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IYR vs. ERET
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IYR vs. ERET

Last updated Jun 4, 2026

IYR (iShares U.S. Real Estate ETF) and ERET (Ishares Environmentally Aware Real Estate ETF) are both REIT funds from iShares - IYR tracks the Dow Jones U.S. Real Estate Index while ERET tracks the FTSE EPRA Nareit Developed Green Target Index. Both are passively managed. Over the past 3 years, IYR returned 8.68%/yr vs 8.67%/yr for ERET. Their correlation of 0.92 suggests significant overlap in exposure. IYR charges 0.42%/yr vs 0.30%/yr for ERET.

Performance

IYR vs. ERET - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Real Estate ETF (IYR) and Ishares Environmentally Aware Real Estate ETF (ERET). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, IYR achieves a 6.81% return, which is significantly higher than ERET's 5.79% return.

IYR

1D
0.01%
1M
-1.60%
YTD
6.81%
6M
5.67%
1Y
8.44%
3Y*
8.68%
5Y*
2.02%
10Y*
5.47%

ERET

1D
-0.25%
1M
-2.05%
YTD
5.79%
6M
5.65%
1Y
10.59%
3Y*
8.67%
5Y*
—
10Y*
—
*Multi-year figures are annualized to reflect compound growth (CAGR)

IYR vs. ERET - Yearly Performance Comparison

2026 (YTD)2025202420232022
IYR
iShares U.S. Real Estate ETF		6.81%3.38%4.41%11.89%-0.68%
ERET
Ishares Environmentally Aware Real Estate ETF		5.79%10.26%0.60%10.25%0.29%

Correlation

The correlation between IYR and ERET is 0.88, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.88

Correlation (3Y)
Calculated over the trailing 3-year period

0.92

Correlation (All Time)
Calculated using the full available price history since Nov 18, 2022

0.92

The correlation between IYR and ERET has been stable across timeframes, ranging from 0.88 to 0.92 - a consistent structural relationship.

IYR vs. ERET - Sectors Allocation Comparison

Sectors
IYR
ERET

Real Estate

97.9%
99.7%

Basic Materials

1.3%

-

Communication Services

0.6%

-

Consumer Cyclical

-

0.0%

Consumer Defensive

-

-

Energy

-

-

Financial Services

-

-

Healthcare

-

-

Industrials

-

-

Technology

-

0.2%

Utilities

-

-

Real Estate

IYR
97.9%
ERET
99.7%

Basic Materials

IYR
1.3%
ERET

-

Communication Services

IYR
0.6%
ERET

-

Consumer Cyclical

IYR

-

ERET
0.0%

Consumer Defensive

IYR

-

ERET

-

Energy

IYR

-

ERET

-

Financial Services

IYR

-

ERET

-

Healthcare

IYR

-

ERET

-

Industrials

IYR

-

ERET

-

Technology

IYR

-

ERET
0.2%

Utilities

IYR

-

ERET

-

Compare stocks, funds, or ETFs

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iShares U.S. Real Estate ETF

Ishares Environmentally Aware Real Estate ETF

Often compared with IYR:
IYR vs. VNQIYR vs. XLREIYR vs. VOOIYR vs. REZIYR vs. ICFIYR vs. REMIYR vs. FRI
Often compared with ERET:
ERET vs. VNQERET vs. ESGVERET vs. EPRERET vs. UCONERET vs. ^GSPCERET vs. WELLERET vs. HAUZ

Return for Risk

IYR vs. ERET — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IYR
IYR Risk / Return Rank: 2020
Overall Rank
IYR Sharpe Ratio Rank: 1919
Sharpe Ratio Rank
IYR Sortino Ratio Rank: 1818
Sortino Ratio Rank
IYR Omega Ratio Rank: 1818
Omega Ratio Rank
IYR Calmar Ratio Rank: 2121
Calmar Ratio Rank
IYR Martin Ratio Rank: 2424
Martin Ratio Rank
ERET
ERET Risk / Return Rank: 2525
Overall Rank
ERET Sharpe Ratio Rank: 2525
Sharpe Ratio Rank
ERET Sortino Ratio Rank: 2424
Sortino Ratio Rank
ERET Omega Ratio Rank: 2424
Omega Ratio Rank
ERET Calmar Ratio Rank: 2323
Calmar Ratio Rank
ERET Martin Ratio Rank: 2828
Martin Ratio Rank
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.

IYR vs. ERET - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Real Estate ETF (IYR) and Ishares Environmentally Aware Real Estate ETF (ERET). 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.

IYRERETDifference
Sharpe ratioReturn per unit of total volatility
0.64
0.88

-0.24

Sortino ratioReturn per unit of downside risk
0.96
1.27

-0.32

Omega ratioGain probability vs. loss probability

1.12

1.16

-0.04

Calmar ratioReturn relative to maximum drawdown

0.99

1.02

-0.02

Martin ratioReturn relative to average drawdown

3.10

3.82

-0.72

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IYR vs. ERET - Sharpe Ratio Comparison

The current IYR Sharpe Ratio is 0.64, which is comparable to the ERET Sharpe Ratio of 0.88. The chart below compares the historical Sharpe Ratios of IYR and ERET, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

IYRERETDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.64

0.88

-0.24

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.11

—

—

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.27

—

—

Sharpe Ratio (All Time)

Calculated using the full available price history

0.32

0.49

-0.17

Drawdowns

IYR vs. ERET - Drawdown Comparison

The maximum IYR drawdown since its inception was -74.13%, which is greater than ERET's maximum drawdown of -20.30%. Use the drawdown chart below to compare losses from any high point for IYR and ERET.

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Drawdown Indicators

IYRERETDifference

Max Drawdown

Largest peak-to-trough decline

-74.13%

-20.30%

-53.83%

Max Drawdown (1Y)

Largest decline over 1 year

-8.54%

-10.47%

+1.93%

Max Drawdown (3Y)

Largest decline over 3 years

-17.52%

-17.61%

+0.09%

Max Drawdown (5Y)

Largest decline over 5 years

-33.75%

—

—

Max Drawdown (10Y)

Largest decline over 10 years

-42.32%

—

—

Current Drawdown

Current decline from peak

-3.91%

-4.68%

+0.77%

Average Drawdown

Average peak-to-trough decline

-12.91%

-5.83%

-7.08%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.73%

2.78%

-0.05%

Volatility

IYR vs. ERET - Volatility Comparison

The current volatility for iShares U.S. Real Estate ETF (IYR) is 3.69%, while Ishares Environmentally Aware Real Estate ETF (ERET) has a volatility of 3.96%. This indicates that IYR experiences smaller price fluctuations and is considered to be less risky than ERET based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

IYRERETDifference

Volatility (1M)

Calculated over the trailing 1-month period

3.69%

3.96%

-0.27%

Volatility (6M)

Calculated over the trailing 6-month period

9.35%

9.20%

+0.15%

Volatility (1Y)

Calculated over the trailing 1-year period

13.19%

12.04%

+1.15%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

18.71%

15.77%

+2.94%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

20.31%

15.77%

+4.54%

IYR vs. ERET - Expense Ratio Comparison

IYR has a 0.42% expense ratio, which is higher than ERET's 0.30% expense ratio.

Dividends

IYR vs. ERET - Dividend Comparison

IYR's dividend yield for the trailing twelve months is around 2.25%, less than ERET's 3.59% yield.

PositionTTM20252024202320222021202020192018201720162015
ERET
Ishares Environmentally Aware Real Estate ETF		3.59%3.79%4.26%3.67%0.64%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
IYR
iShares U.S. Real Estate ETF		2.25%2.48%2.57%2.75%2.92%2.06%2.58%3.05%3.53%3.73%4.41%3.92%

Frequently Asked Questions

IYR and ERET have a correlation of 0.88, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

ERET has higher volatility (3.96%) compared to IYR (3.69%). In terms of maximum drawdown, IYR dropped -74.13% vs ERET's -20.30%.

On 3-year performance, IYR leads with 8.68% vs 8.67% for ERET. On fees, ERET is cheaper at 0.30% per year. On volatility, IYR has been the lower-risk option at 3.69%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 3-year period, IYR has performed better with a 8.68% return vs 8.67%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

ERET is cheaper with a 0.30% expense ratio, compared with 0.42% for IYR.

ERET has the higher dividend yield at 3.59%, compared with 2.25% for IYR.

IYR tracks Dow Jones U.S. Real Estate Index, while ERET tracks FTSE EPRA Nareit Developed Green Target Index. Their fees differ too: 0.42% for IYR and 0.30% for ERET.

ERET currently has the higher Sharpe Ratio (0.88 vs 0.64), 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.

Portfolio Optimizer

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