XLRE vs. RWO: Which Real Estate ETF Offers Better Value
One fund targets U.S. large-caps with a 0.08% fee, while the other spans 224 global stocks with a fee of 0.5%. Both yield 3.5%, but their performance and risk profiles diverge.
The State Street Real Estate Select Sector SPDR ETF (XLRE) and the State Street SPDR Dow Jones Global Real Estate ETF (RWO) are two real estate ETFs with different focuses. XLRE focuses on U.S. large-cap property stocks, while RWO offers a global portfolio. According to Nasdaq Markets, XLRE has a significantly lower expense ratio than RWO.
The expense ratio of XLRE is 0.08%, while RWO's expense ratio is 0.50%, as reported by Motley Fool. This makes XLRE a more cost-effective option for investors. Both funds provide a way for investors to generate income and capture growth in the real estate sector without direct property management.
The two funds offer different lenses on the real estate sector, with XLRE focusing on U.S. giants and RWO capturing the global real estate landscape. Motley Fool notes that both funds invest in real estate investment trusts (REITs) and property companies.
Brief written by urgent.news from Nasdaq Markets, Motley Fool — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.