FIREX vs. VNQ

Last updated Jun 3, 2026

FIREX (Fidelity International Real Estate Fund) and VNQ (Vanguard Real Estate ETF) are both REIT funds. Over the past 10 years, FIREX returned 3.30%/yr vs 5.22%/yr for VNQ. A 0.51 correlation means they provide meaningful diversification when combined. FIREX charges 0.95%/yr vs 0.13%/yr for VNQ.

Performance

FIREX vs. VNQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity International Real Estate Fund (FIREX) and Vanguard Real Estate ETF (VNQ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FIREX achieves a -2.83% return, which is significantly lower than VNQ's 7.96% return. Over the past 10 years, FIREX has underperformed VNQ with an annualized return of 3.30%, while VNQ has yielded a comparatively higher 5.22% annualized return.

FIREX

• 1D: -1.53%
• 1M: -3.47%
• YTD: -2.83%
• 6M: -1.31%
• 1Y: 4.02%
• 3Y*: 3.91%
• 5Y*: -3.31%
• 10Y*: 3.30%

VNQ

• 1D: 0.46%
• 1M: -1.60%
• YTD: 7.96%
• 6M: 7.15%
• 1Y: 9.88%
• 3Y*: 9.19%
• 5Y*: 2.21%
• 10Y*: 5.22%

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

FIREX vs. VNQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FIREX Fidelity International Real Estate Fund	-2.83%	22.85%	-9.46%	4.01%	-26.61%	11.85%	5.71%	27.96%	-6.15%	24.61%
VNQ Vanguard Real Estate ETF	7.96%	3.24%	4.81%	11.85%	-26.25%	40.54%	-4.61%	28.91%	-6.03%	4.90%

Correlation

The correlation between FIREX and VNQ is 0.51, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.55
Correlation (5Y) Calculated over the trailing 5-year period	0.58
Correlation (10Y) Calculated over the trailing 10-year period	0.51
Correlation (All Time) Calculated using the full available price history since Sep 30, 2004	0.51

The correlation between FIREX and VNQ has been stable across timeframes, ranging from 0.51 to 0.58 - a consistent structural relationship.

Return for Risk

FIREX vs. VNQ — Risk / Return Rank

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

FIREX

FIREX Risk / Return Rank: 5
FIREX Sharpe Ratio Rank: 5
FIREX Sortino Ratio Rank: 5
FIREX Omega Ratio Rank: 5
FIREX Calmar Ratio Rank: 4
FIREX Martin Ratio Rank: 4

VNQ

VNQ Risk / Return Rank: 23
VNQ Sharpe Ratio Rank: 22
VNQ Sortino Ratio Rank: 21
VNQ Omega Ratio Rank: 21
VNQ Calmar Ratio Rank: 25
VNQ Martin Ratio Rank: 27

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.

FIREX vs. VNQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity International Real Estate Fund (FIREX) and Vanguard Real Estate ETF (VNQ). 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.

	FIREX	VNQ	Difference
Sharpe ratio Return per unit of total volatility	0.40	0.75	-0.35
Sortino ratio Return per unit of downside risk	0.66	1.11	-0.45
Omega ratio Gain probability vs. loss probability	1.08	1.14	-0.06
Calmar ratio Return relative to maximum drawdown	0.38	1.20	-0.83
Martin ratio Return relative to average drawdown	1.04	3.80	-2.76
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FIREX vs. VNQ - Sharpe Ratio Comparison

The current FIREX Sharpe Ratio is 0.40, which is lower than the VNQ Sharpe Ratio of 0.75. The chart below compares the historical Sharpe Ratios of FIREX and VNQ, 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

	FIREX	VNQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.40	0.75	-0.35
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.24	0.12	-0.36
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.24	0.25	-0.01
Sharpe Ratio (All Time) Calculated using the full available price history	0.25	0.26	-0.02

Drawdowns

FIREX vs. VNQ - Drawdown Comparison

The maximum FIREX drawdown since its inception was -71.40%, roughly equal to the maximum VNQ drawdown of -73.07%. Use the drawdown chart below to compare losses from any high point for FIREX and VNQ.

Drawdown Indicators

	FIREX	VNQ	Difference
Max Drawdown Largest peak-to-trough decline	-71.40%	-73.07%	+1.67%
Max Drawdown (1Y) Largest decline over 1 year	-13.75%	-8.34%	-5.41%
Max Drawdown (3Y) Largest decline over 3 years	-18.06%	-17.46%	-0.60%
Max Drawdown (5Y) Largest decline over 5 years	-37.14%	-34.48%	-2.66%
Max Drawdown (10Y) Largest decline over 10 years	-37.14%	-42.40%	+5.26%
Current Drawdown Current decline from peak	-19.79%	-3.64%	-16.15%
Average Drawdown Average peak-to-trough decline	-18.73%	-13.63%	-5.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.95%	2.64%	+2.31%

Volatility

FIREX vs. VNQ - Volatility Comparison

The current volatility for Fidelity International Real Estate Fund (FIREX) is 3.51%, while Vanguard Real Estate ETF (VNQ) has a volatility of 3.77%. This indicates that FIREX experiences smaller price fluctuations and is considered to be less risky than VNQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FIREX	VNQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.51%	3.77%	-0.26%
Volatility (6M) Calculated over the trailing 6-month period	9.81%	9.33%	+0.48%
Volatility (1Y) Calculated over the trailing 1-year period	12.09%	13.16%	-1.07%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.71%	18.80%	-5.09%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.78%	20.70%	-6.92%

FIREX vs. VNQ - Expense Ratio Comparison

FIREX has a 0.95% expense ratio, which is higher than VNQ's 0.13% expense ratio.

Dividends

FIREX vs. VNQ - Dividend Comparison

FIREX's dividend yield for the trailing twelve months is around 3.05%, less than VNQ's 3.69% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FIREX Fidelity International Real Estate Fund	3.05%	2.97%	5.27%	1.86%	4.44%	5.44%	1.77%	5.10%	2.01%	1.46%	4.14%	2.87%
VNQ Vanguard Real Estate ETF	3.69%	3.92%	3.85%	3.95%	3.91%	2.56%	3.93%	3.39%	4.74%	4.23%	4.82%	3.92%

Frequently Asked Questions

Can I hold both FIREX and VNQ in my portfolio?

FIREX and VNQ have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FIREX or VNQ?

VNQ has higher volatility (3.77%) compared to FIREX (3.51%). In terms of maximum drawdown, FIREX dropped -71.40% vs VNQ's -73.07%.

Which has better risk-adjusted returns?

VNQ currently has the higher Sharpe Ratio (0.75 vs 0.40), 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.