Battle of Real Estate ETFs: Vanguard Real Estate ETF Offers Lower Fees, While FlexShares Global Quality REIT Fund Delivers International Exposure
VNQ offers lower costs while GQRE delivers higher dividend income and broader international exposure. Both funds carry similar downside risk, making choice dependent on your preference for affordability versus yield.
Overview
The Vanguard Real Estate ETF (NYSEMKT:VNQ) offers a cost-efficient entry to U.S. property markets, while the FlexShares Global Quality Real Estate Index Fund (NYSEMKT:GQRE) provides broader global diversification at a higher price point.
Real estate investment trusts (REITs) offer a way to gain exposure to property without managing buildings directly. While both funds target this sector, they differ in geographic scope and cost structure, appealing to investors with distinct preferences for global versus domestic market concentration.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.