Blood in the REIT Street

Which one is the best? [View in browser]( Proprietary Data Insights Financial Pros Top Real Estate ETF Searches In The Last Month Rank Name Searches #1 Vanguard Real Estate Index Fund 271 #2 The Real Estate Select SPDR Fund 205 #3 iShares U.S. Real Estate ETF 140 #4 iShares Cohen & Steers REIT ETF 61 #5 Schwab U.S. REIT ETF 28 #ad [Exclusive Q3 Report]( Brought to you by [The Alt]( [Take Your Investments to the Next Level]( Cryptos… commodities… real estate… startups… They can help you make a fortune. But it’s hard to figure out which to invest in. That’s why we’re launching The Alt – a free newsletter focused on these and other alternative assets. Each issue will show you the latest trends, ideas, and discoveries happening outside of the mainstream. Ready to learn how to take your investments to the next level? [Click here to sign up for The Alt]( Real Estate ETFs Blood in the REIT Street Mortgage rates hit 20-year highs. Home sales are in the toilet. Yet, if history is any indication, price will eventually rebound. With real estate markets beaten down this year, it’s no shock to see financial pros looking into Vanguard Real Estate ETF (VNQ), the most searched real estate ETF over the last month. Yet, REITs can be a tricky business. Not only do they offer different tax treatments, but some exclusively hold apartment buildings while others focus on commercial properties. Where does VNQ land in the mix? The Vanguard Real Estate ETF (VNQ) Vanguard Real Estate ETF (VNQ) invests in stocks issued by real estate investment trusts (REITs), companies that purchase office buildings, hotels, and other real property. There are 167 stocks in VNQ. Here are the portfolio characteristics: P/E Ratio 24.6x P/B Ratio 2.0x Return on Equity 7.9% Median Market Cap $22.6 billion Earnings Growth Rate 11.0% VNQ is diversified in many sectors involving real estate. Specialized REITs comprise 38% of the weighted portfolio, followed by Residential REITs at 15.3%, Retail REITs at 11.4%, Industrial REITs at 11.4%, with the remainder spread amongst various subsectors. You can see the full breakdown below: [Reit] The largest holding in the portfolio isn’t an individual stock but the Vanguard Real Estate II Index Fund Institutional Plus Shares, accounting for 11.87% of the ETFs weighting. That means its largest holding isn’t a company but another fund. Here are the top ten positions in the portfolio: [portfolio] VNQ has a lengthy track record dating back to September 2004. Since its inception, it has returned 267% to investors and 91% over the last ten years. However, it’s down -2.5% over the last 3-years. [graph] Trading VNQ VNQ is actively traded, with a daily average volume of 5.2 million shares. Traders can also play VNQ via options, though only monthly expirations are available. Investing In VNQ VNQ charges an ultra-low expense ratio of 0.12%. Plus, it pays an annual dividend yield of 3.86% or $3.12 per share. Alternatives to VNQ Investors have several options when selecting a real estate ETF. Some alternatives to VNQ include Schwab U.S. REIT ETF (SCHH), The Real Estate Select Sector SPDR Fund (XLRE), iShares U.S. Real Estate ETF (IYR), and iShares Cohen & Steers REIT ETF (ICF). Portfolio Comparison- Number of Positions VNQ 167 positions SCHH 135 positions ICF 29 positions XLRE 31 positions IYR 79 positions VNQ offers the greatest diversification of the group, while ICF is the most concentrated. Fees Comparison- Expense Ratio VNQ 0.12% SCHH 0.07% ICF 0.32% XLRE 0.10% IYR 0.39% SCHH is the cheapest real estate ETF, and IYR is the most expensive. Income Comparison- Dividend Yield VNQ 3.86% SCHH 3.22% ICF 2.88% XLRE 4.57% IYR 3.44% XLRE offers the most attractive dividend yield at 4.57%, followed by VNQ at 3.86%. Performance Comparison- 5-Year Annualized Returns VNQ 4.00% SCHH 0.75% ICF 3.95% XLRE 5.69% IYR 3.36% Investors typically buy real estate ETFs for the dividend power. However, all the ETFs mentioned above have experienced growth. XLRE has performed the best, returning 5.69% annually over the last 5-years. Price Comparison- Share Price VNQ $80.67 SCHH $18.76 ICF $53.02 XLRE $35.71 IYR $81.58 [3 Top Investment Trends for 2023 & Beyond]( Inflation is out of control. The Fed plans to hike rates until we’re all in the poorhouse. And there’s a recession right around the corner… But you don’t have to settle for doom and gloom. In this free exclusive report, we dive into three key investment trends – and our top recommendations to play them to grow your wealth. [Go here to learn where to put your money for 2023 and beyond.]( Our Opinion 7/10 Interest rates are increasing, and fears of a recession are approaching. However, many of the real estate ETFs mentioned are already down 20-35%. While things can undoubtedly worsen, real estate has a history of bouncing back strongly. We think buying VNQ at these levels should pay off over the next few years. However, if you were to pick just one from the group mentioned, we like XLRE the best because it has performed better, has a lower share price, and pays out a higher dividend. News & Insights Just Spilled - [You’re Already an Expert on This Investment]( - [Position yourself in the face of market volatility…]( - [Explosive Growth and Barely Cash-Positive]( - [Can the Smartest Guys in the Room Recover?]( [We want to hear from you! Let us know your thoughts by clicking here]( # [submit to reddit]( [submit to reddit]( [submit to reddit]( [submit to reddit]( To ensure delivery of all emails, [allow us on your list](. Update your email preferences or unsubscribe [here](. View our privacy policy [here](#). Copyright ©2022 InvestingChannel. All rights reserved. 1325 Avenue of the Americas, Floor 27 & 28 New York, New York 10019 Disclaimer: This is not investment advice. This InvestingChannel, Inc. newsletter is for information purposes only and opinion-based. Futures, forex, stock, and options trading are not appropriate for all investors. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can ensure returns or against losses. No representation or implication is being made that using any of these methodologies or systems will generate returns or ensure against losses. Investors should be cautious about any and all investments and are advised to conduct their own due diligence prior to making any investment decisions. [Link](