PPTY vs. VNQ

Last updated Jun 3, 2026

PPTY (US Diversified Real Estate ETF) and VNQ (Vanguard Real Estate ETF) are both REIT funds - PPTY tracks the USREX - U.S. Diversified Real Estate Index while VNQ tracks the MSCI US Investable Market Real Estate 25/50 Index. Both are passively managed. Over the past 5 years, PPTY returned 2.22%/yr vs 2.21%/yr for VNQ. With a 0.95 correlation, they move nearly in lockstep. PPTY charges 0.49%/yr vs 0.13%/yr for VNQ.

Performance

PPTY vs. VNQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in US Diversified Real Estate ETF (PPTY) 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, PPTY achieves a 9.21% return, which is significantly higher than VNQ's 7.96% return.

PPTY

• 1D: 0.63%
• 1M: 0.62%
• YTD: 9.21%
• 6M: 8.45%
• 1Y: 10.29%
• 3Y*: 8.94%
• 5Y*: 2.22%
• 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)

PPTY vs. VNQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
PPTY US Diversified Real Estate ETF	9.21%	-3.47%	9.85%	12.66%	-26.10%	40.36%	-7.25%	30.19%	4.07%
VNQ Vanguard Real Estate ETF	7.96%	3.24%	4.81%	11.85%	-26.25%	40.54%	-4.61%	28.91%	4.77%

Correlation

The correlation between PPTY and VNQ is 0.91, 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	0.91
Correlation (3Y) Calculated over the trailing 3-year period	0.94
Correlation (5Y) Calculated over the trailing 5-year period	0.95
Correlation (All Time) Calculated using the full available price history since Mar 28, 2018	0.95

The correlation between PPTY and VNQ has been stable across timeframes, ranging from 0.91 to 0.95 - a consistent structural relationship.

PPTY vs. VNQ - Sectors Allocation Comparison

Sectors	PPTY	VNQ
Real Estate	93.6%	97.3%
Consumer Cyclical	5.6%	-
Financial Services	0.5%	0.1%
Healthcare	0.4%	-
Basic Materials	-	1.1%
Communication Services	-	0.6%
Consumer Defensive	-	-
Energy	-	0.1%
Industrials	-	0.0%
Technology	-	0.3%
Utilities	-	-

Return for Risk

PPTY vs. VNQ — Risk / Return Rank

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

PPTY

PPTY Risk / Return Rank: 23
PPTY Sharpe Ratio Rank: 22
PPTY Sortino Ratio Rank: 21
PPTY Omega Ratio Rank: 21
PPTY Calmar Ratio Rank: 26
PPTY 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.

PPTY vs. VNQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for US Diversified Real Estate ETF (PPTY) 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.

	PPTY	VNQ	Difference
Sharpe ratio Return per unit of total volatility	0.76	0.75	0.00
Sortino ratio Return per unit of downside risk	1.12	1.11	+0.02
Omega ratio Gain probability vs. loss probability	1.14	1.14	0.00
Calmar ratio Return relative to maximum drawdown	1.27	1.20	+0.06
Martin ratio Return relative to average drawdown	3.66	3.80	-0.14
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PPTY vs. VNQ - Sharpe Ratio Comparison

The current PPTY Sharpe Ratio is 0.76, which is comparable to the VNQ Sharpe Ratio of 0.75. The chart below compares the historical Sharpe Ratios of PPTY 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

	PPTY	VNQ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.76	0.75	0.00
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.12	0.12	0.00
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.25	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.31	0.26	+0.04

Drawdowns

PPTY vs. VNQ - Drawdown Comparison

The maximum PPTY drawdown since its inception was -41.69%, smaller than the maximum VNQ drawdown of -73.07%. Use the drawdown chart below to compare losses from any high point for PPTY and VNQ.

Drawdown Indicators

	PPTY	VNQ	Difference
Max Drawdown Largest peak-to-trough decline	-41.69%	-73.07%	+31.38%
Max Drawdown (1Y) Largest decline over 1 year	-8.09%	-8.34%	+0.25%
Max Drawdown (3Y) Largest decline over 3 years	-21.06%	-17.46%	-3.60%
Max Drawdown (5Y) Largest decline over 5 years	-32.37%	-34.48%	+2.11%
Max Drawdown (10Y) Largest decline over 10 years	—	-42.40%	—
Current Drawdown Current decline from peak	-3.78%	-3.64%	-0.14%
Average Drawdown Average peak-to-trough decline	-11.35%	-13.63%	+2.28%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.80%	2.64%	+0.16%

Volatility

PPTY vs. VNQ - Volatility Comparison

US Diversified Real Estate ETF (PPTY) has a higher volatility of 3.97% compared to Vanguard Real Estate ETF (VNQ) at 3.77%. This indicates that PPTY's price experiences larger fluctuations and is considered to be riskier than VNQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PPTY	VNQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.97%	3.77%	+0.20%
Volatility (6M) Calculated over the trailing 6-month period	9.39%	9.33%	+0.06%
Volatility (1Y) Calculated over the trailing 1-year period	13.63%	13.16%	+0.47%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.57%	18.80%	-0.23%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.92%	20.70%	+1.22%

PPTY vs. VNQ - Expense Ratio Comparison

PPTY has a 0.49% expense ratio, which is higher than VNQ's 0.13% expense ratio.

Dividends

PPTY vs. VNQ - Dividend Comparison

PPTY's dividend yield for the trailing twelve months is around 2.66%, less than VNQ's 3.69% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PPTY US Diversified Real Estate ETF	2.66%	3.04%	3.29%	4.08%	4.29%	2.87%	3.43%	3.30%	1.97%	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 PPTY and VNQ in my portfolio?

With a correlation of 0.91, PPTY 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, PPTY or VNQ?

PPTY has higher volatility (3.97%) compared to VNQ (3.77%). In terms of maximum drawdown, PPTY dropped -41.69% vs VNQ's -73.07%.

Which ETF is better, PPTY or VNQ?

On 5-year performance, PPTY leads with 2.22% vs 2.21% for VNQ. On fees, VNQ is cheaper at 0.13% per year. On volatility, VNQ has been the lower-risk option at 3.77%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PPTY or VNQ?

Over the 5-year period, PPTY has performed better with a 2.22% return vs 2.21%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PPTY or VNQ?

VNQ is cheaper with a 0.13% expense ratio, compared with 0.49% for PPTY.

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

VNQ has the higher dividend yield at 3.69%, compared with 2.66% for PPTY.

What is the main difference between PPTY and VNQ?

PPTY tracks USREX - U.S. Diversified Real Estate Index, while VNQ tracks MSCI US Investable Market Real Estate 25/50 Index. They also come from different issuers: Vident and Vanguard. Their fees differ too: 0.49% for PPTY and 0.13% for VNQ.

Which has better risk-adjusted returns?

PPTY currently has the higher Sharpe Ratio (0.76 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.