RWT vs. SEVN

Last updated Jun 20, 2026

RWT (Redwood Trust, Inc.) and SEVN (Seven Hills Realty Trust) are both stocks. Both operate in the REIT - Mortgage industry within the Real Estate sector. Over the past 5 years, RWT returned -6.67%/yr vs 2.88%/yr for SEVN. At a 0.34 correlation, their price movements are largely independent.

Performance

RWT vs. SEVN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Redwood Trust, Inc. (RWT) and Seven Hills Realty Trust (SEVN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RWT achieves a -3.53% return, which is significantly lower than SEVN's -1.70% return.

RWT

• 1D: 0.58%
• 1M: -2.46%
• YTD: -3.53%
• 6M: -4.87%
• 1Y: 4.63%
• 3Y*: 3.38%
• 5Y*: -6.67%
• 10Y*: -1.16%

SEVN

• 1D: 0.99%
• 1M: -1.44%
• YTD: -1.70%
• 6M: -3.65%
• 1Y: -21.57%
• 3Y*: 6.09%
• 5Y*: 2.88%
• 10Y*: —

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

RWT vs. SEVN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
RWT Redwood Trust, Inc.	-3.53%	-4.08%	-2.60%	21.61%	-42.26%	60.13%	30.07%
SEVN Seven Hills Realty Trust	-1.70%	-24.34%	12.15%	61.84%	-3.75%	2.18%	-7.99%

Correlation

The correlation between RWT and SEVN is 0.43, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.43
Correlation (3Y) Calculated over the trailing 3-year period	0.38
Correlation (5Y) Calculated over the trailing 5-year period	0.35
Correlation (All Time) Calculated using the full available price history since Jul 30, 2020	0.34

Fundamentals

EPS RWT : -$0.48 SEVN : $0.91
PS Ratio RWT : 2.48 SEVN : 3.15
Total Revenue (TTM) RWT : $269.15M SEVN : $43.74M
Gross Profit (TTM) RWT : $1.06B SEVN : $29.11M
EBITDA (TTM) RWT : $1.06B SEVN : $23.30M

Return for Risk

RWT vs. SEVN — Risk / Return Rank

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

RWT

RWT Risk / Return Rank: 45
RWT Sharpe Ratio Rank: 47
RWT Sortino Ratio Rank: 43
RWT Omega Ratio Rank: 42
RWT Calmar Ratio Rank: 47
RWT Martin Ratio Rank: 47

SEVN

SEVN Risk / Return Rank: 14
SEVN Sharpe Ratio Rank: 8
SEVN Sortino Ratio Rank: 11
SEVN Omega Ratio Rank: 10
SEVN Calmar Ratio Rank: 16
SEVN 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.

RWT vs. SEVN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Redwood Trust, Inc. (RWT) and Seven Hills Realty Trust (SEVN). 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.

	RWT	SEVN	Difference
Sharpe ratio: Return per unit of total volatility	0.13	-0.86	+0.99
Sortino ratio: Return per unit of downside risk	0.48	-1.07	+1.55
Omega ratio: Gain probability vs. loss probability	1.06	0.86	+0.20
Calmar ratio: Return relative to maximum drawdown	0.22	-0.69	+0.91
Martin ratio: Return relative to average drawdown	0.44	-0.92	+1.36

RWT vs. SEVN - Sharpe Ratio Comparison

The current RWT Sharpe Ratio is 0.13, which is higher than the SEVN Sharpe Ratio of -0.86. The chart below compares the historical Sharpe Ratios of RWT and SEVN, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

RWT vs. SEVN - Drawdown Comparison

The maximum RWT drawdown since its inception was -88.91%, which is greater than SEVN's maximum drawdown of -40.70%. Use the drawdown chart below to compare losses from any high point for RWT and SEVN.

Drawdown Indicators

	RWT	SEVN	Difference
Max Drawdown Largest peak-to-trough decline	-88.91%	-40.70%	-48.21%
Max Drawdown (1Y) Largest decline over 1 year	-21.22%	-31.48%	+10.26%
Max Drawdown (3Y) Largest decline over 3 years	-33.79%	-33.87%	+0.08%
Max Drawdown (5Y) Largest decline over 5 years	-55.83%	-33.87%	-21.96%
Max Drawdown (10Y) Largest decline over 10 years	-85.40%	—	—
Current Drawdown Current decline from peak	-59.40%	-30.85%	-28.55%
Average Drawdown Average peak-to-trough decline	-45.59%	-11.94%	-33.65%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.58%	23.47%	-12.89%

Volatility

RWT vs. SEVN - Volatility Comparison

Redwood Trust, Inc. (RWT) has a higher volatility of 7.87% compared to Seven Hills Realty Trust (SEVN) at 5.54%. This indicates that RWT's price experiences larger fluctuations and is considered to be riskier than SEVN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RWT	SEVN	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.87%	5.54%	+2.33%
Volatility (6M) Calculated over the trailing 6-month period	29.25%	14.02%	+15.23%
Volatility (1Y) Calculated over the trailing 1-year period	36.13%	25.04%	+11.09%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	35.10%	25.86%	+9.24%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	49.05%	25.92%	+23.13%

Dividends

RWT vs. SEVN - Dividend Comparison

RWT's dividend yield for the trailing twelve months is around 13.95%, more than SEVN's 13.66% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
RWT Redwood Trust, Inc.	13.95%	13.02%	10.26%	9.58%	13.61%	5.91%	8.26%	7.26%	7.83%	7.56%	7.36%	8.48%
SEVN Seven Hills Realty Trust	13.66%	14.16%	10.70%	10.82%	11.00%	4.34%	1.89%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

Frequently Asked Questions

Can I hold both RWT and SEVN in my portfolio?

RWT and SEVN have a correlation of 0.43, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RWT or SEVN?

RWT has higher volatility (7.87%) compared to SEVN (5.54%). In terms of maximum drawdown, RWT dropped -88.91% vs SEVN's -40.70%.

Which has better risk-adjusted returns?

RWT currently has the higher Sharpe Ratio (0.13 vs -0.86), 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.