HAUZ vs. VNQI: How Do These Two Real Estate ETFs Compare on Yield, Cost, and Performance?

Vanguard Global ex-U.S. Real Estate ETF (NASDAQ:VNQI) and Xtrackers International Real Estate ETF (NYSEMKT:HAUZ) some people planetary existent estate, but HAUZ edges up with a marginally little fee, higher caller return, and a much concentrated existent property assemblage tilt.

Both VNQI and HAUZ connection vulnerability to existent property stocks extracurricular the United States, appealing to investors seeking diversification successful planetary spot markets. This examination looks astatine cost, performance, risk, assemblage makeup, and portfolio quirks to assistance clarify which whitethorn amended align with assorted concern goals.

Beta measures terms volatility comparative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr instrumentality represents full instrumentality implicit the trailing 12 months.

HAUZ comes successful somewhat much affordable connected fees astatine 0.10% compared to VNQI’s 0.12%, which could entreaty to cost-conscious investors. VNQI offers a modestly higher dividend output astatine 4.6%, edging retired HAUZ’s 4.4% payout.

HAUZ targets the iSTOXX Developed and Emerging Markets ex USA PK VN Real Estate Index, resulting successful an ultra-focused existent property portfolio: 96% existent estate, 412 holdings, and conscionable 2% successful industrials and 1% successful connection services. Its largest weights spell to Goodman Group (ASX:GMG), Mitsubishi Estate Co Ltd (OTC:MITEY), and Mitsui Fudosan Co Ltd (OTC:MTSFY), with the money successful beingness for 12.5 years and nary notable quirks specified arsenic leverage oregon hedging.

VNQI, by contrast, spreads its bets crossed 682 holdings with 80% existent property exposure, but holds a higher allocation to currency and different assets (16%) and a insignificant tilt to fiscal services. Its apical names overlap with HAUZ, featuring Mitsubishi Estate Co Ltd, Goodman Group, and Mitsui Fudosan Co Ltd, but with somewhat little idiosyncratic weights. Both funds connection broad, index-based planetary spot vulnerability with subtle differences successful assemblage concentration.

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For those investors who privation to physique oregon summation their vulnerability to the existent property sector, some Vanguard Global ex-U.S. Real Estate ETF (VNQI) and Xtrackers International Real Estate ETF (HAUZ) are exchange-traded funds (ETFs) to consider. Here’s however they measurement up to 1 another.