IYRI vs. VNQ

Last updated Jun 3, 2026

IYRI (NEOS Real Estate High Income ETF) and VNQ (Vanguard Real Estate ETF) are both exchange-traded funds - IYRI is a Derivative Income fund tracking the Dow Jones U.S. Real Estate Capped Index, while VNQ is a REIT fund tracking the MSCI US Investable Market Real Estate 25/50 Index. Both are passively managed. Over the past year, IYRI returned 7.66% vs 9.88% for VNQ. With a 0.95 correlation, they move nearly in lockstep. IYRI charges 0.68%/yr vs 0.13%/yr for VNQ.

Performance

IYRI vs. VNQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in NEOS Real Estate High Income ETF (IYRI) 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, IYRI achieves a 3.91% return, which is significantly lower than VNQ's 7.96% return.

IYRI

• 1D: 0.35%
• 1M: -1.50%
• YTD: 3.91%
• 6M: 3.39%
• 1Y: 7.66%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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)

IYRI vs. VNQ - Yearly Performance Comparison

	2026 (YTD)	2025
IYRI NEOS Real Estate High Income ETF	3.91%	7.95%
VNQ Vanguard Real Estate ETF	7.96%	4.64%

Correlation

The correlation between IYRI and VNQ is 0.95, 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	0.95
Correlation (All Time) Calculated using the full available price history since Jan 16, 2025	0.95

The correlation between IYRI and VNQ has been stable across timeframes, ranging from 0.95 to 0.95 - a consistent structural relationship.

IYRI vs. VNQ - Sectors Allocation Comparison

Sectors	IYRI	VNQ
Real Estate	98.0%	97.3%
Basic Materials	1.3%	1.1%
Communication Services	0.6%	0.6%
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	0.1%
Financial Services	-	0.1%
Healthcare	-	-
Industrials	-	0.0%
Technology	-	0.3%
Utilities	-	-

Return for Risk

IYRI vs. VNQ — Risk / Return Rank

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

IYRI

IYRI Risk / Return Rank: 22
IYRI Sharpe Ratio Rank: 22
IYRI Sortino Ratio Rank: 20
IYRI Omega Ratio Rank: 21
IYRI Calmar Ratio Rank: 22
IYRI Martin Ratio Rank: 26

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.

IYRI vs. VNQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for NEOS Real Estate High Income ETF (IYRI) 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.

	IYRI	VNQ	Difference
Sharpe ratio Return per unit of total volatility	0.75	0.75	-0.01
Sortino ratio Return per unit of downside risk	1.08	1.11	-0.03
Omega ratio Gain probability vs. loss probability	1.14	1.14	0.00
Calmar ratio Return relative to maximum drawdown	1.02	1.20	-0.18
Martin ratio Return relative to average drawdown	3.70	3.80	-0.10
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IYRI vs. VNQ - Sharpe Ratio Comparison

The current IYRI Sharpe Ratio is 0.75, which is comparable to the VNQ Sharpe Ratio of 0.75. The chart below compares the historical Sharpe Ratios of IYRI 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

	IYRI	VNQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.75	0.75	-0.01
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.12	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.25	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.67	0.26	+0.40

Drawdowns

IYRI vs. VNQ - Drawdown Comparison

The maximum IYRI drawdown since its inception was -12.12%, smaller than the maximum VNQ drawdown of -73.07%. Use the drawdown chart below to compare losses from any high point for IYRI and VNQ.

Drawdown Indicators

	IYRI	VNQ	Difference
Max Drawdown Largest peak-to-trough decline	-12.12%	-73.07%	+60.95%
Max Drawdown (1Y) Largest decline over 1 year	-7.53%	-8.34%	+0.81%
Max Drawdown (3Y) Largest decline over 3 years	—	-17.46%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-34.48%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-42.40%	—
Current Drawdown Current decline from peak	-2.33%	-3.64%	+1.31%
Average Drawdown Average peak-to-trough decline	-1.72%	-13.63%	+11.91%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.08%	2.64%	-0.56%

Volatility

IYRI vs. VNQ - Volatility Comparison

The current volatility for NEOS Real Estate High Income ETF (IYRI) is 3.03%, while Vanguard Real Estate ETF (VNQ) has a volatility of 3.77%. This indicates that IYRI 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

	IYRI	VNQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.03%	3.77%	-0.74%
Volatility (6M) Calculated over the trailing 6-month period	7.29%	9.33%	-2.04%
Volatility (1Y) Calculated over the trailing 1-year period	10.31%	13.16%	-2.85%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.09%	18.80%	-5.71%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.09%	20.70%	-7.61%

IYRI vs. VNQ - Expense Ratio Comparison

IYRI has a 0.68% expense ratio, which is higher than VNQ's 0.13% expense ratio.

Dividends

IYRI vs. VNQ - Dividend Comparison

IYRI's dividend yield for the trailing twelve months is around 11.29%, more than VNQ's 3.69% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IYRI NEOS Real Estate High Income ETF	11.29%	11.72%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
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 IYRI and VNQ in my portfolio?

With a correlation of 0.95, IYRI and VNQ move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, IYRI or VNQ?

VNQ has higher volatility (3.77%) compared to IYRI (3.03%). In terms of maximum drawdown, IYRI dropped -12.12% vs VNQ's -73.07%.

Which ETF is better, IYRI or VNQ?

On 1-year performance, VNQ leads with 9.88% vs 7.66% for IYRI. On fees, VNQ is cheaper at 0.13% per year. On volatility, IYRI has been the lower-risk option at 3.03%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IYRI or VNQ?

Over the 1-year period, VNQ has performed better with a 9.88% return vs 7.66%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IYRI or VNQ?

VNQ is cheaper with a 0.13% expense ratio, compared with 0.68% for IYRI.

Which ETF pays a higher dividend yield, IYRI or VNQ?

IYRI has the higher dividend yield at 11.29%, compared with 3.69% for VNQ.

What is the main difference between IYRI and VNQ?

IYRI is categorized as Derivative Income, while VNQ is REIT. IYRI tracks Dow Jones U.S. Real Estate Capped Index, while VNQ tracks MSCI US Investable Market Real Estate 25/50 Index. They also come from different issuers: Neos and Vanguard. Their fees differ too: 0.68% for IYRI and 0.13% for VNQ.

Which has better risk-adjusted returns?

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