PREF vs. BYRE

Last updated Jun 4, 2026

PREF (Principal Spectrum Preferred Secs Active ETF) and BYRE (Principal Real Estate Active Opportunities ETF) are both exchange-traded funds - PREF is a Preferred Stock/Convertible Bonds fund actively managed by Principal, while BYRE is a REIT fund actively managed by Principal. Both are actively managed. Over the past 3 years, PREF returned 9.25%/yr vs 8.77%/yr for BYRE. At a 0.25 correlation, their price movements are largely independent. PREF charges 0.55%/yr vs 0.65%/yr for BYRE.

Performance

PREF vs. BYRE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal Spectrum Preferred Secs Active ETF (PREF) and Principal Real Estate Active Opportunities ETF (BYRE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PREF achieves a 1.65% return, which is significantly lower than BYRE's 9.88% return.

PREF

• 1D: -0.13%
• 1M: 0.52%
• YTD: 1.65%
• 6M: 2.32%
• 1Y: 6.65%
• 3Y*: 9.25%
• 5Y*: 3.07%
• 10Y*: —

BYRE

• 1D: -0.46%
• 1M: -1.03%
• YTD: 9.88%
• 6M: 9.41%
• 1Y: 8.56%
• 3Y*: 8.77%
• 5Y*: —
• 10Y*: —

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

PREF vs. BYRE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
PREF Principal Spectrum Preferred Secs Active ETF	1.65%	7.64%	11.43%	7.36%	-0.18%
BYRE Principal Real Estate Active Opportunities ETF	9.88%	2.35%	4.18%	10.82%	-9.01%

Correlation

The correlation between PREF and BYRE is 0.24, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.24
Correlation (3Y) Calculated over the trailing 3-year period	0.18
Correlation (All Time) Calculated using the full available price history since May 20, 2022	0.25

PREF vs. BYRE - Sectors Allocation Comparison

Sectors	PREF	BYRE
Financial Services	100.0%	2.3%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	0.2%
Industrials	-	0.3%
Real Estate	-	95.9%
Technology	-	-
Utilities	-	-

Return for Risk

PREF vs. BYRE — Risk / Return Rank

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

PREF

PREF Risk / Return Rank: 64
PREF Sharpe Ratio Rank: 64
PREF Sortino Ratio Rank: 67
PREF Omega Ratio Rank: 75
PREF Calmar Ratio Rank: 46
PREF Martin Ratio Rank: 66

BYRE

BYRE Risk / Return Rank: 21
BYRE Sharpe Ratio Rank: 21
BYRE Sortino Ratio Rank: 20
BYRE Omega Ratio Rank: 20
BYRE Calmar Ratio Rank: 24
BYRE Martin Ratio Rank: 23

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.

PREF vs. BYRE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal Spectrum Preferred Secs Active ETF (PREF) and Principal Real Estate Active Opportunities ETF (BYRE). 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.

	PREF	BYRE	Difference
Sharpe ratio: Return per unit of total volatility	2.16	0.69	+1.47
Sortino ratio: Return per unit of downside risk	3.10	1.00	+2.09
Omega ratio: Gain probability vs. loss probability	1.45	1.13	+0.32
Calmar ratio: Return relative to maximum drawdown	2.32	1.11	+1.21
Martin ratio: Return relative to average drawdown	12.09	2.79	+9.31
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PREF vs. BYRE - Sharpe Ratio Comparison

The current PREF Sharpe Ratio is 2.16, which is higher than the BYRE Sharpe Ratio of 0.69. The chart below compares the historical Sharpe Ratios of PREF and BYRE, 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

	PREF	BYRE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.16	0.69	+1.47
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.63	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.66	0.23	+0.43

Drawdowns

PREF vs. BYRE - Drawdown Comparison

The maximum PREF drawdown since its inception was -22.99%, smaller than the maximum BYRE drawdown of -25.70%. Use the drawdown chart below to compare losses from any high point for PREF and BYRE.

Drawdown Indicators

	PREF	BYRE	Difference
Max Drawdown Largest peak-to-trough decline	-22.99%	-25.70%	+2.71%
Max Drawdown (1Y) Largest decline over 1 year	-2.88%	-7.76%	+4.88%
Max Drawdown (3Y) Largest decline over 3 years	-4.39%	-15.20%	+10.81%
Max Drawdown (5Y) Largest decline over 5 years	-16.99%	—	—
Current Drawdown Current decline from peak	-0.13%	-3.43%	+3.30%
Average Drawdown Average peak-to-trough decline	-3.66%	-9.59%	+5.93%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.55%	3.08%	-2.53%

Volatility

PREF vs. BYRE - Volatility Comparison

The current volatility for Principal Spectrum Preferred Secs Active ETF (PREF) is 0.69%, while Principal Real Estate Active Opportunities ETF (BYRE) has a volatility of 3.47%. This indicates that PREF experiences smaller price fluctuations and is considered to be less risky than BYRE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PREF	BYRE	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.69%	3.47%	-2.78%
Volatility (6M) Calculated over the trailing 6-month period	2.51%	8.94%	-6.43%
Volatility (1Y) Calculated over the trailing 1-year period	3.09%	12.41%	-9.32%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.87%	18.10%	-13.23%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.30%	18.10%	-11.80%

PREF vs. BYRE - Expense Ratio Comparison

PREF has a 0.55% expense ratio, which is lower than BYRE's 0.65% expense ratio.

Dividends

PREF vs. BYRE - Dividend Comparison

PREF's dividend yield for the trailing twelve months is around 5.16%, more than BYRE's 2.50% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
BYRE Principal Real Estate Active Opportunities ETF	2.50%	2.71%	2.31%	2.63%	1.86%	0.00%	0.00%	0.00%	0.00%	0.00%
PREF Principal Spectrum Preferred Secs Active ETF	5.16%	4.87%	4.65%	4.67%	4.63%	4.07%	4.35%	4.67%	5.49%	2.35%

Frequently Asked Questions

Can I hold both PREF and BYRE in my portfolio?

PREF and BYRE have a correlation of 0.24, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PREF or BYRE?

BYRE has higher volatility (3.47%) compared to PREF (0.69%). In terms of maximum drawdown, PREF dropped -22.99% vs BYRE's -25.70%.

Which ETF is better, PREF or BYRE?

On 3-year performance, PREF leads with 9.25% vs 8.77% for BYRE. On fees, PREF is cheaper at 0.55% per year. On volatility, PREF has been the lower-risk option at 0.69%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PREF or BYRE?

Over the 3-year period, PREF has performed better with a 9.25% return vs 8.77%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PREF or BYRE?

PREF is cheaper with a 0.55% expense ratio, compared with 0.65% for BYRE.

Which ETF pays a higher dividend yield, PREF or BYRE?

PREF has the higher dividend yield at 5.16%, compared with 2.50% for BYRE.

What is the main difference between PREF and BYRE?

PREF is categorized as Preferred Stock/Convertible Bonds, while BYRE is REIT. Their fees differ too: 0.55% for PREF and 0.65% for BYRE.

Which has better risk-adjusted returns?

PREF currently has the higher Sharpe Ratio (2.16 vs 0.69), 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.