PEY vs. VNQ

Last updated Jun 3, 2026

PEY (Invesco High Yield Equity Dividend Achievers™ ETF) and VNQ (Vanguard Real Estate ETF) are both exchange-traded funds - PEY is a Mid Cap Value Equities fund tracking the NASDAQ US Dividend Achievers 50 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 10 years, PEY returned 8.66%/yr vs 5.22%/yr for VNQ. A 0.69 correlation means they provide meaningful diversification when combined. PEY charges 0.54%/yr vs 0.13%/yr for VNQ.

Performance

PEY vs. VNQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco High Yield Equity Dividend Achievers™ ETF (PEY) 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, PEY achieves a 13.54% return, which is significantly higher than VNQ's 7.96% return. Over the past 10 years, PEY has outperformed VNQ with an annualized return of 8.66%, while VNQ has yielded a comparatively lower 5.22% annualized return.

PEY

• 1D: -0.11%
• 1M: 2.61%
• YTD: 13.54%
• 6M: 14.20%
• 1Y: 18.05%
• 3Y*: 11.50%
• 5Y*: 5.91%
• 10Y*: 8.66%

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)

PEY vs. VNQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PEY Invesco High Yield Equity Dividend Achievers™ ETF	13.54%	0.56%	5.25%	7.29%	2.45%	26.15%	-3.85%	24.76%	-7.49%	8.78%
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 PEY and VNQ is 0.61, 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	0.61
Correlation (3Y) Calculated over the trailing 3-year period	0.68
Correlation (5Y) Calculated over the trailing 5-year period	0.70
Correlation (10Y) Calculated over the trailing 10-year period	0.64
Correlation (All Time) Calculated using the full available price history since Dec 10, 2004	0.69

The correlation between PEY and VNQ has been stable across timeframes, ranging from 0.61 to 0.70 - a consistent structural relationship.

PEY vs. VNQ - Sectors Allocation Comparison

Sectors	PEY	VNQ
Financial Services	21.7%	0.1%
Consumer Defensive	16.9%	-
Industrials	15.0%	0.0%
Utilities	12.0%	-
Consumer Cyclical	7.5%	-
Healthcare	6.8%	-
Technology	6.5%	0.3%
Basic Materials	6.4%	1.1%
Communication Services	5.7%	0.6%
Energy	1.5%	0.1%
Real Estate	-	97.3%

Return for Risk

PEY vs. VNQ — Risk / Return Rank

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

PEY

PEY Risk / Return Rank: 37
PEY Sharpe Ratio Rank: 36
PEY Sortino Ratio Rank: 39
PEY Omega Ratio Rank: 33
PEY Calmar Ratio Rank: 40
PEY Martin Ratio Rank: 35

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.

PEY vs. VNQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco High Yield Equity Dividend Achievers™ ETF (PEY) 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.

	PEY	VNQ	Difference
Sharpe ratio Return per unit of total volatility	1.30	0.75	+0.54
Sortino ratio Return per unit of downside risk	2.00	1.11	+0.89
Omega ratio Gain probability vs. loss probability	1.22	1.14	+0.09
Calmar ratio Return relative to maximum drawdown	1.99	1.20	+0.78
Martin ratio Return relative to average drawdown	5.57	3.80	+1.76
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PEY vs. VNQ - Sharpe Ratio Comparison

The current PEY Sharpe Ratio is 1.30, which is higher than the VNQ Sharpe Ratio of 0.75. The chart below compares the historical Sharpe Ratios of PEY 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

	PEY	VNQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.30	0.75	+0.54
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.36	0.12	+0.24
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.46	0.25	+0.21
Sharpe Ratio (All Time) Calculated using the full available price history	0.28	0.26	+0.02

Drawdowns

PEY vs. VNQ - Drawdown Comparison

The maximum PEY drawdown since its inception was -72.81%, roughly equal to the maximum VNQ drawdown of -73.07%. Use the drawdown chart below to compare losses from any high point for PEY and VNQ.

Drawdown Indicators

	PEY	VNQ	Difference
Max Drawdown Largest peak-to-trough decline	-72.81%	-73.07%	+0.26%
Max Drawdown (1Y) Largest decline over 1 year	-8.88%	-8.34%	-0.54%
Max Drawdown (3Y) Largest decline over 3 years	-17.90%	-17.46%	-0.44%
Max Drawdown (5Y) Largest decline over 5 years	-17.90%	-34.48%	+16.58%
Max Drawdown (10Y) Largest decline over 10 years	-41.55%	-42.40%	+0.85%
Current Drawdown Current decline from peak	-0.11%	-3.64%	+3.53%
Average Drawdown Average peak-to-trough decline	-12.88%	-13.63%	+0.75%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.17%	2.64%	+0.53%

Volatility

PEY vs. VNQ - Volatility Comparison

Invesco High Yield Equity Dividend Achievers™ ETF (PEY) and Vanguard Real Estate ETF (VNQ) have volatilities of 3.76% and 3.77%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PEY	VNQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.76%	3.77%	-0.01%
Volatility (6M) Calculated over the trailing 6-month period	9.16%	9.33%	-0.17%
Volatility (1Y) Calculated over the trailing 1-year period	14.00%	13.16%	+0.84%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.38%	18.80%	-2.42%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.90%	20.70%	-1.80%

PEY vs. VNQ - Expense Ratio Comparison

PEY has a 0.54% expense ratio, which is higher than VNQ's 0.13% expense ratio.

Dividends

PEY vs. VNQ - Dividend Comparison

PEY's dividend yield for the trailing twelve months is around 4.45%, more than VNQ's 3.69% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PEY Invesco High Yield Equity Dividend Achievers™ ETF	4.45%	4.85%	4.44%	4.58%	4.22%	3.83%	4.30%	3.78%	4.33%	3.21%	3.12%	3.44%
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 PEY and VNQ in my portfolio?

PEY and VNQ have a correlation of 0.61, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PEY or VNQ?

VNQ has higher volatility (3.77%) compared to PEY (3.76%). In terms of maximum drawdown, PEY dropped -72.81% vs VNQ's -73.07%.

Which ETF is better, PEY or VNQ?

On 10-year performance, PEY leads with 8.66% vs 5.22% for VNQ. On fees, VNQ is cheaper at 0.13% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PEY or VNQ?

Over the 10-year period, PEY has performed better with a 8.66% return vs 5.22%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PEY or VNQ?

VNQ is cheaper with a 0.13% expense ratio, compared with 0.54% for PEY.

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

PEY has the higher dividend yield at 4.45%, compared with 3.69% for VNQ.

What is the main difference between PEY and VNQ?

PEY is categorized as Mid Cap Value Equities, while VNQ is REIT. PEY tracks NASDAQ US Dividend Achievers 50 Index, while VNQ tracks MSCI US Investable Market Real Estate 25/50 Index. They also come from different issuers: Invesco and Vanguard. Their fees differ too: 0.54% for PEY and 0.13% for VNQ.

Which has better risk-adjusted returns?

PEY currently has the higher Sharpe Ratio (1.30 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.