1,071       14,191  
Odyssey Marine Exploration, Inc. *
     1,029       1,461  
Resources Connection, Inc. *
     966       18,615  
RINO International Corp. *
     105       3,596  
Rollins, Inc.
     1,155       20,524  
Schawk, Inc.
     252       2,843  
School Specialty, Inc. *
     357       8,140  
Spherion Corp. *
     1,113       5,821  
Standard Parking Corp. *
     126       2,029  
Steelcase, Inc., Class A
     1,344       7,338  
Sykes Enterprises, Inc. *
     777       19,075  
Team, Inc. *
     399       6,544  
Tetra Tech, Inc. *
     1,302       34,295  
The Advisory Board Co. *
     315       8,253  
The Brink’s Co.
     987       22,188  
The Corporate Executive Board Co.
     735       15,406  
The Geo Group, Inc. *
     1,134       22,544  
The Standard Register Co.
     399       1,803  
TrueBlue, Inc. *
     987       12,002  
United Stationers, Inc. *
     525       26,743  
Viad Corp.
     441       8,145  
Volt Information Sciences, Inc. *
     252       2,235  
 
             746,487  
 
                
Consumer Durables & Apparel 3.9%
                
American Apparel, Inc. *
     945       2,797  
American Greetings Corp., Class A
     777       16,084  
Blyth, Inc.
     168       5,465  
Brookfield Homes Corp. *
     315       1,843  
Brunswick Corp.
     1,953       19,608  
Callaway Golf Co.
     1,407       10,088  
Carter’s, Inc. *
     1,218       26,492  
Columbia Sportswear Co.
     315       12,102  
Crocs, Inc. *
     1,911       9,307  
CSS Industries, Inc.
     210       3,896  
Deckers Outdoor Corp. *
     294       27,233  
Eastman Kodak Co.
     5,670       22,964  
Ethan Allen Interiors, Inc.
     609       7,070  
FGX International Holdings Ltd. *
     273       4,505  
Fossil, Inc. *
     1,029       31,745  
Furniture Brands International, Inc. *
     672       2,809  
Hanesbrands, Inc. *
     2,079       49,917  
Harman International Industries, Inc.
     1,533       57,656  
Helen of Troy Ltd. *
     588       12,083  
Hovnanian Enterprises, Inc., Class A *
     1,155       4,539  
Iconix Brand Group, Inc. *
     1,575       17,735  
iRobot Corp. *
     420       5,922  
JAKKS Pacific, Inc. *
     588       7,091  
Jarden Corp.
     1,890       51,880  
Jones Apparel Group, Inc.
     1,890       32,036  
K-Swiss, Inc., Class A
     525       4,583  
KB HOME
     1,722       23,333  
Kenneth Cole Productions, Inc., Class A
     315       2,930  
La-Z-Boy, Inc.
     1,155       11,030  
Leapfrog Enterprises, Inc. *
     714       2,142  
Lennar Corp., Class A
     3,465       43,902  
Liz Claiborne, Inc.
     2,100       8,757  
M.D.C Holdings, Inc.
     798       23,693  
M/I Homes, Inc. *
     399       4,373  
Maidenform Brands, Inc. *
     504       7,303  
Marine Products Corp.
     399       1,879  
Meritage Homes Corp. *
     630       11,233  
Movado Group, Inc.
     378       3,890  
National Presto Industries, Inc.
     105       9,783  
Oxford Industries, Inc.
     294       6,306  
Phillips-Van Heusen Corp.
     1,134       45,360  
Polaris Industries, Inc.
     714       31,152  
Pool Corp.
     1,071       19,342  
Quiksilver, Inc. *
     2,898       5,072  
RC2 Corp. *
     462       6,329  
Sealy Corp. *
     1,155       3,095  
Skechers U.S.A., Inc., Class A *
     735       16,229  
Skyline Corp.
     189       3,113  
Smith & Wesson Holding Corp. *
     1,428       7,054  
Standard Pacific Corp. *
     2,268       7,235  
Steven Madden Ltd. *
     357       12,738  
Tempur-Pedic International, Inc. *
     1,596       34,394  
The Ryland Group, Inc.
     966       17,687  
The Timberland Co., Class A *
     1,029       17,184  
The Warnaco Group, Inc. *
     1,029       41,891  
True Religion Apparel, Inc. *
     567       10,455  
Tupperware Brands Corp.
     1,386       64,518  
Under Armour, Inc. Class A *
     882       22,579  
UniFirst Corp.
     315       13,844  
Volcom, Inc. *
     357       5,605  
Weyco Group, Inc.
     147       3,406  
Wolverine World Wide, Inc.
     1,071       27,385  
 
             1,023,671  
 
                
Consumer Services 3.5%
                
AFC Enterprises, Inc. *
     546       4,275  
Ambassadors Group, Inc.
     420       4,948  
American Public Education, Inc. *
     399       12,780  
Ameristar Casinos, Inc.
     525       9,125  
Bally Technologies, Inc. *
     1,218       50,584  
BJ’s Restaurants, Inc. *
     378       6,452  
Bob Evans Farms, Inc.
     672       16,975  

4

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Boyd Gaming Corp. *
     1,386       11,324  
Bridgepoint Education, Inc. *
     420       6,707  
Brink’s Home Security Holdings, Inc. *
     1,008       32,982  
Brinker International, Inc.
     2,226       30,719  
Buffalo Wild Wings, Inc. *
     399       15,936  
California Pizza Kitchen, Inc. *
     483       6,066  
Capella Education Co. *
     315       22,453  
CEC Entertainment, Inc. *
     483       14,084  
Choice Hotels International, Inc.
     630       19,750  
Churchill Downs, Inc.
     231       7,993  
CKE Restaurants, Inc.
     1,113       9,394  
Coinstar, Inc. *
     609       16,315  
Corinthian Colleges, Inc. *
     1,743       25,831  
Cracker Barrel Old Country Store, Inc.
     504       18,930  
Denny’s Corp. *
     2,037       4,665  
DineEquity, Inc. *
     336       7,160  
Domino’s Pizza, Inc. *
     903       7,107  
Gaylord Entertainment Co. *
     777       13,675  
Grand Canyon Education, Inc. *
     462       8,857  
Hillenbrand, Inc.
     1,344       24,595  
International Speedway Corp., Class A
     588       15,858  
Interval Leisure Group, Inc. *
     882       10,090  
Isle of Capri Casinos, Inc. *
     441       3,338  
Jack in the Box, Inc. *
     1,218       22,740  
Jackson Hewitt Tax Service, Inc.
     525       2,174  
K12, Inc. *
     462       8,279  
Krispy Kreme Doughnuts, Inc. *
     1,260       4,057  
Landry’s Restaurants, Inc. *
     147       3,125  
LIFE TIME FITNESS, Inc. *
     966       21,832  
Lincoln Educational Services Corp. *
     231       5,110  
Matthews International Corp., Class A
     651       22,551  
Morgans Hotel Group Co. *
     546       2,009  
Orient-Express Hotels Ltd., Class A *
     1,743       14,571  
P.F. Chang’s China Bistro, Inc. *
     462       15,070  
Panera Bread Co. Class A *
     672       42,309  
Papa John’s International, Inc. *
     483       10,684  
Peet’s Coffee & Tea, Inc. *
     273       8,889  
Pinnacle Entertainment, Inc. *
     1,344       14,206  
Pre-Paid Legal Services, Inc. *
     147       5,598  
Red Robin Gourmet Burgers, Inc. *
     294       4,589  
Regis Corp.
     1,176       18,416  
Ruby Tuesday, Inc. *
     1,239       7,843  
Scientific Games Corp., Class A *
     1,554       21,989  
Service Corp. International
     5,418       41,827  
Shuffle Master, Inc. *
     1,197       9,779  
Sonic Corp. *
     1,344       12,956  
Sotheby’s
     1,533       29,081  
Speedway Motorsports, Inc.
     336       5,366  
Steiner Leisure Ltd. *
     294       11,628  
Stewart Enterprises, Inc., Class A
     1,722       8,059  
Texas Roadhouse, Inc. *
     1,092       11,226  
The Cheesecake Factory, Inc. *
     1,218       22,935  
The Marcus Corp.
     420       5,204  
The Steak n Shake Co. *
     609       6,991  
Universal Technical Institute, Inc. *
     462       8,727  
Vail Resorts, Inc. *
     630       24,438  
WMS Industries, Inc. *
     945       36,742  
 
             929,968  
 
                
Diversified Financials 2.6%
                
Advance America Cash Advance Centers, Inc.
     1,050       6,573  
AmeriCredit Corp. *
     1,281       23,634  
Artio Global Investors, Inc. *
     588       13,465  
Asset Acceptance Capital Corp. *
     231       1,349  
BGC Partners, Inc., Class A
     861       3,642  
Broadpoint Gleacher Securities, Inc. *
     1,890       10,244  
Calamos Asset Management, Inc., Class A
     483       5,076  
Cardtronics, Inc. *
     378       4,177  
Cash America International, Inc.
     651       20,936  
Cohen & Steers, Inc.
     462       8,843  
CompuCredit Holdings Corp. *
     903       2,095  
Credit Acceptance Corp. *
     147       5,085  
Dollar Financial Corp. *
     546       13,333  
Duff & Phelps Corp., Class A
     462       7,840  
E*TRADE Financial Corp. *
     25,368       41,604  
Encore Capital Group, Inc. *
     336       5,725  
Evercore Partners, Inc., Class A
     336       10,419  
EZCORP, Inc., Class A *
     987       14,578  
FBR Capital Markets Corp. *
     903       5,662  
Financial Federal Corp.
     609       16,504  
First Cash Financial Services, Inc. *
     609       11,632  
GAMCO Investors, Inc., Class A
     84       3,858  
GFI Group, Inc.
     1,428       6,940  
GLG Partners, Inc. *
     3,822       11,275  
Greenhill & Co., Inc.
     294       24,005  
Interactive Brokers Group, Inc., Class A *
     882       14,932  
Investment Technology Group, Inc. *
     966       17,630  
Janus Capital Group, Inc.
     4,095       53,604  
KBW, Inc. *
     777       19,106  
Knight Capital Group, Inc., Class A *
     2,121       31,051  
LaBranche & Co., Inc. *
     1,260       3,339  
Life Partners Holdings, Inc.
     126       2,345  
MarketAxess Holdings, Inc.
     672       8,366  
MF Global Ltd. *
     2,184       13,737  
Nelnet, Inc., Class A
     609       10,578  
NewStar Financial, Inc. *
     756       2,495  
optionsXpress Holdings, Inc.
     1,008       15,422  
Penson Worldwide, Inc. *
     546       4,898  
PHH Corp. *
     1,176       16,252  
PICO Holdings, Inc. *
     420       12,575  
Piper Jaffray Cos., Inc. *
     462       20,028  
Portfolio Recovery Associates, Inc. *
     357       16,076  
Pzena Investment Management, Inc., Class A *
     189       1,348  
Riskmetrics Group, Inc. *
     714       10,660  
Stifel Financial Corp. *
     630       33,844  
SWS Group, Inc.
     609       7,576  
The First Marblehead Corp. *
     1,428       2,956  
The Student Loan Corp.
     84       4,173  
Thomas Weisel Partners Group, Inc. *
     462       2,079  
TradeStation Group, Inc. *
     819       6,028  
Waddell & Reed Financial, Inc., Class A
     1,932       56,279  
Westwood Holdings Group, Inc.
     147       5,111  
World Acceptance Corp. *
     315       9,239  
 
             680,221  
 
                
Energy 7.3%
                
Allis-Chalmers Energy, Inc. *
     987       3,198  
Alon USA Energy, Inc.
     504       3,624  
Apco Oil & Gas International, Inc.
     315       6,921  
Arena Resources, Inc. *
     1,239       50,663  
Atlas Energy, Inc.
     1,365       35,080  
ATP Oil & Gas Corp. *
     1,092       17,417  

5

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Atwood Oceanics, Inc. *
     1,554       58,555  
Basic Energy Services, Inc. *
     672       4,623  
Berry Petroleum Co. Class A
     945       25,827  
Bill Barrett Corp. *
     903       25,781  
BP Prudhoe Bay Royalty Trust
     672       52,866  
BPZ Resources, Inc. *
     2,604       18,957  
Brigham Exploration Co. *
     1,869       19,512  
Bristow Group, Inc. *
     714       24,504  
Bronco Drilling Co., Inc. *
     945       4,980  
Cal Dive International, Inc. *
     1,449       10,520  
CARBO Ceramics, Inc.
     546       32,389  
Carrizo Oil & Gas, Inc. *
     693       14,588  
Cheniere Energy, Inc. *
     1,512       2,873  
Clayton Williams Energy, Inc. *
     273       7,718  
Clean Energy Fuels Corp. *
     1,113       13,022  
Complete Production Services, Inc. *
     1,533       15,928  
Comstock Resources, Inc. *
     1,134       42,105  
Contango Oil & Gas Co. *
     378       16,776  
Crosstex Energy, Inc.
     1,302       6,328  
CVR Energy, Inc. *
     1,617       11,853  
Dawson Geophysical Co. *
     252       5,453  
Delek US Holdings, Inc.
     609       4,184  
Delta Petroleum Corp. *
     5,124       4,663  
DHT Maritime, Inc.
     1,785       7,176  
Dresser-Rand Group, Inc. *
     2,394       67,224  
Dril-Quip, Inc. *
     756       40,832  
Encore Acquisition Co. *
     1,449       65,234  
ENGlobal Corp. *
     798       2,394  
Exterran Holdings, Inc. *
     1,575       32,996  
Frontier Oil Corp.
     2,625       30,266  
Gastar Exploration Ltd. *
     1,260       5,796  
General Maritime Corp.
     1,848       13,065  
Global Industries Ltd. *
     2,541       14,916  
GMX Resources, Inc. *
     567       6,623  
Goodrich Petroleum Corp. *
     672       14,871  
Gulf Island Fabrication, Inc.
     378       8,312  
GulfMark Offshore, Inc. *
     777       21,181  
Gulfport Energy Corp. *
     819       7,789  
Harvest Natural Resources, Inc. *
     1,029       6,123  
Helix Energy Solutions Group, Inc. *
     2,205       25,931  
Hercules Offshore, Inc. *
     2,751       14,058  
Holly Corp.
     1,134       28,860  
Hornbeck Offshore Services, Inc. *
     630       14,370  
Hugoton Royalty Trust
     1,092       17,570  
International Coal Group, Inc. *
     2,688       11,209  
ION Geophysical Corp. *
     2,457       13,366  
Isramco, Inc. *
     42       2,946  
James River Coal Co. *
     714       13,088  
Key Energy Services, Inc. *
     3,129       23,843  
Lufkin Industries, Inc.
     399       24,008  
Mariner Energy, Inc. *
     2,541       31,788  
Massey Energy Co.
     2,037       76,713  
Matrix Service Co. *
     840       7,190  
McMoRan Exploration Co. *
     2,100       15,246  
Newpark Resources, Inc. *
     2,730       7,316  
Oil States International, Inc. *
     1,197       42,936  
Overseas Shipholding Group, Inc.
     588       22,526  
Parker Drilling Co. *
     2,919       14,595  
Patriot Coal Corp. *
     1,848       22,638  
Penn Virginia Corp.
     1,092       19,787  
Petroleum Development Corp. *
     504       9,057  
PetroQuest Energy, Inc. *
     1,533       8,631  
PHI, Inc. *
     399       7,082  
Pioneer Drilling Co. *
     1,302       7,890  
Rentech, Inc. *
     5,901       9,029  
Resolute Energy Corp. *
     1,134       12,304  
Rosetta Resources, Inc. *
     1,407       22,160  
RPC, Inc.
     1,071       10,346  
SandRidge Energy, Inc. *
     3,570       33,487  
SEACOR Holdings, Inc. *
     588       45,041  
Seahawk Drilling, Inc. *
     336       7,234  
Ship Finance International Ltd.
     1,134       14,787  
Southern Union Co.
     2,583       53,520  
St. Mary Land & Exploration Co.
     1,533       49,639  
Stone Energy Corp. *
     1,029       19,458  
Superior Energy Services, Inc. *
     1,932       40,842  
Superior Well Services, Inc. *
     567       7,354  
Swift Energy Co. *
     903       19,387  
T-3 Energy Services, Inc. *
     357       8,911  
Teekay Corp.
     1,134       27,216  
Tesco Corp. *
     903       9,653  
TETRA Technologies, Inc. *
     1,806       18,710  
Unit Corp. *
     1,155       43,440  
USEC, Inc. *
     3,087       11,298  
VAALCO Energy, Inc.
     1,890       7,919  
Venoco, Inc. *
     567       6,322  
W&T Offshore, Inc.
     1,071       11,085  
Warren Resources, Inc. *
     1,743       4,166  
Western Refining, Inc. *
     1,491       6,933  
World Fuel Services Corp.
     735       39,087  
 
             1,907,678  
 
                
Food & Staples Retailing 0.8%
                
Arden Group, Inc., Class A
     21       1,953  
BJ’s Wholesale Club, Inc. *
     1,197       41,548  
Casey’s General Stores, Inc.
     1,092       33,404  
Ingles Markets, Inc., Class A
     252       3,934  
Nash Finch Co.
     273       8,957  
PriceSmart, Inc.
     294       5,524  
Rite Aid Corp. *
     13,419       17,176  
Ruddick Corp.
     924       24,597  
Spartan Stores, Inc.
     462       6,389  
Susser Holdings Corp. *
     210       2,226  
The Andersons, Inc.
     378       9,877  
The Great Atlantic & Pacific Tea Co., Inc. *
     735       8,173  
The Pantry, Inc. *
     483       7,139  
United Natural Foods, Inc. *
     861       21,706  
Village Super Market, Inc. Class A
     105       3,173  
Weis Markets, Inc.
     252       8,765  
Winn-Dixie Stores, Inc. *
     1,260       13,583  
 
             218,124  
 
                
Food, Beverage & Tobacco 1.8%
                
Alico, Inc.
     63       1,639  
Alliance One International, Inc. *
     1,806       8,615  
American Italian Pasta Co., Class A *
     462       14,733  
B&G Foods, Inc. Class A
     819       7,011  
Cal-Maine Foods, Inc.
     273       7,491  
Calavo Growers, Inc.
     252       4,254  
Central European Distribution Corp. *
     1,113       31,030  
Chiquita Brands International, Inc. *
     882       14,985  
Coca-Cola Bottling Co. Consolidated
     105       4,971  
Corn Products International, Inc.
     1,680       47,107  
Darling International, Inc. *
     1,743       12,410  
Del Monte Foods Co.
     4,284       44,939  

6

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Diamond Foods, Inc.
     357       11,024  
Dole Food Co., Inc. *
     714       8,204  
Farmer Brothers Co.
     147       2,562  
Fresh Del Monte Produce, Inc. *
     903       19,622  
Green Mountain Coffee Roasters, Inc. *
     861       54,226  
J&J Snack Foods Corp.
     315       11,371  
Lancaster Colony Corp.
     441       21,045  
Lance, Inc.
     672       16,363  
National Beverage Corp. *
     252       2,709  
Sanderson Farms, Inc.
     378       15,184  
Smart Balance, Inc. *
     1,365       7,357  
Star Scientific, Inc. *
     1,827       1,023  
The Boston Beer Co., Inc., Class A *
     210       8,839  
The Hain Celestial Group, Inc. *
     861       14,930  
Tootsie Roll Industries, Inc.
     525       13,345  
TreeHouse Foods, Inc. *
     672       23,433  
Universal Corp.
     525       22,528  
Vector Group Ltd.
     882       12,269  
 
             465,219  
 
                
Health Care Equipment & Services 6.7%
                
Abaxis, Inc. *
     504       11,325  
ABIOMED, Inc. *
     735       6,218  
Accuray, Inc. *
     924       4,777  
AGA Medical Holdings, Inc. *
     294       3,669  
Air Methods Corp. *
     231       7,963  
Align Technology, Inc. *
     1,302       21,301  
Alliance HealthCare Services, Inc. *
     651       3,854  
Allscripts-Misys Healthcare Solutions, Inc. *
     1,302       24,998  
Almost Family, Inc. *
     168       6,070  
Amedisys, Inc. *
     567       21,002  
American Medical Systems Holdings, Inc. *
     1,575       27,673  
AMERIGROUP Corp. *
     1,134       26,887  
AMN Healthcare Services, Inc. *
     735       5,873  
AmSurg Corp. *
     651       13,482  
Analogic Corp.
     273       11,059  
AngioDynamics, Inc. *
     546       8,490  
Assisted Living Concepts, Inc., Class A *
     210       4,912  
athenahealth, Inc. *
     714       29,917  
Bio-Reference Labs, Inc. *
     252       8,266  
Brookdale Senior Living, Inc. *
     1,260       19,631  
Cantel Medical Corp.,
     252       4,511  
CardioNet, Inc. *
     525       2,557  
Catalyst Health Solutions, Inc. *
     840       28,568  
Centene Corp. *
     945       17,785  
Chemed Corp.
     525       23,719  
Clarient, Inc. *
     1,260       3,213  
Computer Programs & Systems, Inc.
     231       10,670  
Conceptus, Inc. *
     546       9,244  
CONMED Corp. *
     630       13,098  
CorVel Corp. *
     147       4,394  
Cross Country Healthcare, Inc. *
     588       5,004  
CryoLife, Inc. *
     609       3,483  
Cyberonics, Inc. *
     525       9,450  
Dexcom, Inc. *
     987       7,156  
Eclipsys Corp. *
     1,239       22,723  
Emdeon, Inc. Class A *
     483       7,288  
Emergency Medical Services Corp., Class A *
     441       21,278  
Emeritus Corp. *
     441       6,897  
Ensign Group, Inc.
     294       4,066  
ev3, Inc. *
     1,533       19,469  
Genoptix, Inc. *
     378       13,702  
Gentiva Health Services, Inc. *
     630       14,899  
Greatbatch, Inc. *
     441       8,110  
Haemonetics Corp. *
     546       29,145  
Hanger Orthopedic Group, Inc. *
     693       9,245  
Health Management Associates, Inc., Class A *
     5,649       34,628  
Health Net, Inc. *
     2,268       48,127  
HEALTHSOUTH Corp. *
     1,911       33,519  
Healthspring, Inc. *
     1,092       18,084  
Healthways, Inc. *
     693       11,899  
Hill-Rom Holdings, Inc.
     1,386       30,741  
HMS Holdings Corp. *
     546       24,139  
ICU Medical, Inc. *
     273       9,009  
Immucor, Inc. *
     1,512       27,896  
Insulet Corp. *
     651       7,981  
Integra LifeSciences Holdings *
     483       15,813  
Invacare Corp.
     693       17,256  
inVentiv Health, Inc. *
     714       11,310  
IPC The Hospitalist Co. *
     315       9,910  
IRIS International, Inc. *
     420       4,704  
Kensey Nash Corp. *
     189       4,402  
Kindred Healthcare, Inc. *
     819       12,170  
Landauer, Inc.
     189       10,750  
LHC Group, Inc. *
     294       9,046  
LifePoint Hospitals, Inc. *
     1,260       36,578  
Magellan Health Services, Inc. *
     735       27,026  
MAKO Surgical Corp. *
     483       4,115  
Masimo Corp. *
     1,155       30,446  
MedAssets, Inc. *
     756       17,645  
MedCath Corp. *
     336       2,466  
Medidata Solutions, Inc. *
     105       1,780  
MEDNAX, Inc. *
     1,008       56,660  
MedQuist, Inc.
     315       2,230  
Meridian Bioscience, Inc.
     861       17,831  
Merit Medical Systems, Inc. *
     588       9,690  
Molina Healthcare, Inc. *
     252       5,267  
MWI Veterinary Supply, Inc. *
     231       8,568  
National Healthcare Corp.
     189       6,617  
Natus Medical, Inc. *
     567       7,552  
Neogen Corp. *
     336       10,933  
Nighthawk Radiology Holdings, Inc. *
     420       2,192  
NuVasive, Inc. *
     798       25,895  
Odyssey HealthCare, Inc. *
     714       10,374  
Omnicell, Inc. *
     651       6,640  
OraSure Technologies, Inc. *
     945       3,629  
Orthofix International N.V. *
     378       11,435  
Orthovita, Inc. *
     1,575       5,686  
Owens & Minor, Inc.
     903       35,027  
Palomar Medical Technologies, Inc. *
     441       4,035  
PharMerica Corp. *
     651       9,798  
Phase Forward, Inc. *
     882       13,459  
PSS World Medical, Inc. *
     1,281       24,787  
Psychiatric Solutions, Inc. *
     1,449       32,110  
Quality Systems, Inc.
     420       24,986  
Quidel Corp. *
     609       7,655  
RehabCare Group, Inc. *
     525       14,789  
Res-Care, Inc. *
     588       7,544  
RTI Biologics, Inc. *
     1,029       4,198  
Select Medical Holdings Corp. *
     735       6,652  
Sirona Dental Systems, Inc. *
     420       12,222  
Skilled Healthcare Group, Inc., Class A *
     483       3,280  

7

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
SonoSite, Inc. *
     378       8,539  
STERIS Corp.
     1,176       37,997  
Sun Healthcare Group, Inc. *
     945       7,995  
SurModics, Inc. *
     336       7,510  
Symmetry Medical, Inc. *
     693       5,558  
Synovis Life Technologies, Inc. *
     210       2,554  
Tenet Healthcare Corp. *
     10,752       48,922  
The Cooper Cos., Inc.
     987       33,055  
Thoratec Corp. *
     1,239       36,910  
TomoTherapy, Inc. *
     1,281       4,381  
TranS1, Inc. *
     525       1,759  
Triple-S Management Corp., Class B *
     441       7,082  
Universal American Financial Corp. *
     861       8,920  
VCA Antech, Inc. *
     1,827       41,418  
Virtual Radiologic Corp. *
     210       2,749  
Volcano Corp. *
     840       12,373  
WellCare Health Plans, Inc. *
     882       29,097  
West Pharmaceutical Services, Inc.
     714       27,525  
Wright Medical Group, Inc. *
     819       14,742  
Zoll Medical Corp. *
     462       11,370  
 
             1,770,678  
 
                
Household & Personal Products 0.9%
                
Bare Escentuals, Inc. *
     1,491       19,070  
Central Garden and Pet Co., Class A *
     1,407       11,608  
Chattem, Inc. *
     399       26,270  
Elizabeth Arden, Inc. *
     567       8,363  
Herbalife Ltd.
     1,386       58,129  
Inter Parfums, Inc.
     252       2,971  
NBTY, Inc. *
     1,218       48,891  
Nu Skin Enterprises, Inc., Class A
     1,113       29,806  
Prestige Brands Holdings, Inc. *
     756       5,269  
Revlon, Inc. Class A *
     147       2,661  
USANA Health Sciences, Inc. *
     210       6,739  
WD-40 Co.
     315       10,127  
 
             229,904  
 
                
Insurance 3.7%
                
Ambac Financial Group, Inc.
     5,880       4,528  
American Equity Investment Life Holding Co.
     1,134       8,301  
American National Insurance Co.
     336       36,463  
American Physicians Capital, Inc.
     231       6,302  
AMERISAFE, Inc. *
     399       6,739  
AmTrust Financial Services, Inc.
     525       6,274  
Argo Group International Holdings Ltd. *
     672       19,602  
Arthur J. Gallagher & Co.
     2,247       50,333  
Aspen Insurance Holdings Ltd.
     1,638       42,441  
Assured Guaranty Ltd.
     2,730       61,916  
Baldwin & Lyons, Inc., Class B
     231       5,355  
Citizens, Inc. *
     798       4,908  
CNA Surety Corp. *
     357       4,802  
Conseco, Inc. *
     4,095       19,615  
Crawford & Co., Class B *
     483       1,855  
Delphi Financial Group, Inc., Class A
     987       21,576  
Donegal Group, Inc., Class A
     252       3,687  
eHealth, Inc. *
     819       10,868  
EMC Insurance Group, Inc.
     147       3,053  
Employers Holdings, Inc.
     987       15,111  
Endurance Specialty Holdings Ltd.
     1,092       40,830  
Enstar Group Ltd. *
     147       10,815  
Erie Indemnity Co., Class A
     672       24,844  
FBL Financial Group, Inc., Class A
     273       4,813  
First Mercury Financial Corp.
     378       4,899  
Flagstone Reinsurance Holdings Ltd.
     819       8,853  
FPIC Insurance Group, Inc. *
     147       5,155  
Greenlight Capital Re Ltd., Class A *
     651       15,787  
Harleysville Group, Inc.
     273       8,591  
Hilltop Holdings, Inc. *
     1,029       12,502  
Horace Mann Educators Corp.
     945       11,359  
Infinity Property & Casualty Corp.
     294       11,748  
Kansas City Life Insurance Co.
     84       2,260  
Maiden Holdings Ltd.
     1,323       9,975  
Max Capital Group Ltd.
     1,008       21,964  
MBIA, Inc. *
     3,633       12,570  
Meadowbrook Insurance Group, Inc.
     1,197       8,199  
Mercury General Corp.
     567       20,945  
Montpelier Re Holdings Ltd.
     1,743       29,178  
National Financial Partners Corp. *
     945       8,259  
National Interstate Corp.
     231       4,052  
National Western Life Insurance Co., Class A
     42       7,167  
OneBeacon Insurance Group Ltd., Class A
     525       7,350  
Platinum Underwriters Holdings Ltd.
     1,092       38,537  
PMA Capital Corp., Class A *
     693       4,414  
Presidential Life Corp.
     483       4,922  
ProAssurance Corp. *
     714       38,021  
Protective Life Corp.
     1,869       30,913  
RLI Corp.
     420       21,181  
Safety Insurance Group, Inc.
     315       11,220  
Seabright Insurance Holdings, Inc. *
     441       4,851  
Selective Insurance Group, Inc.
     1,134       17,690  
StanCorp Financial Group, Inc.
     1,050       38,965  
State Auto Financial Corp.
     273       4,431  
Stewart Information Services Corp.
     357       3,702  
The Navigators Group, Inc. *
     294       13,703  
The Phoenix Cos., Inc. *
     2,352       5,833  
Tower Group, Inc.
     798       19,695  
United America Indemnity Ltd., Class A *
     588       4,045  
United Fire & Casualty Co.
     462       7,965  
Unitrin, Inc.
     966       21,551  
Validus Holdings Ltd.
     1,680       44,520  
Zenith National Insurance Corp.
     798       22,815  
 
             984,818  
 
                
Materials 5.9%
                
A. Schulman, Inc.
     525       8,568  
A.M. Castle & Co.
     399       5,227  
AK Steel Holding Corp.
     2,415       48,300  
Allied Nevada Gold Corp. *
     1,365       17,745  
AMCOL International Corp.
     546       14,879  
American Vanguard Corp.
     399       2,933  
Arch Chemicals, Inc.
     546       14,638  
Ashland, Inc.
     1,596       57,344  
Balchem Corp.
     399       12,720  
Brush Engineered Materials, Inc. *
     462       8,177  
Buckeye Technologies, Inc. *
     882       8,538  
Bway Holding Co. *
     252       4,012  
Cabot Corp.
     1,134       26,003  
Calgon Carbon Corp. *
     1,134       15,865  
Carpenter Technology Corp.
     1,008       23,365  
Century Aluminum Co. *
     1,029       10,033  
Clearwater Paper Corp. *
     231       11,349  

8

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Coeur d’Alene Mines Corp. *
     1,743       39,758  
Commercial Metals Co.
     2,478       39,400  
Compass Minerals International, Inc.
     693       45,107  
Cytec Industries, Inc.
     1,113       37,820  
Deltic Timber Corp.
     252       9,631  
Domtar Corp. *
     945       53,317  
Eagle Materials, Inc.
     945       25,477  
Ferro Corp.
     1,743       11,277  
Glatfelter
     966       10,742  
Graphic Packaging Holding Co. *
     1,680       4,536  
Greif, Inc., Class A
     756       42,230  
H.B. Fuller Co.
     1,050       21,378  
Haynes International, Inc.
     273       7,316  
Headwaters, Inc. *
     1,134       5,341  
Hecla Mining Co. *
     5,586       36,923  
Horsehead Holding Corp. *
     966       10,839  
Huntsman Corp.
     3,654       34,786  
Innophos Holdings, Inc.
     378       9,363  
Kaiser Aluminum Corp.
     336       12,983  
Koppers Holdings, Inc.
     441       12,458  
Kronos Worldwide, Inc.
     126       1,658  
Louisiana-Pacific Corp. *
     2,751       17,166  
LSB Industries, Inc. *
     357       4,363  
Minerals Technologies, Inc.
     399       21,083  
Myers Industries, Inc.
     693       5,731  
Nalco Holding Co.
     2,982       72,940  
Neenah Paper, Inc.
     336       4,680  
NewMarket Corp.
     252       26,389  
NL Industries, Inc.
     126       859  
Olin Corp.
     1,491       25,004  
Olympic Steel, Inc.
     231       6,406  
OM Group, Inc. *
     693       21,227  
Packaging Corp. of America
     2,247       44,760  
PolyOne Corp. *
     1,869       13,419  
Rock-Tenn Co., Class A
     840       37,943  
Rockwood Holdings, Inc. *
     1,197       26,944  
Royal Gold, Inc.
     903       48,599  
RPM International, Inc.
     2,856       55,978  
RTI International Metals, Inc. *
     609       12,064  
Schnitzer Steel Industries, Inc., Class A
     483       21,551  
Schweitzer-Mauduit International, Inc.
     378       23,270  
Sensient Technologies Corp.
     1,071       27,139  
Silgan Holdings, Inc.
     546       29,249  
Solutia, Inc. *
     2,709       29,176  
Spartech Corp.
     651       7,076  
Stepan Co.
     189       11,854  
Stillwater Mining Co. *
     1,071       10,196  
STR Holdings, Inc. *
     273       3,631  
Temple-Inland, Inc.
     2,394       43,068  
Texas Industries, Inc.
     525       18,239  
Titanium Metals Corp.
     1,911       18,670  
US Gold Corp. *
     1,932       5,487  
Valhi, Inc.
     252       2,608  
W.R. Grace & Co. *
     1,323       30,244  
Wausau Paper Corp.
     1,113       11,297  
Westlake Chemical Corp.
     504       13,180  
Worthington Industries, Inc.
     1,365       15,984  
Zep, Inc.
     441       7,797  
Zoltek Cos., Inc. *
     630       5,657  
 
             1,542,964  
 
                
Media 1.7%
                
Arbitron, Inc.
     567       12,208  
Ascent Media Corp., Class A *
     294       6,733  
Belo Corp. Class A
     2,100       9,891  
Cinemark Holdings, Inc.
     819       10,360  
CKX, Inc. *
     1,449       7,912  
Dolan Media Co. *
     609       7,156  
Fisher Communications, Inc. *
     210       3,381  
Gannett Co., Inc.
     5,355       52,961  
Harte-Hanks, Inc.
     882       8,476  
Journal Communications, Inc., Class A
     1,008       3,518  
Knology, Inc. *
     630       6,212  
Lamar Advertising Co., Class A *
     1,302       36,039  
Liberty Media Corp. — Capital, Series A *
     1,890       41,750  
Live Nation, Inc. *
     1,827       13,081  
Martha Stewart Living Omnimedia, Class A *
     546       2,512  
Mediacom Communications Corp., Class A *
     840       3,394  
Meredith Corp.
     819       21,581  
Morningstar, Inc. *
     462       21,418  
National CineMedia, Inc.
     945       13,806  
PRIMEDIA, Inc.
     462       1,451  
RCN Corp. *
     819       7,019  
Regal Entertainment Group, Class A
     1,680       23,016  
Scholastic Corp.
     588       14,823  
Sinclair Broadcast Group, Inc., Class A
     1,155       4,239  
Sirius XM Radio, Inc. *
     84,294       53,105  
The E.W. Scripps Co., Class A *
     609       3,837  
The New York Times Co., Class A
     2,268       19,142  
Valassis Communications, Inc. *
     1,134       16,817  
Value Line, Inc.
     21       556  
Warner Music Group Corp. *
     1,113       5,576  
World Wrestling Entertainment, Inc., Class A
     588       9,449  
 
             441,419  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 4.8%
                
Abraxis BioScience, Inc. *
     126       4,217  
Acorda Therapeutics, Inc. *
     798       19,216  
Acura Pharmaceuticals, Inc. *
     315       1,326  
Affymax, Inc. *
     168       3,424  
Affymetrix, Inc. *
     1,596       7,565  
Akorn, Inc. *
     1,155       1,871  
Albany Molecular Research, Inc. *
     462       3,876  
Alkermes, Inc. *
     2,037       18,292  
Allos Therapeutics, Inc. *
     1,848       11,957  
Alnylam Pharmaceuticals, Inc. *
     798       13,414  
AMAG Pharmaceuticals, Inc. *
     357       13,348  
Amicus Therapeutics, Inc. *
     273       917  
Ardea Biosciences, Inc. *
     315       4,240  
Arena Pharmaceuticals, Inc. *
     2,247       8,157  
ARIAD Pharmaceuticals, Inc. *
     2,268       5,126  
ArQule, Inc. *
     882       3,166  
Array Biopharma, Inc. *
     609       1,047  
Auxilium Pharmaceuticals, Inc. *
     903       31,488  
Bio-Rad Laboratories, Inc., Class A *
     420       40,610  
BioCryst Pharmaceuticals, Inc. *
     588       4,769  
Biodel, Inc. *
     504       1,905  
BioMarin Pharmaceutical, Inc. *
     2,226       36,751  
Bruker Corp. *
     1,113       12,610  
Cadence Pharmaceuticals, Inc. *
     672       5,772  
Cambrex Corp. *
     651       3,444  
Caraco Pharmaceutical Laboratories Ltd. *
     252       1,038  

9

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Celera Corp. *
     1,659       10,352  
Cell Therapeutics, Inc. *
     10,731       11,053  
Cepheid, Inc. *
     1,260       15,599  
Clinical Data, Inc. *
     378       5,901  
Cubist Pharmaceuticals, Inc. *
     1,260       21,017  
Cumberland Pharmaceuticals, Inc. *
     210       3,013  
Cypress Bioscience, Inc. *
     882       4,675  
Dionex Corp. *
     378       26,502  
Durect Corp. *
     2,352       5,292  
Emergent Biosolutions, Inc. *
     357       5,127  
Enzo Biochem, Inc. *
     777       4,025  
Enzon Pharmaceuticals, Inc. *
     882       8,564  
eResearchTechnology, Inc. *
     1,071       6,319  
Exelixis, Inc. *
     2,457       16,806  
Facet Biotech Corp. *
     504       8,276  
Genomic Health, Inc. *
     378       7,186  
Geron Corp. *
     2,079       10,790  
GTx, Inc. *
     294       1,147  
Halozyme Therapeutics, Inc. *
     1,680       9,173  
Human Genome Sciences, Inc. *
     3,570       99,317  
Idenix Pharmaceuticals, Inc. *
     483       903  
ImmunoGen, Inc. *
     1,176       9,267  
Immunomedics, Inc. *
     1,449       4,492  
Impax Laboratories, Inc. *
     1,197       13,646  
Incyte Corp. *
     2,436       20,292  
Inspire Pharmaceuticals, Inc. *
     1,554       9,044  
InterMune, Inc. *
     819       8,796  
Isis Pharmaceuticals, Inc. *
     2,037       21,816  
Kendle International, Inc. *
     294       4,401  
Lexicon Pharmaceuticals, Inc. *
     2,268       3,538  
Ligand Pharmaceuticals, Inc., Class B *
     2,352       4,657  
Luminex Corp. *
     903       12,371  
MannKind Corp. *
     1,407       10,215  
MAP Pharmaceuticals, Inc. *
     357       3,231  
Martek Biosciences Corp. *
     714       12,424  
Maxygen, Inc. *
     651       3,541  
Medicis Pharmaceutical Corp., Class A
     1,302       30,714  
Medivation, Inc. *
     714       21,920  
Metabolix, Inc. *
     483       5,395  
Micromet, Inc. *
     1,470       10,040  
Momenta Pharmaceuticals, Inc. *
     840       8,358  
Nabi Biopharmaceuticals *
     987       4,876  
Nektar Therapeutics *
     1,974       17,194  
Neurocrine Biosciences, Inc. *
     735       1,492  
Novavax, Inc. *
     1,596       4,788  
NPS Pharmaceuticals, Inc. *
     1,239       3,903  
Onyx Pharmaceuticals, Inc. *
     1,323       37,851  
Opko Health, Inc. *
     2,940       5,145  
Optimer Pharmaceuticals, Inc. *
     651       7,148  
Orexigen Therapeutics, Inc. *
     840       5,603  
Osiris Therapeutics, Inc. *
     441       2,972  
Pain Therapeutics, Inc. *
     672       3,454  
Par Pharmaceutical Cos., Inc. *
     777       18,430  
PAREXEL International Corp. *
     1,302       15,637  
PDL BioPharma, Inc.
     2,604       16,926  
Pharmasset, Inc. *
     504       10,075  
POZEN, Inc. *
     525       3,706  
Progenics Pharmaceuticals, Inc. *
     525       2,032  
Questcor Pharmaceuticals, Inc. *
     1,113       4,786  
Regeneron Pharmaceuticals, Inc. *
     1,386       25,433  
Rigel Pharmaceuticals, Inc. *
     1,029       7,790  
Salix Pharmaceuticals Ltd. *
     1,071       24,419  
Sangamo BioSciences, Inc. *
     798       4,317  
Savient Pharmaceuticals, Inc. *
     1,386       18,614  
Seattle Genetics, Inc. *
     1,722       15,980  
Sequenom, Inc. *
     1,113       4,563  
SIGA Technologies, Inc. *
     630       5,701  
StemCells, Inc. *
     2,604       2,708  
Sucampo Pharmaceuticals, Inc., Class A *
     378       1,251  
Synta Pharmaceuticals Corp. *
     546       2,173  
Targacept, Inc. *
     294       6,883  
The Medicines Co. *
     1,407       11,031  
Theravance, Inc. *
     1,155       15,200  
United Therapeutics Corp. *
     1,029       46,912  
Valeant Pharmaceuticals International *
     1,533       50,114  
Vanda Pharmaceuticals, Inc. *
     462       4,879  
Varian, Inc. *
     609       31,175  
ViroPharma, Inc. *
     1,953       14,765  
VIVUS, Inc. *
     1,827       14,835  
XenoPort, Inc. *
     756       12,451  
ZymoGenetics, Inc. *
     924       5,646  
 
             1,251,599  
 
                
Real Estate 8.3%
                
Acadia Realty Trust
     819       13,325  
Alexander’s, Inc. *
     63       17,549  
Alexandria Real Estate Equities, Inc.
     945       53,270  
American Campus Communities, Inc.
     1,113       29,995  
American Capital Agency Corp.
     273       7,226  
Anworth Mortgage Asset Corp.
     2,415       17,388  
Apartment Investment & Management Co., Class A
     2,646       35,747  
ARMOUR Residential REIT, Inc. *
     546       4,122  
Ashford Hospitality Trust *
     2,142       8,932  
Avatar Holdings, Inc. *
     189       2,892  
BioMed Realty Trust, Inc.
     2,079       28,462  
Brandywine Realty Trust
     2,814       27,633  
BRE Properties, Inc.
     1,134       35,528  
Camden Property Trust
     1,386       53,708  
CapLease, Inc.
     1,029       4,435  
Capstead Mortgage Corp.
     1,449       20,692  
CBL & Associates Properties, Inc.
     3,087       28,586  
Cedar Shopping Centers, Inc.
     966       5,835  
Chimera Investment Corp.
     14,070       56,702  
Colonial Properties Trust
     1,323       14,302  
Corporate Office Properties Trust
     1,260       43,079  
Cousins Properties, Inc.
     1,722       12,398  
CreXus Investment Corp. *
     294       3,910  
DCT Industrial Trust, Inc.
     4,431       21,047  
Developers Diversified Realty Corp.
     2,793       28,265  
DiamondRock Hospitality Co. *
     2,436       19,585  
Douglas Emmett, Inc.
     2,709       37,167  
Duke Realty Corp.
     4,893       54,851  
DuPont Fabros Technology, Inc.
     924       14,812  
EastGroup Properties, Inc.
     546       20,704  
Education Realty Trust, Inc.
     1,092       5,405  
Entertainment Properties Trust
     756       23,882  
Equity Lifestyle Properties, Inc.
     588       28,230  
Equity One, Inc.
     840       13,566  
Essex Property Trust, Inc.
     588       46,893  
Extra Space Storage, Inc.
     1,974       21,694  
FelCor Lodging Trust, Inc. *
     1,260       4,246  
First Industrial Realty Trust, Inc.
     1,134       5,058  
First Potomac Realty Trust
     588       6,956  
Forest City Enterprises, Inc., Class A
     2,730       29,293  
Forestar Group, Inc. *
     798       14,803  

10

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Franklin Street Properties Corp.
     1,680       18,967  
Getty Realty Corp.
     378       8,592  
Government Properties Income Trust
     252       6,292  
Hatteras Financial Corp.
     756       23,134  
Healthcare Realty Trust, Inc.
     1,281       28,297  
Highwoods Properties, Inc.
     1,575       48,211  
Home Properties, Inc.
     756       33,967  
Hospitality Properties Trust
     2,709       52,582  
HRPT Properties Trust
     4,998       30,688  
Inland Real Estate Corp.
     1,575       12,364  
Invesco Mortgage Capital
     147       3,116  
Investors Real Estate Trust
     1,533       13,506  
iStar Financial, Inc. *
     2,163       5,256  
Jones Lang LaSalle, Inc.
     924       47,004  
Kilroy Realty Corp.
     924       27,840  
Kite Realty Group Trust
     1,386       4,394  
LaSalle Hotel Properties
     1,428       26,604  
Lexington Realty Trust
     2,142       10,410  
LTC Properties, Inc.
     483       12,418  
Mack-Cali Realty Corp.
     1,722       52,848  
Medical Properties Trust, Inc.
     1,890       18,295  
MFA Financial, Inc.
     6,006       45,465  
Mid-America Apartment Communities, Inc.
     588       27,348  
National Health Investors, Inc.
     546       18,013  
National Retail Properties, Inc.
     1,827       36,613  
NorthStar Realty Finance Corp.
     1,218       4,129  
OMEGA Healthcare Investors, Inc.
     1,848       33,430  
Parkway Properties, Inc.
     483       9,018  
Pennsylvania Real Estate Investment Trust
     798       5,897  
Pennymac Mortgage Investment Trust *
     357       6,326  
Post Properties, Inc.
     966       17,803  
Potlatch Corp.
     882       25,966  
PS Business Parks, Inc.
     420       19,967  
RAIT Financial Trust
     1,176       1,823  
Ramco-Gershenson Properties Trust
     567       5,160  
Redwood Trust, Inc.
     1,512       21,727  
Saul Centers, Inc.
     147       4,536  
Senior Housing Properties Trust
     2,751       57,138  
SL Green Realty Corp.
     1,680       74,626  
Sovran Self Storage, Inc.
     567       18,325  
Starwood Property Trust, Inc.
     882       17,111  
Sun Communities, Inc.
     399       7,581  
Sunstone Hotel Investors, Inc. *
     2,058       16,670  
Tanger Factory Outlet Centers, Inc.
     840       32,970  
Taubman Centers, Inc.
     1,176       40,407  
Tejon Ranch Co. *
     252       6,706  
The Macerich Co.
     1,932       57,496  
U-Store-It Trust
     1,701       11,074  
UDR, Inc.
     3,213       48,099  
Universal Health Realty Income Trust
     210       6,443  
Urstadt Biddle Properties
     147       2,009  
Urstadt Biddle Properties, Class A
     357       4,898  
Walter Investment Management Corp.
     525       6,395  
Washington Real Estate Investment Trust
     1,281       33,434  
Weingarten Realty Investors
     2,667       51,766  
 
             2,183,327  
 
                
Retailing 4.8%
                
1-800-FLOWERS.COM, Inc., Class A *
     525       1,176  
99 Cents Only Stores *
     798       9,592  
Aaron’s, Inc.
     1,071       26,850  
Aeropostale, Inc. *
     1,512       47,628  
AnnTaylor Stores Corp. *
     1,323       18,496  
Asbury Automotive Group, Inc. *
     735       7,835  
Audiovox Corp., Class A *
     420       3,095  
Barnes & Noble, Inc.
     861       20,096  
bebe stores, Inc.
     777       4,196  
Big 5 Sporting Goods Corp.
     399       6,520  
Big Lots, Inc. *
     1,764       40,678  
Blockbuster, Inc., Class A *
     3,402       2,143  
Blue Nile, Inc. *
     336       18,779  
Brown Shoe Co., Inc.
     924       9,480  
Cabela’s, Inc. *
     966       11,650  
Charming Shoppes, Inc. *
     2,289       11,033  
Chico’s FAS, Inc. *
     3,969       55,844  
Christopher & Banks Corp.
     756       4,317  
Citi Trends, Inc. *
     273       7,447  
Coldwater Creek, Inc. *
     1,365       5,788  
Collective Brands, Inc. *
     1,428       27,618  
Conn’s, Inc. *
     189       1,081  
Core-Mark Holding Co., Inc. *
     210       6,317  
Dick’s Sporting Goods, Inc. *
     1,869       38,800  
Dillard’s, Inc., Class A
     1,197       20,337  
DSW, Inc. Class A *
     336       7,842  
Foot Locker, Inc.
     3,381       32,086  
Fred’s, Inc. Class A
     798       7,796  
Gaiam, Inc. Class A *
     357       2,531  
Genesco, Inc. *
     483       12,626  
Group 1 Automotive, Inc.
     546       13,781  
hhgregg, Inc. *
     420       8,127  
Hibbett Sports, Inc. *
     672       12,708  
Hot Topic, Inc. *
     945       5,424  
HSN, Inc. *
     882       15,805  
J. Crew Group, Inc. *
     1,155       49,422  
Jo-Ann Stores, Inc. *
     567       18,915  
Jos. A. Bank Clothiers, Inc. *
     399       16,283  
LKQ Corp. *
     3,108       54,172  
Lumber Liquidators, Inc. *
     357       8,432  
Monro Muffler Brake, Inc.
     441       13,221  
New York & Co., Inc. *
     588       2,223  
NutriSystem, Inc.
     672       16,598  
Office Depot, Inc. *
     6,090       37,393  
OfficeMax, Inc. *
     1,722       18,219  
Orbitz Worldwide, Inc. *
     840       4,973  
Overstock.com, Inc. *
     336       4,912  
Pacific Sunwear Of California, Inc. *
     1,512       5,050  
Penske Automotive Group, Inc.
     903       13,346  
PetMed Express, Inc.
     462       7,586  
RadioShack Corp.
     2,772       52,280  
Rent-A-Center, Inc. *
     1,386       24,518  
Retail Ventures, Inc. *
     294       2,290  
Rue21, Inc. *
     147       3,632  
Saks, Inc. *
     3,108       18,990  
Sally Beauty Holdings, Inc. *
     1,848       12,899  
Shutterfly, Inc. *
     399       5,722  
Signet Jewelers Ltd. *
     1,848       47,771  
Sonic Automotive, Inc. Class A
     798       7,062  
Stage Stores, Inc.
     861       10,409  
Stamps.com, Inc. *
     252       2,245  
Stein Mart, Inc. *
     546       5,607  
Systemax, Inc. *
     84       1,294  
The Buckle, Inc.
     588       16,076  
The Cato Corp., Class A
     609       11,650  

11

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
The Children’s Place Retail Stores, Inc. *
     525       16,758  
The Dress Barn, Inc. *
     1,244       26,709  
The Finish Line, Inc., Class A
     1,071       9,478  
The Gymboree Corp. *
     630       25,150  
The Men’s Wearhouse, Inc.
     1,071       21,848  
The Pep Boys-Manny, Moe & Jack
     1,029       8,325  
The Talbots, Inc.
     525       3,470  
The Wet Seal, Inc., Class A *
     1,953       5,683  
Ticketmaster Entertainment, Inc. *
     903       9,509  
Tractor Supply Co. *
     798       37,259  
Ulta Salon, Cosmetics & Fragrance, Inc. *
     756       12,421  
Vitacost.com, Inc. *
     252       2,016  
Vitamin Shoppe, Inc. *
     189       3,497  
Williams-Sonoma, Inc.
     2,121       43,099  
Zumiez, Inc. *
     462       5,050  
 
             1,248,984  
 
                
Semiconductors & Semiconductor Equipment 3.7%
                
Actel Corp. *
     546       6,366  
Advanced Analogic Technologies, Inc. *
     903       2,890  
Advanced Energy Industries, Inc. *
     714       7,804  
Amkor Technology, Inc. *
     2,772       15,385  
ANADIGICS, Inc. *
     1,470       4,528  
Applied Micro Circuits Corp. *
     1,407       10,454  
Atheros Communications *
     1,344       38,264  
Atmel Corp. *
     8,736       34,682  
ATMI, Inc. *
     672       10,450  
Brooks Automation, Inc. *
     1,302       9,544  
Cabot Microelectronics Corp. *
     525       16,060  
Cavium Networks, Inc. *
     777       15,672  
Cirrus Logic, Inc. *
     1,386       7,526  
Cohu, Inc.
     546       6,432  
Cymer, Inc. *
     651       21,769  
Cypress Semiconductor Corp. *
     3,234       30,949  
Diodes, Inc. *
     693       12,155  
DSP Group, Inc. *
     483       3,038  
Entegris, Inc. *
     2,898       12,085  
Exar Corp. *
     861       6,044  
Fairchild Semiconductor International, Inc. *
     2,646       21,433  
FEI Co. *
     819       20,000  
FormFactor, Inc. *
     1,050       17,797  
Hittite Microwave Corp. *
     420       15,842  
Integrated Device Technology, Inc. *
     3,549       20,087  
International Rectifier Corp. *
     1,575       29,484  
Intersil Corp., Class A
     2,646       34,186  
IXYS Corp. *
     483       3,111  
Kulicke & Soffa Industries, Inc. *
     1,470       6,674  
Lattice Semiconductor Corp. *
     2,499       5,473  
Micrel, Inc.
     903       6,456  
Microsemi Corp. *
     1,722       26,226  
MKS Instruments, Inc. *
     903       13,680  
Monolithic Power Systems, Inc. *
     714       15,351  
Netlogic Microsystems, Inc. *
     441       17,993  
Novellus Systems, Inc. *
     2,142       44,318  
OmniVision Technologies, Inc. *
     1,071       14,951  
PMC-Sierra, Inc. *
     4,788       37,969  
Power Integrations, Inc.
     588       19,751  
Rambus, Inc. *
     2,352       41,913  
RF Micro Devices, Inc. *
     5,019       21,682  
Rubicon Technology, Inc. *
     294       5,121  
Semtech Corp. *
     1,323       21,194  
Sigma Designs, Inc. *
     567       6,623  
Silicon Image, Inc. *
     1,680       3,679  
Silicon Laboratories, Inc. *
     987       41,681  
Silicon Storage Technology, Inc. *
     1,995       4,549  
Skyworks Solutions, Inc. *
     3,570       43,947  
Standard Microsystems Corp. *
     504       9,697  
Supertex, Inc. *
     210       5,023  
Teradyne, Inc. *
     3,843       34,049  
Tessera Technologies, Inc. *
     1,092       25,848  
Trident Microsystems, Inc. *
     1,554       2,937  
TriQuint Semiconductor, Inc. *
     3,213       17,479  
Ultratech, Inc. *
     462       6,089  
Veeco Instruments, Inc. *
     756       20,646  
Volterra Semiconductor Corp. *
     567       9,350  
Zoran Corp. *
     1,050       9,597  
 
             973,983  
 
                
Software & Services 6.5%
                
ACI Worldwide, Inc. *
     777       12,805  
Acxiom Corp. *
     1,701       19,630  
Advent Software, Inc. *
     315       11,945  
Ancestry.com, Inc. *
     252       3,314  
ArcSight, Inc. *
     420       9,555  
Ariba, Inc. *
     1,932       20,943  
Art Technology Group, Inc. *
     2,814       11,369  
Blackbaud, Inc.
     966       21,503  
Blackboard, Inc. *
     630       26,290  
Bottomline Technologies, Inc. *
     525       8,447  
CACI International, Inc., Class A *
     630       29,245  
Cadence Design Systems, Inc. *
     5,838       35,028  
Cass Information Systems, Inc.
     168       4,731  
CIBER, Inc. *
     1,176       3,728  
CommVault Systems, Inc. *
     840       17,472  
Compuware Corp. *
     5,166       35,852  
comScore, Inc. *
     441       7,060  
Concur Technologies, Inc. *
     924       34,243  
Constant Contact, Inc. *
     567       10,127  
Convergys Corp. *
     2,478       27,704  
CSG Systems International, Inc. *
     714       13,823  
CyberSource Corp. *
     1,533       26,322  
DealerTrack Holdings, Inc. *
     819       13,972  
Deltek, Inc. *
     756       5,753  
DemandTec, Inc. *
     378       3,334  
Dice Holdings, Inc. *
     630       3,389  
Digital River, Inc. *
     819       20,663  
DivX, Inc. *
     672       3,414  
EarthLink, Inc. *
     2,331       19,184  
Ebix, Inc. *
     168       8,721  
Echo Global Logistics, Inc. *
     126       1,598  
Epicor Software Corp. *
     1,029       7,718  
EPIQ Systems, Inc. *
     714       9,246  
Euronet Worldwide, Inc. *
     1,071       22,748  
Exlservice Holdings, Inc. *
     336       5,450  
Fair Isaac Corp.
     1,029       18,779  
FalconStor Software, Inc. *
     588       2,270  
Forrester Research, Inc. *
     357       8,943  
Gartner, Inc. *
     1,386       26,223  
Global Cash Access Holdings, Inc. *
     672       5,000  
GSI Commerce, Inc. *
     567       12,667  
Heartland Payment Systems, Inc.
     588       6,286  
i2 Technologies, Inc. *
     336       6,182  
iGate Corp.
     525       5,014  

12

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
infoGROUP, Inc. *
     945       7,655  
Informatica Corp. *
     1,890       42,430  
InfoSpace, Inc. *
     861       7,043  
Integral Systems, Inc. *
     399       3,547  
Internap Network Services Corp. *
     966       3,594  
Internet Brands, Inc., Class A *
     588       4,063  
j2 Global Communications, Inc. *
     945       18,787  
Jack Henry & Associates, Inc.
     1,827       41,747  
JDA Software Group, Inc. *
     756       17,751  
Kenexa Corp. *
     420       4,557  
Lawson Software, Inc. *
     2,730       17,881  
Limelight Networks, Inc. *
     777       2,665  
Lionbridge Technologies, Inc. *
     1,281       2,549  
Liquidity Services, Inc. *
     294       2,417  
LogMeIn, Inc. *
     168       2,995  
LoopNet, Inc. *
     672       6,848  
Manhattan Associates, Inc. *
     525       12,369  
Marchex, Inc. Class B
     735       3,410  
MAXIMUS, Inc.
     357       16,597  
Mentor Graphics Corp. *
     2,058       15,167  
MICROS Systems, Inc. *
     1,722       48,319  
MicroStrategy, Inc., Class A *
     189       16,551  
ModusLink Global Solutions, Inc. *
     1,029       8,314  
MoneyGram International, Inc. *
     1,827       4,531  
Monotype Imaging Holdings, Inc. *
     462       3,576  
Move, Inc. *
     3,297       5,077  
NCI, Inc. Class A *
     147       3,699  
NetScout Systems, Inc. *
     546       6,874  
NetSuite, Inc. *
     546       7,622  
NeuStar, Inc. Class A *
     1,575       36,855  
NIC, Inc.
     1,176       10,184  
Novell, Inc. *
     7,350       28,738  
OpenTable, Inc. *
     105       2,779  
OPNET Technologies, Inc.
     462       4,860  
Parametric Technology Corp. *
     2,541       38,267  
Pegasystems, Inc.
     378       10,860  
Perficient, Inc. *
     693       5,807  
Progress Software Corp. *
     861       20,741  
Quest Software, Inc. *
     1,323       22,266  
Rackspace Hosting, Inc. *
     1,680       31,097  
Radiant Systems, Inc. *
     609       5,901  
RealNetworks, Inc. *
     2,037       6,661  
Renaissance Learning, Inc.
     336       3,646  
RightNow Technologies, Inc. *
     525       7,424  
Rosetta Stone, Inc. *
     210       3,702  
S1 Corp. *
     1,008       6,008  
Sapient Corp. *
     1,974       14,529  
SAVVIS, Inc. *
     861       10,780  
Smith Micro Software, Inc. *
     651       4,121  
Solarwinds, Inc. *
     273       5,064  
Solera Holdings, Inc.
     1,554       54,328  
SonicWALL, Inc. *
     1,134       8,834  
Sourcefire, Inc. *
     441       8,657  
SRA International, Inc., Class A *
     882       15,920  
SuccessFactors, Inc. *
     1,176       17,711  
Switch & Data Facilities Co. *
     462       8,529  
Symyx Technologies, Inc. *
     777       3,302  
Synchronoss Technologies, Inc. *
     378       5,095  
Syntel, Inc.
     504       19,066  
Take-Two Interactive Software, Inc. *
     1,806       20,317  
Taleo Corp. Class A *
     714       14,751  
TechTarget *
     378       2,211  
TeleCommunication Systems, Inc., Class A *
     840       7,081  
TeleTech Holdings, Inc. *
     714       13,773  
Terremark Worldwide, Inc. *
     987       6,031  
The Knot, Inc. *
     651       6,211  
The Ultimate Software Group, Inc. *
     567       15,269  
THQ, Inc. *
     1,449       7,100  
TIBCO Software, Inc. *
     3,927       33,772  
TiVo, Inc. *
     2,373       23,493  
TNS, Inc. *
     504       12,625  
Tyler Technologies, Inc. *
     756       15,105  
Unisys Corp. *
     735       23,586  
United Online, Inc.
     1,827       12,424  
ValueClick, Inc. *
     2,247       21,189  
VASCO Data Security International, Inc. *
     567       3,731  
VeriFone Holdings, Inc. *
     1,617       21,441  
Vocus, Inc. *
     399       6,520  
WebMD Health Corp. *
     1,113       40,402  
Websense, Inc. *
     903       14,204  
Wright Express Corp. *
     840       24,503  
 
             1,713,796  
 
                
Technology Hardware & Equipment 6.0%
                
3Com Corp. *
     8,253       60,825  
3PAR, Inc. *
     756       7,749  
Acme Packet, Inc. *
     714       7,326  
Adaptec, Inc. *
     2,121       6,639  
ADC Telecommunications, Inc. *
     2,037       12,487  
ADTRAN, Inc.
     1,344       28,399  
Agilysys, Inc.
     357       2,945  
Airvana, Inc. *
     777       4,716  
Anaren, Inc. *
     462       6,362  
Anixter International, Inc. *
     651       28,136  
Arris Group, Inc. *
     2,688       26,853  
Aruba Networks, Inc. *
     1,512       12,096  
Avid Technology, Inc. *
     546       6,497  
Avocent Corp. *
     945       23,606  
AVX Corp.
     1,134       13,676  
Bel Fuse, Inc., Class B
     231       4,121  
Benchmark Electronics, Inc. *
     1,491       26,883  
BigBand Networks, Inc. *
     945       3,393  
Black Box Corp.
     378       10,656  
Blue Coat Systems, Inc. *
     819       21,646  
Brightpoint, Inc. *
     1,575       11,309  
Checkpoint Systems, Inc. *
     819       11,613  
Ciena Corp. *
     1,932       23,474  
Cogent, Inc. *
     924       7,882  
Cognex Corp.
     756       12,444  
Coherent, Inc. *
     504       12,812  
CommScope, Inc. *
     2,037       51,190  
Compellent Technologies, Inc. *
     336       6,979  
Comtech Telecommunications Corp. *
     588       16,899  
CTS Corp.
     735       6,813  
Daktronics, Inc.
     924       7,826  
DG Fastchannel, Inc. *
     420       11,319  
Diebold, Inc.
     1,428       35,900  
Digi International, Inc. *
     462       3,645  
DTS, Inc. *
     378       11,393  
Echelon Corp. *
     714       7,897  
EchoStar Corp., Class A *
     924       17,953  
Electro Rent Corp.
     462       4,680  
Electro Scientific Industries, Inc. *
     525       5,108  
Electronics for Imaging, Inc. *
     1,092       13,115  
EMS Technologies, Inc. *
     315       4,057  

13

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Emulex Corp. *
     1,806       17,590  
Extreme Networks, Inc. *
     2,058       4,486  
FARO Technologies, Inc. *
     315       6,146  
Finisar Corp. *
     1,134       10,319  
Harmonic, Inc. *
     2,037       10,307  
Harris Stratex Networks, Inc., Class A *
     1,197       7,517  
Hughes Communications, Inc. *
     210       5,397  
Hutchinson Technology, Inc. *
     462       3,285  
Hypercom Corp. *
     1,302       3,958  
ICx Technologies, Inc. *
     420       2,104  
Imation Corp.
     672       5,893  
Infinera Corp. *
     2,058       16,937  
Insight Enterprises, Inc. *
     987       10,018  
InterDigital, Inc. *
     945       22,482  
Intermec, Inc. *
     1,071       13,163  
IPG Photonics Corp. *
     567       8,488  
Isilon Systems, Inc. *
     672       3,998  
Ixia *
     756       5,012  
Jabil Circuit, Inc.
     4,473       59,536  
JDS Uniphase Corp. *
     4,683       34,607  
L-1 Identity Solutions, Inc. *
     1,785       10,960  
Lexmark International, Inc., Class A *
     1,701       42,814  
Littelfuse, Inc. *
     462       12,095  
Loral Space & Communications, Inc. *
     252       8,344  
Maxwell Technologies, Inc. *
     546       8,976  
Methode Electronics, Inc.
     819       6,519  
MTS Systems Corp.
     357       9,200  
Multi-Fineline Electronix, Inc. *
     210       5,235  
National Instruments Corp.
     1,344       38,344  
NETGEAR, Inc. *
     735       14,590  
Newport Corp. *
     903       6,601  
Novatel Wireless, Inc. *
     630       5,279  
Opnext, Inc. *
     1,071       1,960  
OSI Systems, Inc. *
     315       6,435  
Palm, Inc. *
     3,234       35,283  
Park Electrochemical Corp.
     399       9,436  
Plantronics, Inc.
     1,050       24,307  
Plexus Corp. *
     861       23,385  
Polycom, Inc. *
     1,785       38,485  
QLogic Corp. *
     2,583       46,339  
Quantum Corp. *
     4,557       11,119  
Riverbed Technology, Inc. *
     1,176       23,943  
Rofin-Sinar Technologies, Inc. *
     630       14,351  
Rogers Corp. *
     357       10,053  
Sanmina-SCI Corp. *
     1,722       13,914  
ScanSource, Inc. *
     588       13,683  
SeaChange International, Inc. *
     651       3,633  
ShoreTel, Inc. *
     357       1,824  
Silicon Graphics International Corp. *
     588       3,557  
Smart Modular Technologies (WWH), Inc. *
     1,071       4,745  
Sonus Networks, Inc. *
     4,305       9,385  
Starent Networks Corp. *
     882       30,420  
STEC, Inc. *
     777       9,627  
Stratasys, Inc. *
     420       6,237  
Sycamore Networks, Inc. *
     4,242       12,005  
Synaptics, Inc. *
     735       19,801  
SYNNEX Corp. *
     462       13,079  
Tech Data Corp. *
     1,092       45,984  
Technitrol, Inc.
     756       3,825  
Tekelec *
     1,449       20,605  
TTM Technologies, Inc. *
     987       10,235  
Universal Display Corp. *
     798       8,523  
UTStarcom, Inc. *
     2,415       4,154  
ViaSat, Inc. *
     651       19,953  
Vishay Intertechnology, Inc. *
     3,969       28,775  
Zebra Technologies Corp., Class A *
     1,260       33,529  
 
             1,582,108  
 
                
Telecommunication Services 1.0%
                
AboveNet, Inc. *
     462       23,701  
Alaska Communications Systems Group, Inc.
     924       6,754  
Atlantic Tele-Network, Inc.
     231       10,827  
Cbeyond, Inc. *
     546       7,049  
Cincinnati Bell, Inc. *
     4,704       14,018  
Cogent Communications Group, Inc. *
     1,008       8,578  
Consolidated Communications Holdings, Inc.
     546       8,299  
General Communication, Inc., Class A *
     714       4,313  
Global Crossing Ltd. *
     714       8,068  
ICO Global Communications (Holdings) Ltd. *
     3,003       2,583  
Iowa Telecommunications Services, Inc.
     693       11,019  
iPCS, Inc. *
     315       7,563  
Leap Wireless International, Inc. *
     1,260       18,182  
Neutral Tandem, Inc. *
     735       16,956  
NTELOS Holdings Corp.
     630       10,590  
PAETEC Holding Corp. *
     2,835       10,404  
Premiere Global Services, Inc. *
     1,176       8,891  
Shenandoah Telecommunications Co.
     483       8,114  
SureWest Communications *
     294       2,561  
Syniverse Holdings, Inc. *
     1,512       23,980  
tw telecom, Inc. *
     3,339       48,582  
USA Mobility, Inc.
     462       4,611  
 
             265,643  
 
                
Transportation 2.5%
                
AirTran Holdings, Inc. *
     2,625       10,815  
Alaska Air Group, Inc. *
     819       24,488  
Alexander & Baldwin, Inc.
     882       26,945  
Allegiant Travel Co. *
     273       11,256  
AMERCO *
     126       6,459  
American Commercial Lines, Inc. *
     210       4,114  
AMR Corp. *
     7,476       45,155  
Arkansas Best Corp.
     525       12,925  
Atlas Air Worldwide Holdings, Inc. *
     357       10,460  
Avis Budget Group, Inc. *
     2,373       23,137  
Con-way, Inc.
     1,071       32,451  
Continental Airlines, Inc. Class B *
     3,087       44,021  
Dollar Thrifty Automotive Group, Inc. *
     483       8,916  
Eagle Bulk Shipping, Inc. *
     987       5,586  
Excel Maritime Carriers Ltd.
     1,071       7,401  
Forward Air Corp.
     630       14,276  
Genco Shipping & Trading Ltd. *
     609       14,299  
Genesee & Wyoming, Inc., Class A *
     798       24,834  
Hawaiian Holdings, Inc. *
     1,071       6,694  
Heartland Express, Inc.
     1,218       17,965  
Horizon Lines, Inc., Class A
     630       3,370  
Hub Group, Inc., Class A *
     819       21,663  
JetBlue Airways Corp. *
     5,523       30,432  
Kirby Corp. *
     1,176       39,220  
Knight Transportation, Inc.
     1,281       21,790  
Landstar System, Inc.
     1,113       41,537  
Marten Transport Ltd. *
     315       5,311  
Old Dominion Freight Line, Inc. *
     672       17,795  

14

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Pacer International, Inc.
     798       2,266  
Patriot Transportation Holding, Inc. *
     42       3,926  
RailAmerica, Inc. *
     483       6,182  
Republic Airways Holdings, Inc. *
     714       4,862  
SkyWest, Inc.
     1,260       18,535  
TBS International Ltd., Class A *
     273       2,116  
UAL Corp. *
     3,570       27,703  
Universal Truckload Services, Inc.
     168       2,559  
US Airways Group, Inc. *
     3,234       11,933  
UTI Worldwide, Inc.
     2,121       27,721  
Werner Enterprises, Inc.
     1,113       20,769  
YRC Worldwide, Inc. *
     1,344       1,519  
 
             663,406  
 
                
Utilities 2.6%
                
ALLETE, Inc.
     672       22,472  
American States Water Co.
     420       13,894  
Avista Corp.
     1,239       25,784  
Black Hills Corp.
     882       20,789  
California Water Service Group
     462       16,900  
Central Vermont Public Service Corp.
     252       4,891  
CH Energy Group, Inc.
     357       14,416  
Chesapeake Utilities Corp.
     315       9,872  
Cleco Corp.
     1,365       34,835  
Connecticut Water Service, Inc.
     210       4,767  
El Paso Electric Co. *
     1,050       20,790  
Great Plains Energy, Inc.
     2,961       52,706  
Hawaiian Electric Industries, Inc.
     1,995       39,621  
IDACORP, Inc.
     1,071       31,669  
MGE Energy, Inc.
     546       18,750  
Middlesex Water Co.
     315       5,090  
New Jersey Resources Corp.
     966       34,032  
Nicor, Inc.
     987       38,651  
Northwest Natural Gas Co.
     609       26,114  
NorthWestern Corp.
     840       21,664  
Ormat Technologies, Inc.
     441       18,156  
PNM Resources, Inc.
     1,743       19,417  
Portland General Electric Co.
     1,659       32,533  
SJW Corp.
     315       6,757  
South Jersey Industries, Inc.
     693       24,990  
Southwest Gas Corp.
     1,008       26,420  
The Empire District Electric Co.
     777       14,095  
The Laclede Group, Inc.
     462       14,465  
UIL Holdings Corp.
     672       18,117  
Unisource Energy Corp.
     798       23,796  
WGL Holdings, Inc.
     1,134       35,698  
 
             692,151  
Total Common Stock
(Cost $26,667,743)
             26,245,851  
 
                
     
Other Investment Company 0.1% of net assets
                
State Street Institutional Liquid Reserves Fund
     28,821       28,821  
Total Other Investment Company
(Cost $28,821)
             28,821  
 
                
End of Investments.
At 11/30/09, the tax basis cost of the fund’s investments was $26,696,564 and the unrealized appreciation and depreciation were $393,766 and ($815,658), respectively, with a net unrealized depreciation of ($421,892).
 
*   Non-income producing security.

15

 

Schwab U.S. Small-Cap ETF
Portfolio Holdings (Unaudited) continued
Various inputs are used on determining the value of the fund’s investments. The fair value measurements and disclosures establish a three-tier hierarchy of inputs to establish a classification of fair value measurements for disclosure purposes. These inputs are summarized in the three broad levels listed below:
  •   Level 1—quoted prices in active markets for identical securities. — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. The fund does not adjust the quoted price for such investments, even in situations where the fund holds a large position and a sale could reasonably impact the quoted price.
 
  •   Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •   Level 3—significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments). — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
                                 
    Quoted Prices            
    in Active   Significant        
    Markets for   Other   Significant    
    Identical   Observable   Unobservable    
    Assets   Inputs   Inputs    
Description   (Level 1)   (Level 2)   (Level 3)   Total*
 
Common Stock — (a)
   $ 26,245,851     $ —     $ —     $ 26,245,851  
 
Other Investment Company
     28,821       —       —       28,821  
 
Total
   $ 26,274,672     $ —     $ —     $ 26,274,672  
 
 
*   The fund had no Other Financial Instruments.
 
(a)   as categorized in Portfolio Holdings

16

 

Schwab Strategic Trust
Schwab International Equity ETFTM
Portfolio Holdings as of November 30, 2009, (Unaudited)
The following are the portfolio holdings as of the report date.
                         
            Cost   Value
Holdings by Category       ($)   ($)
  99.4 %  
Common Stock
     66,252,293       65,484,272  
  0.2 %  
Other Investment Companies
     103,102       102,115  
  0.2 %  
Preferred Stock
     165,989       160,378  
  0.1 %  
Rights
     63,692       56,365  
  99.9 %  
Total Investments
     66,585,076       65,803,130  
  0.1 %  
Other Assets and Liabilities, Net
             100,594  
  100.0 %  
Net Assets
             65,903,724  
                 
    Number   Value
Security   of Shares   ($)
Common Stock 99.4% of net assets
                
Australia 8.2%
                
 
                
Banks 2.1%
                
Australia & New Zealand Banking Group Ltd.
     13,104       265,684  
Bank of Queensland Ltd.
     1,248       12,726  
Bendigo & Adelaide Bank Ltd.
     2,444       19,866  
Commonwealth Bank of Australia
     8,528       412,162  
National Australia Bank Ltd.
     11,856       310,595  
Westpac Banking Corp.
     16,224       358,494  
 
             1,379,527  
 
                
Capital Goods 0.1%
                
CSR Ltd.
     5,252       8,269  
GWA International Ltd.
     4,550       11,703  
Leighton Holdings Ltd.
     598       19,541  
 
             39,513  
 
                
Commercial & Professional Services 0.1%
                
Brambles Ltd.
     9,074       54,819  
Corporate Express Australia Ltd.
     1,352       5,309  
Downer EDI Ltd.
     2,548       19,894  
Spotless Group Ltd.
     4,030       9,038  
 
             89,060  
 
                
Consumer Durables & Apparel 0.0%
                
Billabong International Ltd.
     1,404       13,494  
 
Consumer Services 0.2%
                
Aristocrat Leisure Ltd.
     4,836       17,839  
Crown Ltd.
     3,536       25,343  
Flight Centre Ltd.
     494       7,918  
TABCORP Holdings Ltd.
     7,098       46,650  
Tatts Group Ltd.
     20,826       45,942  
 
             143,692  
 
                
Diversified Financials 0.2%
                
ASX Ltd.
     1,170       35,406  
Challenger Financial Services Group Ltd.
     2,444       9,150  
IOOF Holdings Ltd.
     2,210       11,733  
Macquarie Group Ltd.
     1,794       78,823  
Perpetual Ltd.
     182       5,479  
 
             140,591  
 
                
Energy 0.5%
                
Caltex Australia Ltd. *
     1,300       11,566  
Energy Resources of Australia Ltd.
     442       9,702  
New Hope Corp., Ltd.
     2,080       8,187  
Origin Energy Ltd.
     5,044       72,072  
Paladin Energy Ltd. *
     3,588       13,531  
Santos Ltd.
     4,680       63,058  
Woodside Petroleum Ltd.
     2,704       120,662  
WorleyParsons Ltd.
     1,040       25,246  
 
             324,024  
 
                
Food & Staples Retailing 0.7%
                
AWB Ltd.
     6,110       6,628  
Metcash Ltd.
     11,934       51,123  
Wesfarmers Ltd.
     5,798       158,048  
Wesfarmers Ltd., Price Protected Shares
     1,118       30,650  
Woolworths Ltd.
     7,384       189,588  
 
             436,037  
 
                
Food, Beverage & Tobacco 0.2%
                
Coca-Cola Amatil Ltd.
     5,148       49,950  
Elders Ltd. *
     10,946       1,503  
Foster’s Group Ltd.
     13,988       71,958  
Goodman Fielder Ltd.
     13,260       18,570  
 
             141,981  
 
                
Health Care Equipment & Services 0.1%
                
Ansell Ltd.
     208       2,026  
Cochlear Ltd.
     208       12,048  
Sigma Pharmaceuticals Ltd.
     9,516       8,362  
Sonic Healthcare Ltd.
     1,638       21,246  
 
             43,682  
 
                
Insurance 0.7%
                
AMP Ltd.
     15,106       85,452  
AXA Asia Pacific Holdings Ltd.
     11,206       59,493  
Insurance Australia Group Ltd.
     20,358       73,048  
QBE Insurance Group Ltd.
     6,474       131,794  
Suncorp-Metway Ltd.
     9,126       73,344  
Tower Australia Group Ltd.
     5,954       15,369  
 
             438,500  
 
                
Materials 1.9%
                
Adelaide Brighton Ltd.
     2,938       6,696  
Alumina Ltd. *
     11,076       15,613  
Amcor Ltd.
     9,698       52,463  
BHP Billiton Ltd.
     17,810       673,289  
BlueScope Steel Ltd.
     10,270       25,476  
Boral Ltd.
     3,094       15,860  
Fortescue Metals Group Ltd. *
     11,934       45,989  
Gunns Ltd.
     6,604       5,471  
Iluka Resources Ltd. *
     5,954       19,566  
Incitec Pivot Ltd.
     10,088       26,317  
Newcrest Mining Ltd.
     2,912       98,064  

1

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Nufarm Ltd.
     1,378       14,632  
OneSteel Ltd.
     6,500       17,849  
Orica Ltd.
     1,794       41,021  
OZ Minerals Ltd. *
     14,274       15,940  
PaperlinX Ltd. *
     8,554       3,758  
Rio Tinto Ltd.
     2,366       155,195  
Sims Metal Management Ltd.
     1,196       23,209  
 
             1,256,408  
 
                
Media 0.0%
                
APN News & Media Ltd.
     728       1,566  
Austereo Group Ltd.
     2,886       4,253  
Consolidated Media Holdings Ltd.
     3,978       11,470  
Fairfax Media Ltd.
     1,794       2,685  
Ten Network Holdings Ltd.
     2,990       4,050  
West Australian Newspapers Holdings Ltd.
     26       185  
 
             24,209  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
                
CSL Ltd.
     3,484       100,584  
 
                
Real Estate 0.6%
                
Australand Property Group
     13,260       6,190  
CFS Retail Property Trust
     21,944       39,570  
Commonwealth Property Office Fund
     29,510       25,526  
Dexus Property Group
     32,058       23,769  
Goodman Group
     25,532       14,023  
GPT Group
     55,354       30,148  
Lend Lease Group
     3,068       25,499  
Macquarie Office Trust
     24,310       6,564  
Mirvac Group
     16,822       24,252  
Stockland
     15,210       56,247  
Westfield Group
     14,118       157,789  
 
             409,577  
 
                
Retailing 0.0%
                
Harvey Norman Holdings Ltd.
     6,058       23,844  
 
                
Software & Services 0.1%
                
Computershare Ltd.
     3,718       36,381  
 
                
Telecommunication Services 0.1%
                
Telstra Corp., Ltd.
     27,456       85,700  
 
                
Transportation 0.3%
                
Asciano Group *
     14,300       21,663  
Macquarie Infrastructure Group
     19,188       22,833  
MAP Group
     7,150       17,409  
Qantas Airways Ltd.
     8,060       19,182  
Toll Holdings Ltd.
     6,240       46,437  
Transurban Group
     12,584       62,892  
 
             190,416  
 
                
Utilities 0.1%
                
AGL Energy Ltd.
     3,276       41,502  
Envestra Ltd.
     14,092       6,321  
SP Ausnet
     21,606       17,008  
 
             64,831  
 
             5,382,051  
 
                
Austria 0.4%
                
 
                
Banks 0.1%
                
Erste Group Bank AG
     1,465       59,562  
Raiffeisen International Bank Holding AG
     312       18,503  
 
             78,065  
 
                
Capital Goods 0.0%
                
Strabag SE
     286       8,957  
 
                
Energy 0.1%
                
OMV AG
     936       39,600  
 
                
Insurance 0.0%
                
Vienna Insurance Group AG
     234       12,342  
 
                
Materials 0.1%
                
Voestalpine AG
     962       34,143  
 
                
Real Estate 0.0%
                
Immoeast AG *
     3,094       20,300  
 
                
Telecommunication Services 0.0%
                
Telekom Austria AG
     1,144       19,889  
 
                
Utilities 0.1%
                
EVN AG
     416       7,919  
Oesterreichische Elektrizitaetswirtschafts AG, Series A
     364       16,395  
 
             24,314  
 
             237,610  
 
                
Belgium 0.8%
                
 
                
Banks 0.1%
                
Dexia S.A. *
     3,120       23,543  
KBC GROEP N.V. *
     1,118       49,751  
 
             73,294  
 
                
Diversified Financials 0.1%
                
Compagnie Nationale a Portefeuille/Nationale Portefeuille Maatschappij
     182       9,585  
Groupe Bruxelles Lambert S.A.
     468       42,636  
 
             52,221  
 
                
Food & Staples Retailing 0.1%
                
Colruyt S.A.
     104       26,427  
Delhaize Group
     624       47,226  
 
             73,653  
 
                
Food, Beverage & Tobacco 0.2%
                
Anheuser-Busch InBev N.V.
     4,056       202,414  
 
                
Insurance 0.1%
                
Fortis *
     13,182       55,513  
 
                
Materials 0.1%
                
Solvay S.A.
     182       19,204  
Umicore
     442       15,040  
 
             34,244  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
                
UCB S.A.
     754       33,564  
 
                
Telecommunication Services 0.0%
                
Belgacom S.A.
     624       23,623  
 
             548,526  

2

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Canada 7.4%
                
 
                
Banks 2.0%
                
Bank of Montreal
     2,600       132,559  
Bank of Nova Scotia
     5,200       239,222  
Canadian Imperial Bank of Commerce
     2,600       169,503  
Royal Bank of Canada
     7,800       420,316  
The Toronto-Dominion Bank
     5,200       327,808  
 
             1,289,408  
 
                
Capital Goods 0.2%
                
Bombardier, Inc., Class B
     18,200       77,340  
Finning International, Inc.
     2,600       37,191  
 
             114,531  
 
                
Energy 2.1%
                
Cameco Corp.
     2,600       74,775  
Canadian Natural Resources Ltd.
     2,600       173,794  
Enbridge, Inc.
     2,600       111,004  
EnCana Corp.
     5,200       279,027  
Husky Energy, Inc.
     2,600       68,314  
Imperial Oil Ltd.
     2,600       100,005  
Nexen, Inc.
     2,600       61,236  
Suncor Energy, Inc.
     7,800       280,408  
Talisman Energy, Inc.
     5,200       89,770  
TransCanada Corp.
     5,200       168,343  
 
             1,406,676  
 
                
Food, Beverage & Tobacco 0.1%
                
Saputo, Inc.
     2,600       72,284  
 
                
Insurance 0.7%
                
Great-West Lifeco, Inc.
     2,600       59,732  
Manulife Financial Corp.
     10,400       181,907  
Power Corp. of Canada
     2,600       64,886  
Power Financial Corp.
     2,600       67,845  
Sun Life Financial, Inc.
     2,600       71,915  
 
             446,285  
 
                
Materials 1.3%
                
Barrick Gold Corp.
     5,200       221,268  
Goldcorp, Inc.
     5,200       217,371  
Kinross Gold Corp.
     2,600       51,840  
Potash Corp. of Saskatchewan, Inc.
     2,600       290,766  
Teck Resources Ltd., Class B *
     2,600       89,992  
 
             871,237  
 
                
Media 0.2%
                
Shaw Communications, Inc., Class B
     2,600       50,311  
Thomson Reuters Corp.
     2,600       82,371  
 
             132,682  
 
                
Real Estate 0.2%
                
Brookfield Asset Management, Inc., Class A
     2,600       54,626  
Brookfield Properties Corp.
     5,200       58,844  
 
             113,470  
 
                
Software & Services 0.0%
                
CGI Group, Inc., Class A *
     2,600       32,184  
 
                
Technology Hardware & Equipment 0.2%
                
Research In Motion Ltd. *
     2,600       150,365  
 
                
Telecommunication Services 0.2%
                
BCE, Inc.
     2,600       68,857  
Rogers Communications, Inc., Class B
     2,600       78,302  
 
             147,159  
 
                
Transportation 0.2%
                
Canadian National Railway Co.
     2,600       136,381  
 
             4,912,662  
 
                
China 0.5%
                
 
                
Consumer Durables & Apparel 0.1%
                
Li Ning Co., Ltd.
     13,000       42,689  
 
                
Food, Beverage & Tobacco 0.2%
                
China Huiyuan Juice Group Ltd.
     13,000       8,068  
China Yurun Food Group Ltd.
     26,000       64,076  
People’s Food Holdings Ltd.
     26,000       11,168  
Want Want China Holdings Ltd.
     78,000       54,549  
 
             137,861  
 
                
Materials 0.1%
                
Fosun International
     13,000       9,410  
Hidili Industry International Development Ltd. *
     26,000       28,952  
 
             38,362  
 
                
Real Estate 0.1%
                
Greentown China Holdings Ltd.
     13,000       20,833  
Shui On Land Ltd.
     26,000       15,264  
Soho China Ltd.
     13,000       7,012  
 
             43,109  
 
                
Retailing 0.0%
                
Parkson Retail Group Ltd.
     13,000       21,739  
 
                
Semiconductors & Semiconductor Equipment 0.0%
                
Semiconductor Manufacturing International Corp. *
     156,000       9,662  
 
                
Software & Services 0.0%
                
Alibaba.com Ltd.
     13,000       29,656  
 
                
Technology Hardware & Equipment 0.0%
                
Foxconn International Holdings Ltd. *
     26,000       22,343  
 
             345,421  
 
                
Denmark 0.7%
                
 
                
Banks 0.1%
                
Danske Bank A/S *
     4,108       88,470  
 
                
Capital Goods 0.2%
                
FLSmidth & Co. A/S
     286       18,608  
Rockwool International A/S, B Shares
     26       2,660  
Vestas Wind Systems A/S *
     1,144       80,316  
 
             101,584  
 
                
Food, Beverage & Tobacco 0.1%
                
Carlsberg A/S, Class B
     546       39,131  
Danisco A/S
     156       9,654  
 
             48,785  

3

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Health Care Equipment & Services 0.0%
                
Coloplast A/S, Class B
     78       7,270  
 
                
Insurance 0.0%
                
Trygvesta A/S
     130       8,996  
 
                
Materials 0.0%
                
Novozymes A/S, B Shares
     234       23,698  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.3%
                
H. Lundbeck A/S
     286       5,381  
Novo Nordisk A/S, Class B
     2,782       186,615  
 
             191,996  
 
             470,799  
 
                
Finland 1.2%
                
 
                
Automobiles & Components 0.1%
                
Nokian Renkaat Oyj
     1,066       26,951  
 
                
Capital Goods 0.2%
                
Kone Oyj, Class B
     1,248       50,496  
Metso Oyj
     1,456       46,823  
Wartsila Oyj
     1,040       38,801  
 
             136,120  
 
                
Energy 0.0%
                
Neste Oil Oyj
     1,092       19,018  
 
                
Food & Staples Retailing 0.0%
                
Kesko Oyj, B Shares
     780       26,536  
 
                
Insurance 0.1%
                
Sampo Oyj, A Shares
     3,692       87,579  
 
                
Materials 0.2%
                
Outokumpu Oyj
     1,118       19,303  
Rautaruukki Oyj
     832       17,313  
Stora Enso Oyj, R Shares *
     4,316       32,982  
UPM-Kymmene Oyj
     3,458       43,974  
 
             113,572  
 
                
Media 0.0%
                
Sanoma Oyj
     390       8,180  
 
                
Technology Hardware & Equipment 0.5%
                
Nokia Oyj
     23,530       309,816  
 
                
Utilities 0.1%
                
Fortum Oyj
     3,458       87,687  
 
             815,459  
 
                
France 9.7%
                
 
                
Automobiles & Components 0.2%
                
Compagnie Generale des Etablissements Michelin, Class B
     702       53,224  
PSA Peugeot S.A. *
     1,092       38,618  
Renault S.A. *
     1,326       64,104  
 
             155,946  
 
                
Banks 1.3%
                
BNP Paribas
     5,486       453,002  
Credit Agricole S.A.
     5,148       106,505  
Natixis *
     5,252       27,992  
Societe Generale
     4,004       281,875  
 
             869,374  
 
                
Capital Goods 1.1%
                
Alstom S.A.
     1,508       105,572  
Bouygues S.A.
     1,430       71,139  
Compagnie de Saint-Gobain
     2,808       152,717  
Eiffage S.A.
     338       18,342  
Legrand S.A.
     338       9,284  
Safran S.A.
     1,066       17,837  
Schneider Electric S.A.
     1,300       142,263  
Thales S.A.
     390       19,123  
Vallourec S.A.
     312       52,182  
Vinci S.A.
     2,626       145,184  
Wendel
     182       10,635  
 
             744,278  
 
                
Commercial & Professional Services 0.1%
                
Bureau Veritas S.A.
     390       19,480  
Societe BIC S.A.
     234       16,352  
 
             35,832  
 
                
Consumer Durables & Apparel 0.5%
                
Christian Dior S.A.
     494       50,063  
Hermes International
     468       66,539  
LVMH Moet Hennessy Louis Vuitton S.A.
     2,158       224,720  
 
             341,322  
 
                
Consumer Services 0.2%
                
Accor S.A.
     1,716       91,820  
Sodexo
     988       55,477  
 
             147,297  
 
                
Diversified Financials 0.0%
                
Eurazeo
     208       14,651  
 
                
Energy 1.3%
                
Compagnie Generale De Geophysique-Veritas *
     832       16,969  
Technip S.A.
     572       39,023  
Total S.A.
     13,026       805,927  
 
             861,919  
 
                
Food & Staples Retailing 0.4%
                
Carrefour S.A.
     4,134       200,566  
Casino Guichard Perrachon S.A.
     338       29,016  
 
             229,582  
 
                
Food, Beverage & Tobacco 0.5%
                
Danone S.A.
     3,198       191,140  
Pernod Ricard S.A.
     1,222       104,190  
 
             295,330  
 
                
Health Care Equipment & Services 0.1%
                
Essilor International S.A.
     936       54,292  
 
                
Household & Personal Products 0.2%
                
L’Oreal S.A.
     1,404       152,317  
 
                
Insurance 0.5%
                
AXA S.A.
     11,821       281,652  
CNP Assurances
     234       25,045  
Euler Hermes S.A.
     78       5,733  

4

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
SCOR SE
     910       22,181  
 
             334,611  
 
                
Materials 0.4%
                
Air Liquide S.A.
     1,300       151,066  
Ciments Francais S.A.
     26       2,753  
Eramet
     52       16,836  
Imerys S.A.
     104       6,058  
Lafarge S.A.
     1,170       96,138  
 
             272,851  
 
                
Media 0.4%
                
Eutelsat Communications
     338       11,060  
JC Decaux S.A. *
     286       6,505  
Lagardere S.C.A.
     676       28,788  
PagesJaunes Groupe
     546       6,458  
Publicis Groupe
     702       27,023  
Societe Television Francaise 1
     832       14,815  
Vivendi
     6,656       191,765  
 
             286,414  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.6%
                
Ipsen S.A.
     52       2,840  
Sanofi-Aventis
     5,304       400,706  
 
             403,546  
 
                
Real Estate 0.2%
                
Gecina S.A.
     130       14,287  
ICADE
     52       5,239  
Klepierre
     468       18,725  
Unibail-Rodamco SE
     494       111,250  
 
             149,501  
 
                
Retailing 0.1%
                
PPR
     520       62,925  
 
                
Software & Services 0.1%
                
Atos Origin S.A. *
     338       14,777  
Cap Gemini S.A.
     754       34,866  
Dassault Systemes S.A.
     260       14,959  
 
             64,602  
 
                
Technology Hardware & Equipment 0.1%
                
Alcatel-Lucent *
     14,768       49,643  
 
                
Telecommunication Services 0.4%
                
France Telecom S.A.
     9,802       254,959  
 
                
Transportation 0.0%
                
Air France-KLM *
     520       8,244  
 
                
Utilities 1.0%
                
EDF Energies Nouvelles S.A.
     130       6,767  
Electricite de France
     1,768       101,981  
GDF Suez
     9,074       378,863  
Suez Environnement S.A.
     2,132       47,421  
Veolia Environnement
     2,730       92,405  
 
             627,437  
 
             6,416,873  
 
                
Germany 7.0%
                
 
                
Automobiles & Components 0.7%
                
Bayerische Motoren Werke AG
     1,846       87,094  
Daimler AG — Reg’d
     5,980       302,741  
Volkswagen AG
     494       60,817  
 
             450,652  
 
                
Banks 0.1%
                
Commerzbank AG *
     5,356       50,017  
Deutsche Postbank AG *
     572       20,112  
 
             70,129  
 
                
Capital Goods 1.0%
                
GEA Group AG
     1,118       23,566  
Hochtief AG
     338       26,540  
MAN SE
     832       68,077  
Q-Cells SE *
     338       5,303  
Siemens AG — Reg’d
     5,174       506,939  
Solarworld AG
     598       13,530  
 
             643,955  
 
                
Consumer Durables & Apparel 0.1%
                
Adidas AG
     1,248       71,444  
Puma AG Rudolf Dassler Sport
     52       17,862  
 
             89,306  
 
                
Consumer Services 0.0%
                
TUI AG *
     2,158       17,074  
 
                
Diversified Financials 0.5%
                
Deutsche Bank AG — Reg’d
     3,640       262,616  
Deutsche Boerse AG
     1,170       97,473  
 
             360,089  
 
                
Food & Staples Retailing 0.1%
                
Metro AG
     1,222       76,780  
 
                
Health Care Equipment & Services 0.1%
                
Celesio AG
     312       8,230  
Fresenius Medical Care AG & Co. KGaA
     936       49,760  
Fresenius SE
     78       4,522  
 
             62,512  
 
                
Household & Personal Products 0.1%
                
Beiersdorf AG
     286       18,597  
Henkel AG & Co. KGaA
     442       19,072  
 
             37,669  
 
                
Insurance 0.7%
                
Allianz SE — Reg’d
     2,496       306,610  
Generali Deutschland Holding AG
     52       5,575  
Hannover Rueckversicherung AG — Reg’d *
     338       16,106  
Muenchener Rueckversicherungs — Gesellschaft AG — Reg’d
     1,066       167,134  
 
             495,425  
 
                
Materials 1.0%
                
BASF SE
     5,096       307,259  
HeidelbergCement AG
     1,092       72,465  
K&S AG
     936       56,379  
Lanxess AG
     416       15,758  
Linde AG
     650       79,905  
Salzgitter AG
     260       24,807  
ThyssenKrupp AG
     2,210       80,528  
Wacker Chemie AG
     78       12,839  
 
             649,940  

5

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Pharmaceuticals, Biotechnology & Life Sciences 0.6%
                
Bayer AG
     4,602       352,301  
Merck KGaA
     338       31,873  
 
             384,174  
 
                
Semiconductors & Semiconductor Equipment 0.0%
                
Infineon Technologies AG *
     5,330       25,527  
 
                
Software & Services 0.4%
                
SAP AG
     5,434       259,598  
 
                
Telecommunication Services 0.4%
                
Deutsche Telekom AG — Reg’d
     16,692       246,095  
 
                
Transportation 0.2%
                
Deutsche Lufthansa AG — Reg’d
     962       15,353  
Deutsche Post AG — Reg’d
     4,576       85,671  
Fraport AG
     52       2,575  
Hamburger Hafen und Logistik AG
     52       2,018  
 
             105,617  
 
                
Utilities 1.0%
                
E.ON AG
     11,258       445,204  
RWE AG
     2,210       202,828  
 
             648,032  
 
             4,622,574  
 
                
Greece 0.2%
                
 
                
Banks 0.2%
                
Alpha Bank A.E. ADR
     7,800       32,760  
National Bank of Greece S.A. ADR
     15,600       94,224  
 
             126,984  
 
             126,984  
 
                
Hong Kong 2.3%
                
 
                
Banks 0.1%
                
BOC Hong Kong Holdings Ltd.
     13,000       29,891  
The Bank of East Asia Ltd.
     10,400       45,021  
 
             74,912  
 
                
Capital Goods 0.4%
                
CITIC Resources Holdings Ltd. *
     52,000       15,298  
Hutchison Whampoa Ltd.
     26,000       175,958  
Johnson Electric Holdings Ltd. *
     13,000       5,502  
Noble Group Ltd.
     26,000       58,188  
 
             254,946  
 
                
Consumer Durables & Apparel 0.0%
                
C C Land Holdings Ltd.
     26,000       12,077  
Techtronic Industries Co., Ltd.
     13,000       10,434  
 
             22,511  
 
Consumer Services 0.1%
                
China Travel International Investment Hong Kong Ltd.
     52,000       13,889  
Galaxy Entertainment Group Ltd. *
     26,000       11,205  
The Hongkong & Shanghai Hotels Ltd.
     13,000       19,491  
 
             44,585  
 
                
Diversified Financials 0.2%
                
Hong Kong Exchanges & Clearing Ltd.
     7,800       139,089  
 
                
Food, Beverage & Tobacco 0.1%
                
China Mengniu Dairy Co., Ltd. *
     26,000       80,011  
 
                
Household & Personal Products 0.3%
                
Hengan International Group Co., Ltd.
     26,000       186,693  
 
                
Materials 0.1%
                
Lee & Man Paper Manufacturing Ltd.
     10,400       26,516  
 
                
Real Estate 0.7%
                
New World Development Co., Ltd.
     26,000       53,542  
Sun Hung Kai Properties Ltd.
     26,000       384,122  
 
             437,664  
 
                
Retailing 0.2%
                
Belle International Holdings Ltd.
     26,000       32,307  
Esprit Holdings Ltd.
     7,948       53,533  
GOME Electrical Appliances Holdings Ltd. *
     130,000       49,147  
Lifestyle International Holdings Ltd.
     13,000       22,477  
 
             157,464  
 
                
Semiconductors & Semiconductor Equipment 0.0%
                
ASM Pacific Technology Ltd.
     2,600       21,236  
 
                
Technology Hardware & Equipment 0.1%
                
Lenovo Group Ltd.
     52,000       29,992  
 
                
Transportation 0.0%
                
Hopewell Highway Infrastructure Ltd.
     13,000       7,682  
 
             1,483,301  
 
                
Ireland 0.5%
                
 
                
Banks 0.1%
                
Allied Irish Banks plc *
     6,188       14,400  
The Governor & Company of the Bank of Ireland *
     8,216       19,860  
 
             34,260  
 
                
Commercial & Professional Services 0.1%
                
Experian plc
     5,122       48,165  
 
                
Food, Beverage & Tobacco 0.0%
                
Kerry Group plc, Class A
     598       17,725  
 
                
Materials 0.2%
                
CRH plc
     4,108       103,491  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
                
Elan Corp. plc *
     3,952       26,047  
Shire plc
     2,730       53,091  
 
             79,138  
 
                
Transportation 0.0%
                
Ryanair Holdings plc *
     2,782       11,565  
 
             294,344  
 
                
Israel 0.4%
                
 
                
Banks 0.0%
                
Bank Hapoalim B.M. *
     2,080       8,053  
 
                
Materials 0.0%
                
Israel Chemicals Ltd.
     2,080       26,772  

6

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Pharmaceuticals, Biotechnology & Life Sciences 0.4%
                
Teva Pharmaceutical Industries Ltd.
     4,420       237,233  
 
                
Telecommunication Services 0.0%
                
Bezeq Israeli Telecommunication Corp., Ltd.
     5,200       11,781  
 
             283,839  
 
                
Italy 3.3%
                
 
                
Automobiles & Components 0.1%
                
Fiat S.p.A. *
     4,992       73,673  
Pirelli & C S.p.A. *
     29,198       18,455  
 
             92,128  
 
                
Banks 1.0%
                
Banca Carige S.p.A.
     3,718       10,371  
Banca Monte dei Paschi di Siena S.p.A.
     14,872       28,602  
Banca Popolare di Milano Scarl
     2,184       16,952  
Banco Popolare Societa Cooperatira *
     3,718       30,478  
Intesa Sanpaolo *
     48,412       209,692  
UniCredit S.p.A. *
     94,406       322,451  
Unione di Banche Italiane S.c.p.A.
     3,458       47,478  
 
             666,024  
 
                
Capital Goods 0.1%
                
Finmeccanica S.p.A.
     2,314       38,320  
 
                
Consumer Durables & Apparel 0.1%
                
Benetton Group S.p.A.
     650       5,943  
Bulgari S.p.A.
     1,170       10,812  
Luxottica Group S.p.A. *
     1,014       25,241  
 
             41,996  
 
                
Consumer Services 0.1%
                
Autogrill S.p.A. *
     1,872       23,173  
Lottomatica S.p.A.
     884       17,705  
 
             40,878  
 
                
Diversified Financials 0.1%
                
EXOR S.p.A.
     494       9,426  
Mediobanca S.p.A. *
     2,522       30,102  
 
             39,528  
 
                
Energy 0.6%
                
Eni S.p.A.
     14,794       366,481  
Saipem S.p.A.
     1,820       58,529  
Saras S.p.A.
     1,664       5,084  
 
             430,094  
 
                
Food, Beverage & Tobacco 0.0%
                
Parmalat S.p.A.
     6,110       17,778  
 
                
Insurance 0.3%
                
Assicurazioni Generali S.p.A.
     8,606       222,364  
Fondiaria-Sai S.p.A.
     546       9,042  
Fondiaria-Sai S.p.A.
     208       2,323  
Mediolanum S.p.A.
     1,014       6,592  
Unipol Gruppo Finanziario S.p.A. *
     4,654       6,344  
 
             246,665  
 
                
Materials 0.0%
                
Buzzi Unicem S.p.A.
     312       4,825  
Italcementi S.p.A.
     156       2,086  
Italcementi S.p.A. — RSP
     338       2,382  
 
             9,293  
 
                
Media 0.1%
                
Mediaset S.p.A.
     4,628       35,123  
 
                
Telecommunication Services 0.2%
                
Telecom Italia S.p.A.
     65,260       104,445  
Telecom Italia S.p.A. — RSP
     23,426       26,501  
 
             130,946  
 
                
Transportation 0.1%
                
Atlantia S.p.A.
     1,820       46,998  
 
                
Utilities 0.5%
                
A2A S.p.A.
     10,114       19,694  
Edison S.p.A.
     5,070       7,772  
Enel S.p.A.
     39,728       237,688  
Snam Rete Gas S.p.A.
     8,866       44,492  
Terna-Rete Elettrica Nationale S.p.A.
     8,138       33,813  
 
             343,459  
 
             2,179,230  
 
                
Japan 16.3%
                
 
                
Automobiles & Components 1.7%
                
Bridgestone Corp.
     2,600       41,500  
Denso Corp.
     2,600       72,889  
Honda Motor Co., Ltd.
     7,800       244,471  
Mitsubishi Motors Corp. *
     26,000       35,312  
Nissan Motor Co., Ltd. *
     13,000       94,469  
Nok Corp.
     2,600       30,302  
Suzuki Motor Corp.
     2,600       61,872  
Toyota Motor Corp.
     13,000       519,125  
Yamaha Motor Co., Ltd.
     2,600       30,514  
 
             1,130,454  
 
                
Banks 1.3%
                
Aozora Bank Ltd. *
     26,000       32,596  
Hokuhoku Financial Group, Inc.
     26,000       60,967  
Mitsubishi UFJ Financial Group, Inc.
     62,400       349,142  
Mizuho Financial Group, Inc.
     57,200       107,567  
Mizuho Trust & Banking Co., Ltd. *
     26,000       23,844  
Resona Holdings, Inc.
     5,200       55,776  
Sapporo Hokuyo Holdings, Inc.
     5,200       19,437  
Shinsei Bank Ltd. *
     26,000       31,993  
Sumitomo Mitsui Financial Group, Inc.
     5,200       172,035  
 
             853,357  
 
                
Capital Goods 2.0%
                
COMSYS Holdings Corp.
     2,600       25,413  
Daikin Industries Ltd.
     2,600       92,658  
Fanuc Ltd.
     2,600       215,497  
IHI Corp. *
     26,000       41,953  
JS Group Corp.
     2,600       42,617  
JTEKT Corp.
     2,600       25,564  
Kawasaki Heavy Industries Ltd.
     26,000       63,382  
Komatsu Ltd.
     7,800       153,745  
Mitsubishi Corp.
     7,800       176,563  
Mitsubishi Heavy Industries Ltd.
     26,000       85,112  
Mitsui & Co., Ltd.
     7,800       103,583  
Sojitz Corp.
     13,000       22,787  
Sumitomo Corp.
     7,800       76,963  
Sumitomo Electric Industries Ltd.
     5,200       61,691  

7

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
THK Co., Ltd.
     2,600       42,888  
Toyota Tsusho Corp.
     2,600       34,890  
Ushio, Inc.
     2,600       44,005  
 
             1,309,311  
 
                
Commercial & Professional Services 0.2%
                
Kokuyo Co., Ltd.
     2,600       22,757  
Secom Co., Ltd.
     2,600       121,934  
 
             144,691  
 
                
Consumer Durables & Apparel 0.9%
                
Haseko Corp. *
     13,000       9,658  
Makita Corp.
     2,600       88,130  
NAMCO BANDAI Holdings, Inc.
     2,600       26,017  
Panasonic Corp.
     15,600       201,191  
Sanyo Electric Co., Ltd. *
     26,000       46,782  
Sega Sammy Holdings, Inc.
     2,600       33,019  
Sony Corp.
     5,200       140,345  
Sumitomo Forestry Co., Ltd.
     2,600       19,527  
 
             564,669  
 
                
Diversified Financials 0.7%
                
Acom Co., Ltd.
     780       10,440  
Credit Saison Co., Ltd.
     2,600       28,854  
Daiwa Securities Group, Inc.
     26,000       140,345  
Matsui Securities Co., Ltd.
     2,600       17,656  
Mitsubishi UFJ Lease & Finance Co., Ltd.
     520       15,664  
Monex Group, Inc.
     26       9,583  
Nomura Holdings, Inc.
     20,800       150,184  
ORIX Corp.
     780       54,146  
Promise Co., Ltd.
     1,300       8,722  
SBI Holdings, Inc.
     156       26,403  
Takefuji Corp.
     1,040       5,046  
 
             467,043  
 
                
Energy 0.1%
                
Nippon Mining Holdings, Inc.
     13,000       51,158  
Showa Shell Sekiyu K.K.
     2,600       22,063  
 
             73,221  
 
                
Food & Staples Retailing 0.3%
                
Aeon Co., Ltd.
     5,200       42,013  
Seven & I Holdings Co., Ltd.
     5,200       116,682  
Uny Co., Ltd.
     2,600       18,864  
 
             177,559  
 
                
Food, Beverage & Tobacco 0.4%
                
Asahi Breweries Ltd.
     2,600       46,359  
Japan Tobacco, Inc.
     26       77,205  
Kagome Co., Ltd.
     2,600       50,886  
Q.P. Corp.
     2,600       30,091  
Yakult Honsha Co., Ltd.
     2,600       81,340  
 
             285,881  
 
                
Insurance 0.6%
                
Mitsui Sumitomo Insurance Group Holdings, Inc.
     5,200       137,025  
Sony Financial Holdings, Inc.
     26       78,503  
T&D Holdings, Inc.
     2,600       60,363  
Tokio Marine Holdings, Inc.
     5,200       150,003  
 
             425,894  
 
                
Materials 1.2%
                
Hitachi Chemical Co., Ltd.
     2,600       51,098  
JFE Holdings, Inc.
     2,600       85,716  
JSR Corp.
     2,600       50,072  
Kobe Steel Ltd.
     26,000       44,367  
Mitsubishi Chemical Holdings Corp.
     13,000       47,385  
Nippon Steel Corp.
     26,000       96,883  
Nitto Denko Corp.
     2,600       83,603  
Shin-Etsu Chemical Co., Ltd.
     2,600       141,552  
Showa Denko K.K.
     26,000       46,178  
Sumitomo Metal Industries Ltd.
     26,000       66,098  
Tokyo Steel Manufacturing Co., Ltd.
     2,600       29,457  
Toyo Seikan Kaisha Ltd.
     2,600       39,055  
 
             781,464  
 
                
Media 0.2%
                
Dentsu, Inc.
     2,600       56,078  
Hakuhodo DY Holdings, Inc.
     520       25,473  
Toho Co., Ltd.
     2,600       41,771  
 
             123,322  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.7%
                
Astellas Pharma, Inc.
     2,600       96,279  
Chugai Pharmaceutical Co., Ltd.
     2,600       49,498  
Daiichi Sankyo Co., Ltd.
     2,600       51,098  
Dainippon Sumitomo Pharma Co., Ltd.
     2,600       26,741  
Eisai Co., Ltd.
     2,600       95,676  
Takeda Pharmaceutical Co., Ltd.
     2,600       108,654  
 
             427,946  
 
                
Real Estate 0.1%
                
Leopalace21 Corp. *
     2,600       10,020  
NTT Urban Development Corp.
     26       18,743  
Sumitomo Real Estate Sales Co., Ltd.
     260       10,654  
 
             39,417  
 
                
Retailing 0.2%
                
Isetan Mitsukoshi Holdings Ltd.
     5,200       44,790  
USS Co., Ltd.
     260       16,207  
Yamada Denki Co., Ltd.
     1,040       62,657  
 
             123,654  
 
                
Semiconductors & Semiconductor Equipment 0.4%
                
Advantest Corp.
     2,600       58,009  
Elpida Memory, Inc. *
     2,600       32,143  
Sumco Corp.
     2,600       44,578  
Tokyo Electron Ltd.
     2,600       142,458  
 
             277,188  
 
                
Software & Services 0.3%
                
KONAMI Corp.
     2,600       43,522  
Nomura Research Institute Ltd.
     2,600       54,991  
NTT Data Corp.
     26       73,915  
Yahoo! Japan Corp.
     130       38,979  
 
             211,407  
 
                
Technology Hardware & Equipment 1.6%
                
Alps Electric Co., Ltd.
     2,600       14,940  
Brother Industries Ltd.
     2,600       28,552  
Canon, Inc.
     7,800       301,515  
FUJIFILM Holdings Corp.
     2,600       71,078  
Hitachi Ltd. *
     26,000       70,625  
Hoya Corp.
     2,600       66,550  
Kyocera Corp.
     2,600       207,650  

8

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Murata Manufacturing Co., Ltd.
     2,600       124,046  
OMRON Corp.
     2,600       43,643  
Toshiba Corp.
     26,000       138,232  
Yokogawa Electric Corp.
     2,600       18,562  
 
             1,085,393  
 
                
Telecommunication Services 0.7%
                
KDDI Corp.
     26       140,949  
Nippon Telegraph & Telephone Corp.
     2,600       113,181  
NTT DoCoMo, Inc.
     104       158,152  
SOFTBANK Corp.
     2,600       62,476  
 
             474,758  
 
                
Transportation 1.2%
                
All Nippon Airways Co., Ltd.
     26,000       68,512  
Central Japan Railway Co.
     26       188,636  
East Japan Railway Co.
     2,600       184,108  
Japan Airlines Corp. *
     26,000       27,767  
Kintetsu Corp.
     26,000       100,505  
Tokyu Corp.
     26,000       114,389  
West Japan Railway Co.
     26       96,883  
 
             780,800  
 
                
Utilities 1.5%
                
Chubu Electric Power Co., Inc.
     2,600       66,701  
Electric Power Development Co., Ltd.
     2,600       81,038  
Hokkaido Electric Power Co., Inc.
     2,600       52,033  
Hokuriku Electric Power Co.
     2,600       59,397  
Kyushu Electric Power Co., Inc.
     2,600       57,315  
Osaka Gas Co., Ltd.
     26,000       95,072  
Shikoku Electric Power Co., Inc.
     2,600       78,020  
The Chugoku Electric Power Co., Inc.
     2,600       52,818  
The Kansai Electric Power Co., Inc.
     5,200       129,781  
The Tokyo Electric Power Co., Inc.
     5,200       140,647  
Tohoku Electric Power Co., Inc.
     2,600       55,142  
Tokyo Gas Co., Ltd.
     26,000       107,447  
 
             975,411  
 
             10,732,840  
 
                
Luxembourg 0.5%
                
 
                
Energy 0.1%
                
Tenaris S.A.
     2,730       53,857  
 
                
Materials 0.3%
                
ArcelorMittal
     6,318       246,149  
 
                
Media 0.1%
                
RTL Group
     52       3,188  
SES
     1,742       37,047  
 
             40,235  
 
             340,241  
 
                
Netherlands 3.5%
                
 
                
Capital Goods 0.2%
                
Koninklijke (Royal) Philips Electronics N.V.
     5,668       155,003  
 
                
Commercial & Professional Services 0.1%
                
Randstad Holding N.V. *
     1,040       45,374  
 
                
Diversified Financials 0.2%
                
ING Groep N.V. CVA *
     12,272       114,306  
 
                
Energy 1.5%
                
Fugro N.V., CVA
     442       25,051  
Royal Dutch Shell plc, A Shares
     18,798       555,444  
Royal Dutch Shell plc, B Shares
     14,378       409,858  
SBM Offshore N.V.
     858       16,192  
 
             1,006,545  
 
                
Food & Staples Retailing 0.2%
                
Koninklijke Ahold N.V.
     7,540       101,644  
 
                
Food, Beverage & Tobacco 0.5%
                
Heineken Holding N.V.
     390       16,070  
Heineken N.V.
     988       46,458  
Unilever N.V. CVA
     7,982       244,529  
 
             307,057  
 
                
Insurance 0.1%
                
AEGON N.V. *
     10,478       75,305  
 
                
Materials 0.2%
                
Akzo Nobel N.V.
     1,196       75,829  
James Hardie Industries N.V. CDI *
     2,782       20,576  
Koninklijke DSM N.V.
     962       47,315  
 
             143,720  
 
                
Media 0.1%
                
Reed Elsevier N.V.
     3,614       42,056  
Wolters Kluwer N.V.
     1,560       33,960  
 
             76,016  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
                
QIAGEN N.V. *
     1,222       27,024  
 
                
Real Estate 0.0%
                
Corio N.V.
     416       28,355  
 
                
Semiconductors & Semiconductor Equipment 0.1%
                
ASML Holding N.V.
     1,170       35,940  
STMicroelectronics N.V.
     1,560       12,528  
 
             48,468  
 
                
Telecommunication Services 0.2%
                
Koninklijke (Royal) KPN N.V.
     8,268       146,724  
 
                
Transportation 0.1%
                
TNT N.V.
     1,586       46,004  
 
             2,321,545  
 
                
New Zealand 0.3%
                
 
                
Consumer Services 0.0%
                
Sky City Entertainment Group Ltd.
     9,204       22,514  
 
                
Health Care Equipment & Services 0.0%
                
Fisher & Paykel Healthcare Corp., Ltd.
     4,472       10,172  
 
                
Materials 0.1%
                
Fletcher Building Ltd.
     8,892       49,862  
 
                
Media 0.0%
                
Sky Network Television Ltd.
     3,146       10,463  
 
                
Real Estate 0.0%
                
Kiwi Income Property Trust
     13,260       9,769  

9

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Retailing 0.0%
                
The Warehouse Group Ltd.
     2,522       7,504  
 
                
Telecommunication Services 0.1%
                
Telecom Corp. of New Zealand Ltd.
     20,124       35,409  
 
                
Transportation 0.0%
                
Air New Zealand Ltd.
     3,510       3,038  
Auckland International Airport Ltd.
     15,080       20,062  
 
             23,100  
 
                
Utilities 0.1%
                
Contact Energy Ltd. *
     4,758       19,942  
Vector Ltd.
     4,966       7,104  
 
             27,046  
 
             195,839  
 
                
Norway 0.9%
                
 
                
Banks 0.1%
                
DnB NOR A.S.A. *
     5,200       58,421  
 
                
Capital Goods 0.1%
                
Orkla A.S.A.
     5,200       47,799  
 
                
Energy 0.4%
                
Seadrill Ltd. *
     2,600       60,069  
Statoil A.S.A.
     7,800       190,920  
 
             250,989  
 
                
Insurance 0.1%
                
Storebrand A.S.A. *
     5,200       35,886  
 
                
Materials 0.1%
                
Norsk Hydro A.S.A. *
     5,200       36,627  
Yara International A.S.A.
     1,300       55,697  
 
             92,324  
 
                
Telecommunication Services 0.1%
                
Telenor A.S.A. *
     5,200       70,737  
 
             556,156  
 
                
Papua N.Guinea 0.1%
                
 
                
Energy 0.1%
                
Oil Search Ltd.
     8,086       42,189  
 
                
Portugal 0.4%
                
 
                
Banks 0.1%
                
Banco BPI S.A. — Reg’d
     3,068       10,180  
Banco Comercial Portugues S.A. — Reg’d
     23,530       31,158  
Banco Espirito Santo S.A. — Reg’d
     2,132       14,916  
 
             56,254  
 
                
Energy 0.0%
                
Galp Energia, SGPS, S.A., B Shares
     1,768       31,892  
 
                
Food & Staples Retailing 0.1%
                
Jeronimo Martins, SGPS, S.A.
     3,978       38,999  
 
                
Materials 0.0%
                
CIMPOR-Cimentos de Portugal, SGPS, S.A.
     884       6,729  
 
                
Media 0.0%
                
Zon Multimedia Servicos de Telecomunicacoes e Multimedia, SGPS, S.A.
     1,872       11,959  
 
                
Telecommunication Services 0.1%
                
Portugal Telecom, SGPS, S.A. — Reg’d
     2,964       35,827  
 
                
Transportation 0.0%
                
Brisa Auto-Estradas de Portugal S.A.
     1,404       14,060  
 
                
Utilities 0.1%
                
EDP — Energias de Portugal S.A.
     18,382       84,284  
 
             280,004  
 
                
Republic of Korea 3.3%
                
 
                
Banks 0.7%
                
KB Financial Group, Inc. ADR *
     5,200       261,872  
Shinhan Financial Group Co., Ltd. ADR
     2,600       205,192  
 
             467,064  
 
                
Materials 0.9%
                
POSCO ADR
     5,200       619,840  
 
                
Semiconductors & Semiconductor Equipment 1.0%
                
Samsung Electronics Co., Ltd. GDR (a)
     2,132       661,453  
 
                
Technology Hardware & Equipment 0.2%
                
LG Display Co., Ltd. ADR
     7,800       109,200  
 
                
Telecommunication Services 0.3%
                
KT Corp. ADR
     5,200       86,372  
SK Telecom Co., Ltd. ADR
     5,200       86,164  
 
             172,536  
 
                
Utilities 0.2%
                
Korea Electric Power Corp. ADR *
     7,800       107,016  
 
             2,137,109  
 
                
Singapore 1.1%
                
 
                
Banks 0.2%
                
Oversea-Chinese Banking Corp., Ltd.
     26,000       157,297  
 
                
Capital Goods 0.1%
                
Singapore Technologies Engineering Ltd.
     26,000       56,874  
Yangzijiang Shipbuilding Holdings Ltd.
     26,000       23,088  
 
             79,962  
 
                
Diversified Financials 0.0%
                
Pacific Century Regional Developments Ltd.
     26,000       3,379  
 
                
Food & Staples Retailing 0.1%
                
Olam International Ltd.
     26,000       49,366  
 
                
Food, Beverage & Tobacco 0.2%
                
Golden Agri-Resources Ltd. *
     78,000       25,903  
Wilmar International Ltd.
     26,000       118,255  
 
             144,158  
 
                
Real Estate 0.2%
                
CapitaCommercial Trust
     26,000       21,586  
Capitaland Ltd.
     26,000       75,645  

10

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
CapitaMall Trust
     26,000       32,286  
 
             129,517  
 
                
Telecommunication Services 0.2%
                
Singapore Telecommunications Ltd.
     52,000       109,995  
 
                
Transportation 0.1%
                
ComfortDelGro Corp., Ltd.
     26,000       27,780  
Neptune Orient Lines Ltd.
     26,000       28,344  
Singapore Post Ltd.
     26,000       18,301  
 
             74,425  
 
             748,099  
 
                
Spain 4.7%
                
 
                
Banks 2.0%
                
Banco Bilbao Vizcaya Argentaria S.A.
     20,696       389,798  
Banco de Sabadell S.A.
     6,682       42,536  
Banco de Valencia S.A.
     1,222       9,999  
Banco Espanol de Credito S.A.
     572       7,342  
Banco Popular Espanol S.A.
     7,124       60,323  
Banco Santander S.A.
     45,890       786,114  
Bankinter S.A.
     2,002       21,446  
 
             1,317,558  
 
                
Capital Goods 0.2%
                
ACS, Actividades de Construccion y Servicios S.A.
     1,404       69,877  
Ferrovial S.A.
     442       19,238  
Fomento de Construcciones y Contratas S.A.
     286       12,190  
Gamesa Corporacion Tecnologica S.A.
     1,482       28,258  
Sacyr Vallehermoso S.A. *
     858       11,838  
Zardoya Otis S.A.
     754       15,803  
 
             157,204  
 
                
Diversified Financials 0.1%
                
Corporacion Financiera Alba S.A.
     208       11,164  
Criteria Caixacorp S.A.
     6,968       35,569  
 
             46,733  
 
                
Energy 0.3%
                
Repsol YPF S.A.
     6,812       187,158  
 
                
Insurance 0.0%
                
Mapfre S.A.
     5,512       24,330  
 
                
Materials 0.1%
                
Acerinox S.A.
     1,248       25,838  
 
                
Media 0.0%
                
Gestevision Telecinco S.A.
     598       6,662  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
                
Grifols S.A.
     1,248       20,873  
 
                
Retailing 0.1%
                
Industria de Diseno Textil S.A.
     1,326       84,469  
 
                
Software & Services 0.0%
                
Indra Sistemas S.A.
     832       19,761  
 
                
Telecommunication Services 1.0%
                
Telefonica S.A.
     23,556       676,194  
 
                
Transportation 0.1%
                
Abertis Infraestructuras S.A.
     1,378       31,395  
Cintra Concesiones de Infraestructuras de Transporte S.A.
     780       8,443  
 
             39,838  
 
                
Utilities 0.8%
                
Acciona S.A.
     182       23,362  
EDP Renovaveis S.A. *
     3,042       29,883  
Enagas
     1,170       25,321  
Endesa S.A.
     650       20,347  
Gas Natural SDG S.A.
     2,782       57,702  
Iberdrola Renovables S.A.
     6,214       29,761  
Iberdrola S.A.
     29,406       279,020  
Red Electrica Corporacion S.A.
     390       21,313  
 
             486,709  
 
             3,093,327  
 
                
Sweden 2.8%
                
 
                
Banks 0.7%
                
Nordea Bank AB
     20,488       211,939  
Skandinaviska Enskilda Banken AB, A Shares *
     11,622       75,244  
Svenska Handelsbanken AB, A Shares
     4,004       114,519  
Swedbank AB, A Shares *
     3,510       33,447  
 
             435,149  
 
                
Capital Goods 0.7%
                
AB SKF, B Shares
     2,964       48,982  
Alfa Laval AB
     2,860       38,035  
Assa Abloy AB, B Shares
     3,484       63,856  
Atlas Copco AB, A Shares
     3,770       53,293  
Atlas Copco AB, B Shares
     2,262       28,400  
Sandvik AB
     6,630       77,928  
Scania AB, B Shares
     2,236       30,712  
Skanska AB, B Shares
     3,198       53,809  
Volvo AB, A Shares
     3,094       29,372  
Volvo AB, B Shares
     7,228       68,514  
 
             492,901  
 
                
Commercial & Professional Services 0.1%
                
Securitas AB, B Shares
     5,252       49,483  
 
                
Consumer Durables & Apparel 0.2%
                
Electrolux AB, Series B *
     2,626       64,098  
Husqvarna AB, B Shares *
     5,824       40,498  
 
             104,596  
 
                
Diversified Financials 0.1%
                
Industrivarden AB, A Shares
     1,508       18,663  
Industrivarden AB, C Shares
     312       3,571  
Investor AB, B Shares
     4,238       77,130  
 
             99,364  
 
                
Food, Beverage & Tobacco 0.1%
                
Swedish Match AB
     3,328       71,424  
 
                
Materials 0.2%
                
Boliden AB
     1,066       13,376  
Holmen AB, B Shares
     780       19,139  
SSAB AB, A Shares
     1,352       21,704  
SSAB AB, B Shares
     364       5,302  

11

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Svenska Cellulosa AB, B Shares
     4,602       63,211  
 
             122,732  
 
                
Retailing 0.2%
                
Hennes & Mauritz AB, B Shares
     2,678       157,978  
 
                
Technology Hardware & Equipment 0.3%
                
Telefonaktiebolaget LM Ericsson, B Shares
     17,732       169,983  
 
                
Telecommunication Services 0.2%
                
Tele2 AB, B Shares
     2,886       44,100  
TeliaSonera AB
     15,938       112,879  
 
             156,979  
 
             1,860,589  
 
                
Switzerland 7.5%
                
 
                
Capital Goods 0.6%
                
ABB Ltd. — Reg’d *
     13,338       244,380  
Geberit AG — Reg’d
     312       53,810  
Schindler Holding AG
     312       23,534  
Schindler Holding AG — Reg’d
     442       32,922  
 
             354,646  
 
                
Commercial & Professional Services 0.2%
                
Adecco S.A. — Reg’d
     1,300       64,854  
SGS S.A. — Reg’d
     52       66,693  
 
             131,547  
 
                
Consumer Durables & Apparel 0.3%
                
Compagnie Financiere Richemont S.A., Series A
     3,614       116,886  
Swatch Group AG
     234       58,928  
Swatch Group AG — Reg’d
     702       33,554  
 
             209,368  
 
                
Diversified Financials 1.1%
                
Credit Suisse Group AG — Reg’d
     6,786       351,379  
EFG International AG
     104       1,672  
GAM Holding Ltd.
     988       11,766  
Julius Baer Group Ltd.
     1,404       46,346  
Pargesa Holding S.A.
     338       28,036  
UBS AG — Reg’d *
     19,396       300,911  
 
             740,110  
 
                
Food, Beverage & Tobacco 1.5%
                
Nestle S.A. — Reg’d
     20,644       976,029  
 
                
Health Care Equipment & Services 0.1%
                
Nobel Biocare Holding AG — Reg’d
     572       17,002  
Sonova Holding AG — Reg’d
     234       27,798  
Straumann Holding AG — Reg’d
     52       12,748  
 
             57,548  
 
                
Insurance 0.5%
                
Baloise Holding AG — Reg’d
     364       30,356  
Swiss Life Holding AG — Reg’d *
     156       19,169  
Swiss Reinsurance Co., Ltd. — Reg’d
     2,002       95,231  
Zurich Financial Services AG
     832       179,283  
 
             324,039  
 
                
Materials 0.9%
                
Givaudan S.A. — Reg’d
     78       61,747  
Holcim Ltd. — Reg’d *
     1,404       101,080  
Syngenta AG — Reg’d
     676       179,257  
Xstrata plc *
     12,766       223,959  
 
             566,043  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 2.2%
                
Actelion Ltd. — Reg’d *
     858       50,493  
Lonza Group AG — Reg’d
     416       32,207  
Novartis AG — Reg’d
     12,818       711,579  
Roche Holding AG
     3,978       650,820  
 
             1,445,099  
 
                
Telecommunication Services 0.1%
                
Swisscom AG — Reg’d
     156       60,660  
 
                
Transportation 0.0%
                
Kuehne & Nagel International AG — Reg’d
     260       25,113  
 
                
Utilities 0.0%
                
BKW FMB Energie AG
     260       20,738  
 
             4,910,940  
 
                
United Kingdom 15.3%
                
 
                
Banks 2.7%
                
Barclays plc *
     62,764       301,127  
HSBC Holdings plc
     93,314       1,082,684  
Lloyds Banking Group plc *
     87,958       79,608  
Royal Bank of Scotland Group plc *
     97,292       52,977  
Standard Chartered plc
     11,102       270,377  
 
             1,786,773  
 
                
Capital Goods 0.5%
                
BAE Systems plc
     17,186       92,537  
Bunzl plc
     884       9,053  
Cobham plc
     3,978       14,597  
European Aeronautic Defence & Space Co.
     1,846       33,022  
Invensys plc
     4,004       18,399  
Rolls-Royce Group plc *
     8,398       65,395  
Smiths Group plc
     1,612       25,238  
Tomkins plc
     3,952       11,149  
Wolseley plc *
     1,690       32,172  
 
             301,562  
 
                
Commercial & Professional Services 0.1%
                
Capita Group plc
     2,990       34,937  
G4S plc
     7,384       29,568  
Hays plc
     6,734       10,786  
Rentokil Initial plc *
     11,596       19,163  
 
             94,454  
 
                
Consumer Durables & Apparel 0.0%
                
Burberry Group plc
     2,574       24,078  
 
             24,078  
 
                
Consumer Services 0.4%
                
Carnival plc
     1,482       49,566  
Compass Group plc
     11,700       82,717  
Intercontinental Hotels Group plc
     2,600       35,906  
Ladbrokes plc
     7,358       16,302  
PartyGaming plc *
     1,976       8,246  
Thomas Cook Group plc
     6,396       22,253  
TUI Travel plc
     5,122       20,670  

12

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
Whitbread plc
     1,534       32,299  
William Hill plc
     6,032       17,709  
 
             285,668  
 
                
Diversified Financials 0.2%
                
3i Group plc
     5,590       24,742  
ICAP plc
     2,418       17,155  
Man Group plc
     10,166       53,120  
Provident Financial plc
     130       1,889  
Schroders plc
     806       15,198  
Schroders plc, Non-Voting Shares
     130       2,066  
 
             114,170  
 
                
Energy 2.1%
                
AMEC plc
     1,196       15,575  
BG Group plc
     17,420       315,325  
BP plc
     100,516       947,842  
Cairn Energy plc *
     624       31,541  
Petrofac Ltd.
     338       5,397  
Tullow Oil plc
     3,354       67,923  
 
             1,383,603  
 
                
Food & Staples Retailing 0.6%
                
J Sainsbury plc
     10,192       53,841  
Tesco plc
     42,120       292,391  
William Morrison Supermarkets plc
     13,728       62,023  
 
             408,255  
 
                
Food, Beverage & Tobacco 1.7%
                
Associated British Foods plc
     910       12,029  
British American Tobacco plc
     10,400       315,236  
Cadbury plc
     5,772       76,348  
Diageo plc
     13,000       218,677  
Imperial Tobacco Group plc
     4,628       134,280  
SABMiller plc
     5,148       149,536  
Tate & Lyle plc
     1,092       7,434  
Unilever plc
     6,032       176,600  
 
             1,090,140  
 
                
Health Care Equipment & Services 0.0%
                
Smith & Nephew plc
     3,224       30,581  
 
                
Household & Personal Products 0.3%
                
Reckitt Benckiser Group plc
     3,250       165,341  
 
                
Insurance 0.7%
                
Admiral Group plc
     702       12,223  
Aviva plc
     15,288       92,930  
Legal & General Group plc
     34,190       43,400  
Old Mutual plc *
     30,680       57,146  
Prudential plc
     15,236       156,399  
Resolution Ltd. *
     9,360       12,980  
RSA Insurance Group plc
     15,990       30,650  
Standard Life plc
     11,076       37,826  
 
             443,554  
 
                
Materials 2.0%
                
Anglo American plc *
     7,306       312,097  
Antofagasta plc
     1,352       19,980  
BHP Billiton plc
     11,752       358,242  
Eurasian Natural Resources Corp.
     2,184       30,878  
Fresnillo plc
     1,066       14,748  
Johnson Matthey plc
     780       18,970  
Kazakhmys plc *
     1,274       25,779  
Lonmin plc *
     1,144       33,324  
Randgold Resources Ltd.
     156       13,197  
Rexam plc
     3,172       14,440  
Rio Tinto plc
     8,658       438,763  
Vedanta Resources plc
     832       31,459  
 
             1,311,877  
 
                
Media 0.4%
                
Aegis Group plc
     4,238       7,518  
British Sky Broadcasting Group plc
     6,006       52,190  
Daily Mail & General Trust plc, Class A
     1,144       7,759  
ITV plc
     23,764       20,299  
Pearson plc
     3,692       50,229  
Reed Elsevier plc
     5,434       40,540  
United Business Media Ltd.
     962       6,876  
WPP plc
     6,344       59,135  
 
             244,546  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 1.4%
                
AstraZeneca plc
     7,696       343,155  
GlaxoSmithKline plc
     27,482       566,916  
 
             910,071  
 
                
Real Estate 0.2%
                
British Land Co. plc
     4,082       29,837  
Hammerson plc
     3,588       23,594  
Land Securities Group plc
     4,082       44,113  
Liberty International plc
     2,860       21,848  
SEGRO plc
     4,394       23,472  
 
             142,864  
 
                
Retailing 0.2%
                
Home Retail Group plc
     3,588       17,323  
Kingfisher plc
     10,816       42,103  
Marks & Spencer Group plc
     7,332       46,434  
Next plc
     702       22,764  
The Carphone Warehouse Group plc
     416       1,303  
 
             129,927  
 
                
Software & Services 0.1%
                
Autonomy Corp. plc *
     910       21,281  
Logica plc
     8,762       16,881  
The Sage Group plc
     5,200       18,203  
 
             56,365  
 
                
Telecommunication Services 1.1%
                
BT Group plc
     35,594       81,896  
Cable & Wireless plc
     8,580       19,980  
Inmarsat plc
     650       6,779  
Vodafone Group plc
     286,130       643,778  
 
             752,433  
 
                
Transportation 0.0%
                
British Airways plc *
     1,222       3,917  
 
                
Utilities 0.6%
                
Centrica plc
     25,064       104,723  
Drax Group plc
     1,664       11,207  
International Power plc
     8,268       37,572  
National Grid plc
     12,038       130,486  
Scottish & Southern Energy plc
     4,446       81,500  
Severn Trent plc
     910       15,681  
United Utilities Group plc
     2,860       22,374  
 
             403,543  
 
             10,083,722  

13

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
                 
    Number   Value
Security   of Shares   ($)
United States 0.1%
                
 
                
Health Care Equipment & Services 0.1%
                
Synthes, Inc.
     390       51,301  
 
                
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
                
Perrigo Co.
     260       10,698  
 
             61,999  
Total Common Stock
(Cost $66,252,293)
             65,484,272  
 
                
 
                
Other Investment Companies 0.2% of net assets
                
United Kingdom 0.1%
                
Foreign & Colonial Investment Trust plc
     2,756       11,710  
Scottish Mortgage Investment Trust plc
     1,456       11,983  
The Alliance Trust plc
     2,626       13,196  
 
             36,889  
 
                
United States 0.1%
                
State Street Institutional Liquid Reserves Fund
     65,226       65,226  
 
Total Other Investment Companies
(Cost $103,102)
             102,115  
 
                
 
                
Preferred Stock 0.2% of net assets
                
Germany 0.2%
                
Fresenius SE
     312       20,826  
Henkel AG & Co. KGaA
     728       36,669  
Porsche Automobil Holding SE
     546       37,995  
Volkswagen AG
     650       55,137  
 
             150,627  
 
                
Italy 0.0%
                
EXOR S.p.A.
     442       4,751  
Unipol Gruppo Finanziario S.p.A. *
     5,668       5,000  
 
             9,751  
Total Preferred Stock
(Cost $165,989)
             160,378  
 
                
 
                
Rights 0.1% of net assets
                
France 0.0%
                
Pernod Ricard S.A. *
     940       1,603  
 
                
Germany 0.0%
                
K&S AG *
     720       2,411  
 
                
Netherlands 0.0%
                
ING Groep N.V. *
     9,440       23,385  
 
                
New Zealand 0.0%
                
Kiwi Income Property Trust *
     290       —  
 
                
Norway 0.0%
                
DnB NOR A.S.A. *
     888       2,502  
 
                
Spain 0.0%
                
Mapfre S.A. *
     3,604       54  
 
                
United Kingdom 0.1%
                
Lloyds Banking Group plc *
     90,664       26,410  
Total Rights
(Cost $63,692)
             56,365  
 
                
End of Investments.
At 11/30/09, the tax basis cost of the fund’s investments was $66,585,076 and the unrealized appreciation and depreciation were $551,720 and ($1,333,666), respectively, with a net unrealized depreciation of ($781,946).
 
*   Non-income producing security.
 
(a)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registrations, normally to qualified institutional buyers. At the period end, the value of these amounted to $661,453 or 1.0% of net assets.
 
ADR   American Depositary Receipt.
 
CDI   CHESS Depositary Interest.
 
CVA   Dutch Certificate.
 
GDR   Global Depositary Receipt.
 
Reg’d   Registered.
 
RSP   Risparmio (Convertible Savings Shares)
                                         
            Amount           Amount    
            of           of    
    Currency   Currency   Currency   Currency    
Expiration   to be   to be   to be   to be   Unrealized
Date   Received   Received   Delivered   Delivered   Gains
Forward Foreign Currency Contracts
                                        
12/4/2009
   EUR     440     USD     661       4  
12/9/2009
   EUR     204     USD     306       —  
 
                                        
 
                                        
Net unrealized gains on Forward Foreign Currency Contracts
                                     4  
 
                                        

14

 

Schwab International Equity ETF
Portfolio Holdings (Unaudited) continued
Various inputs are used on determining the value of the fund’s investments. The fair value measurements and disclosures establish a three-tier hierarchy of inputs to establish a classification of fair value measurements for disclosure purposes. These inputs are summarized in the three broad levels listed below:
  •   Level 1—quoted prices in active markets for identical securities. — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. The fund does not adjust the quoted price for such investments, even in situations where the fund holds a large position and a sale could reasonably impact the quoted price.
 
  •   Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •   Level 3—significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments). — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
                                 
    Quoted Prices            
    in Active   Significant        
    Markets for   Other   Significant    
    Identical   Observable   Unobservable    
    Assets   Inputs   Inputs    
Description   (Level 1)   (Level 2)   (Level 3)   Total
 
Common Stock — (a)
   $ 65,484,272     $ —     $ —     $ 65,484,272  
 
Other Investment Companies — (a)
     102,115       —       —       102,115  
 
Preferred Stock — (a)
     160,378       —       —       160,378  
 
Rights — (a)
     56,365       —       —       56,365  
 
Total
   $ 65,803,130     $ —     $ —     $ 65,803,130  
 
Other Financial Instruments Forward Foreign Currency Contracts*
   $ 4     $ —     $ —     $ 4  
 
 
*   Forward Foreign Currency Contracts are not included in Portfolio Holdings and are valued at the unrealized appreciation or depreciation.
 
(a)   as categorized in Portfolio Holdings
The fund entered into forward foreign currency exchange contracts during the period ended November 30, 2009. The fund invests in forward currency contracts in connection with the purchase and sale of portfolio securities to minimize the uncertainty of changes in future foreign currency exchange rates.

15

 

Item 2. Controls and Procedures.
(a)   Based on their evaluation of Registrant’s disclosure controls and procedures, as of a date within 90 days of the filing date, Registrant’s Chief Executive Officer, Randall Merk and Registrant’s Principal Financial Officer, George Pereira, have concluded that Registrant’s disclosure controls and procedures are: (i) reasonably designed to ensure that information required to be disclosed in this report is appropriately communicated to Registrant’s officers to allow timely decisions regarding disclosures required in this report; (ii) reasonably designed to ensure that information required to be disclosed in this report is recorded, processed, summarized and reported in a timely manner; and (iii) are effective in achieving the goals described in (i) and (ii) above.
 
(b)   During Registrant’s last fiscal quarter, there have been no changes in Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that the above officers believe to have materially affected, or to be reasonably likely to materially affect, Registrant’s internal control over financial reporting.
Item 3. Exhibits.
Separate certifications for Registrant’s principal executive officer and principal financial officer, as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)), are attached.
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant ) Schwab Strategic Trust
         
By:
  /s/ Randall W. Merk    
 
       
 
  Randall W. Merk    
 
  Chief Executive Officer    
 
        
Date:
  January 19, 2010    
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
         
By:
  /s/ Randall W. Merk    
 
       
 
  Randall W. Merk    
 
  Chief Executive Officer    
 
        
Date:
  January 19, 2010    
 
        
By:
  /s/ George Pereira    
 
       
 
  George Pereira    
 
  Principal Financial Officer    
 
        
Date:
  January 19, 2010