BYRE vs. PREF

Last updated Jun 4, 2026

BYRE (Principal Real Estate Active Opportunities ETF) and PREF (Principal Spectrum Preferred Secs Active ETF) are both exchange-traded funds - BYRE is a REIT fund actively managed by Principal, while PREF is a Preferred Stock/Convertible Bonds fund actively managed by Principal. Both are actively managed. Over the past 3 years, BYRE returned 8.77%/yr vs 9.25%/yr for PREF. At a 0.25 correlation, their price movements are largely independent. BYRE charges 0.65%/yr vs 0.55%/yr for PREF.

Performance

BYRE vs. PREF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal Real Estate Active Opportunities ETF (BYRE) and Principal Spectrum Preferred Secs Active ETF (PREF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BYRE achieves a 9.88% return, which is significantly higher than PREF's 1.65% return.

BYRE

• 1D: -0.46%
• 1M: -1.03%
• YTD: 9.88%
• 6M: 9.41%
• 1Y: 8.56%
• 3Y*: 8.77%
• 5Y*: —
• 10Y*: —

PREF

• 1D: -0.13%
• 1M: 0.52%
• YTD: 1.65%
• 6M: 2.32%
• 1Y: 6.65%
• 3Y*: 9.25%
• 5Y*: 3.07%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

BYRE vs. PREF - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
BYRE Principal Real Estate Active Opportunities ETF	9.88%	2.35%	4.18%	10.82%	-9.01%
PREF Principal Spectrum Preferred Secs Active ETF	1.65%	7.64%	11.43%	7.36%	-0.18%

Correlation

The correlation between BYRE and PREF is 0.24, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.24
Correlation (3Y) Calculated over the trailing 3-year period	0.18
Correlation (All Time) Calculated using the full available price history since May 20, 2022	0.25

BYRE vs. PREF - Sectors Allocation Comparison

Sectors	BYRE	PREF
Real Estate	95.9%	-
Financial Services	2.3%	100.0%
Industrials	0.3%	-
Healthcare	0.2%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Technology	-	-
Utilities	-	-

Return for Risk

BYRE vs. PREF — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

BYRE

BYRE Risk / Return Rank: 21
BYRE Sharpe Ratio Rank: 21
BYRE Sortino Ratio Rank: 20
BYRE Omega Ratio Rank: 20
BYRE Calmar Ratio Rank: 24
BYRE Martin Ratio Rank: 23

PREF

PREF Risk / Return Rank: 64
PREF Sharpe Ratio Rank: 64
PREF Sortino Ratio Rank: 67
PREF Omega Ratio Rank: 75
PREF Calmar Ratio Rank: 46
PREF Martin Ratio Rank: 66

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

BYRE vs. PREF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal Real Estate Active Opportunities ETF (BYRE) and Principal Spectrum Preferred Secs Active ETF (PREF). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	BYRE	PREF	Difference
Sharpe ratio: Return per unit of total volatility	0.69	2.16	-1.47
Sortino ratio: Return per unit of downside risk	1.00	3.10	-2.09
Omega ratio: Gain probability vs. loss probability	1.13	1.45	-0.32
Calmar ratio: Return relative to maximum drawdown	1.11	2.32	-1.21
Martin ratio: Return relative to average drawdown	2.79	12.09	-9.31
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BYRE vs. PREF - Sharpe Ratio Comparison

The current BYRE Sharpe Ratio is 0.69, which is lower than the PREF Sharpe Ratio of 2.16. The chart below compares the historical Sharpe Ratios of BYRE and PREF, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	BYRE	PREF	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.69	2.16	-1.47
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.63	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.23	0.66	-0.43

Drawdowns

BYRE vs. PREF - Drawdown Comparison

The maximum BYRE drawdown since its inception was -25.70%, which is greater than PREF's maximum drawdown of -22.99%. Use the drawdown chart below to compare losses from any high point for BYRE and PREF.

Drawdown Indicators

	BYRE	PREF	Difference
Max Drawdown Largest peak-to-trough decline	-25.70%	-22.99%	-2.71%
Max Drawdown (1Y) Largest decline over 1 year	-7.76%	-2.88%	-4.88%
Max Drawdown (3Y) Largest decline over 3 years	-15.20%	-4.39%	-10.81%
Max Drawdown (5Y) Largest decline over 5 years	—	-16.99%	—
Current Drawdown Current decline from peak	-3.43%	-0.13%	-3.30%
Average Drawdown Average peak-to-trough decline	-9.59%	-3.66%	-5.93%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.08%	0.55%	+2.53%

Volatility

BYRE vs. PREF - Volatility Comparison

Principal Real Estate Active Opportunities ETF (BYRE) has a higher volatility of 3.47% compared to Principal Spectrum Preferred Secs Active ETF (PREF) at 0.69%. This indicates that BYRE's price experiences larger fluctuations and is considered to be riskier than PREF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BYRE	PREF	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.47%	0.69%	+2.78%
Volatility (6M) Calculated over the trailing 6-month period	8.94%	2.51%	+6.43%
Volatility (1Y) Calculated over the trailing 1-year period	12.41%	3.09%	+9.32%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.10%	4.87%	+13.23%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.10%	6.30%	+11.80%

BYRE vs. PREF - Expense Ratio Comparison

BYRE has a 0.65% expense ratio, which is higher than PREF's 0.55% expense ratio.

Dividends

BYRE vs. PREF - Dividend Comparison

BYRE's dividend yield for the trailing twelve months is around 2.50%, less than PREF's 5.16% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
BYRE Principal Real Estate Active Opportunities ETF	2.50%	2.71%	2.31%	2.63%	1.86%	0.00%	0.00%	0.00%	0.00%	0.00%
PREF Principal Spectrum Preferred Secs Active ETF	5.16%	4.87%	4.65%	4.67%	4.63%	4.07%	4.35%	4.67%	5.49%	2.35%

Frequently Asked Questions

Can I hold both BYRE and PREF in my portfolio?

BYRE and PREF have a correlation of 0.24, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BYRE or PREF?

BYRE has higher volatility (3.47%) compared to PREF (0.69%). In terms of maximum drawdown, BYRE dropped -25.70% vs PREF's -22.99%.

Which ETF is better, BYRE or PREF?

On 3-year performance, PREF leads with 9.25% vs 8.77% for BYRE. On fees, PREF is cheaper at 0.55% per year. On volatility, PREF has been the lower-risk option at 0.69%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BYRE or PREF?

Over the 3-year period, PREF has performed better with a 9.25% return vs 8.77%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BYRE or PREF?

PREF is cheaper with a 0.55% expense ratio, compared with 0.65% for BYRE.

Which ETF pays a higher dividend yield, BYRE or PREF?

PREF has the higher dividend yield at 5.16%, compared with 2.50% for BYRE.

What is the main difference between BYRE and PREF?

BYRE is categorized as REIT, while PREF is Preferred Stock/Convertible Bonds. Their fees differ too: 0.65% for BYRE and 0.55% for PREF.

Which has better risk-adjusted returns?

PREF currently has the higher Sharpe Ratio (2.16 vs 0.69), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.