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REET vs. XLRE
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

REET vs. XLRE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Global REIT ETF (REET) and Real Estate Select Sector SPDR Fund (XLRE). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, REET achieves a 11.67% return, which is significantly lower than XLRE's 12.35% return. Over the past 10 years, REET has underperformed XLRE with an annualized return of 4.37%, while XLRE has yielded a comparatively higher 6.92% annualized return.


REET

1D
0.77%
1M
1.11%
YTD
11.67%
6M
12.03%
1Y
14.10%
3Y*
11.63%
5Y*
2.85%
10Y*
4.37%

XLRE

1D
1.41%
1M
1.06%
YTD
12.35%
6M
12.83%
1Y
9.79%
3Y*
11.31%
5Y*
3.53%
10Y*
6.92%
*Multi-year figures are annualized to reflect compound growth (CAGR)

REET vs. XLRE - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
REET
iShares Global REIT ETF
11.67%7.97%2.65%10.28%-24.10%32.43%-10.48%24.42%-5.27%7.48%
XLRE
Real Estate Select Sector SPDR Fund
12.35%2.63%5.09%12.36%-26.25%46.10%-2.18%28.68%-2.39%10.69%

Correlation

The correlation between REET and XLRE 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

0.94

Correlation (10Y)
Calculated over the trailing 10-year period

0.92

Correlation (All Time)
Calculated using the full available price history since Oct 8, 2015

0.91

The correlation between REET and XLRE has been stable across timeframes, ranging from 0.91 to 0.94 - a consistent structural relationship.

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Return for Risk

REET vs. XLRE — Risk / Return Rank

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

REET
REET Risk / Return Rank: 3333
Overall Rank
REET Sharpe Ratio Rank: 3232
Sharpe Ratio Rank
REET Sortino Ratio Rank: 3030
Sortino Ratio Rank
REET Omega Ratio Rank: 3131
Omega Ratio Rank
REET Calmar Ratio Rank: 3232
Calmar Ratio Rank
REET Martin Ratio Rank: 3838
Martin Ratio Rank

XLRE
XLRE Risk / Return Rank: 2222
Overall Rank
XLRE Sharpe Ratio Rank: 2121
Sharpe Ratio Rank
XLRE Sortino Ratio Rank: 1919
Sortino Ratio Rank
XLRE Omega Ratio Rank: 1919
Omega Ratio Rank
XLRE Calmar Ratio Rank: 2525
Calmar Ratio Rank
XLRE Martin Ratio Rank: 2525
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.

REET vs. XLRE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Global REIT ETF (REET) and Real Estate Select Sector SPDR Fund (XLRE). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.


REETXLREDifference
Sharpe ratioReturn per unit of total volatility

+0.44

Sortino ratioReturn per unit of downside risk

+0.57

Omega ratioGain probability vs. loss probability

1.20

1.13

+0.08

Calmar ratioReturn relative to maximum drawdown

1.57

1.18

+0.39

Martin ratioReturn relative to average drawdown

5.60

3.23

+2.37

REET vs. XLRE - Sharpe Ratio Comparison

The current REET Sharpe Ratio is 1.14, which is higher than the XLRE Sharpe Ratio of 0.70. The chart below compares the historical Sharpe Ratios of REET and XLRE, 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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Drawdowns

REET vs. XLRE - Drawdown Comparison

The maximum REET drawdown since its inception was -44.59%, which is greater than XLRE's maximum drawdown of -38.83%. Use the drawdown chart below to compare losses from any high point for REET and XLRE.


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Drawdown Indicators


REETXLREDifference

Max Drawdown

Largest peak-to-trough decline

-44.59%

-38.83%

-5.76%

Max Drawdown (1Y)

Largest decline over 1 year

-9.04%

-8.33%

-0.71%

Max Drawdown (3Y)

Largest decline over 3 years

-18.02%

-16.74%

-1.28%

Max Drawdown (5Y)

Largest decline over 5 years

-32.11%

-34.12%

+2.01%

Max Drawdown (10Y)

Largest decline over 10 years

-44.59%

-38.83%

-5.76%

Current Drawdown

Current decline from peak

-0.66%

-0.72%

+0.06%

Average Drawdown

Average peak-to-trough decline

-9.75%

-9.56%

-0.19%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.52%

3.04%

-0.52%

Volatility

REET vs. XLRE - Volatility Comparison

The current volatility for iShares Global REIT ETF (REET) is 4.36%, while Real Estate Select Sector SPDR Fund (XLRE) has a volatility of 5.35%. This indicates that REET experiences smaller price fluctuations and is considered to be less risky than XLRE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


REETXLREDifference

Volatility (1M)

Calculated over the trailing 1-month period

4.36%

5.35%

-0.99%

Volatility (6M)

Calculated over the trailing 6-month period

9.39%

10.63%

-1.24%

Volatility (1Y)

Calculated over the trailing 1-year period

12.52%

14.17%

-1.65%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

16.97%

19.13%

-2.16%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

18.85%

20.45%

-1.60%

REET vs. XLRE - Expense Ratio Comparison

REET has a 0.14% expense ratio, which is higher than XLRE's 0.13% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.


Dividends

REET vs. XLRE - Dividend Comparison

REET's dividend yield for the trailing twelve months is around 3.37%, more than XLRE's 3.15% yield.


PositionTTM20252024202320222021202020192018201720162015
REET
iShares Global REIT ETF
3.37%3.67%3.64%3.27%2.43%3.18%2.65%5.25%5.73%3.84%5.37%3.56%
XLRE
Real Estate Select Sector SPDR Fund
3.15%3.45%3.43%3.31%3.70%2.61%3.15%3.06%3.78%3.25%4.22%1.09%

Frequently Asked Questions


With a correlation of 0.91, REET and XLRE 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.

XLRE has higher volatility (5.35%) compared to REET (4.36%). In terms of maximum drawdown, REET dropped -44.59% vs XLRE's -38.83%.

On 10-year performance, XLRE leads with 6.92% vs 4.37% for REET. On fees, XLRE is cheaper at 0.13% per year. On volatility, REET has been the lower-risk option at 4.36%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, XLRE has performed better with a 6.92% return vs 4.37%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

XLRE is cheaper with a 0.13% expense ratio, compared with 0.14% for REET.

REET has the higher dividend yield at 3.37%, compared with 3.15% for XLRE.

REET tracks FTSE EPRA/NAREIT Global REIT Index, while XLRE tracks Real Estate Select Sector Index. They also come from different issuers: iShares and State Street. Their fees differ too: 0.14% for REET and 0.13% for XLRE.

REET currently has the higher Sharpe Ratio (1.14 vs 0.70), 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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