STWD vs. ACRE
STWD (Starwood Property Trust, Inc.) and ACRE (Ares Commercial Real Estate Corporation) are both stocks. Both operate in the REIT - Mortgage industry within the Real Estate sector. Over the past 10 years, STWD returned 7.57%/yr vs 1.22%/yr for ACRE. A 0.62 correlation means they provide meaningful diversification when combined.
Performance
STWD vs. ACRE - Performance Comparison
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Returns By Period
In the year-to-date period, STWD achieves a -4.64% return, which is significantly lower than ACRE's -0.26% return. Over the past 10 years, STWD has outperformed ACRE with an annualized return of 7.57%, while ACRE has yielded a comparatively lower 1.22% annualized return.
STWD
- 1D
- 0.24%
- 1M
- -2.57%
- YTD
- -4.64%
- 6M
- -4.40%
- 1Y
- -7.73%
- 3Y*
- 4.98%
- 5Y*
- 1.17%
- 10Y*
- 7.57%
ACRE
- 1D
- 0.22%
- 1M
- -3.75%
- YTD
- -0.26%
- 6M
- -7.58%
- 1Y
- 8.41%
- 3Y*
- -11.85%
- 5Y*
- -9.67%
- 10Y*
- 1.22%
STWD vs. ACRE - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
STWD Starwood Property Trust, Inc. | -4.64% | 4.91% | -0.56% | 26.70% | -17.33% | 35.88% | -12.01% | 36.80% | 1.11% | 6.08% |
ACRE Ares Commercial Real Estate Corporation | -0.26% | -7.92% | -34.00% | 15.56% | -20.44% | 34.30% | -13.84% | 32.33% | 10.33% | 1.93% |
Correlation
The correlation between STWD and ACRE is 0.64, 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 | 0.64 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.70 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.74 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.69 |
Correlation (All Time) Calculated using the full available price history since Apr 27, 2012 | 0.62 |
The correlation between STWD and ACRE shifts across timeframes, from 0.62 (all time) to 0.74 (5 years), reflecting how their relationship changes across market environments.
Fundamentals
STWD:
$1.39
ACRE:
-$0.36
STWD:
2.13
ACRE:
4.66
STWD:
$1.98B
ACRE:
$54.71M
STWD:
$1.19B
ACRE:
$25.31M
STWD:
$1.83B
ACRE:
$30.62M
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Return for Risk
STWD vs. ACRE — Risk / Return Rank
STWD
ACRE
STWD vs. ACRE - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Starwood Property Trust, Inc. (STWD) and Ares Commercial Real Estate Corporation (ACRE). 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.
| STWD | ACRE | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.69 | ||
| Sortino ratioReturn per unit of downside risk | -1.17 | ||
| Omega ratioGain probability vs. loss probability | 0.94 | 1.07 | -0.14 |
| Calmar ratioReturn relative to maximum drawdown | -0.53 | 0.48 | -1.01 |
| Martin ratioReturn relative to average drawdown | -0.87 | 0.97 | -1.84 |
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Drawdowns
STWD vs. ACRE - Drawdown Comparison
The maximum STWD drawdown since its inception was -66.34%, smaller than the maximum ACRE drawdown of -75.68%. Use the drawdown chart below to compare losses from any high point for STWD and ACRE.
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Drawdown Indicators
| STWD | ACRE | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -66.34% | -75.68% | +9.34% |
Max Drawdown (1Y)Largest decline over 1 year | -14.53% | -17.69% | +3.16% |
Max Drawdown (3Y)Largest decline over 3 years | -16.66% | -61.28% | +44.62% |
Max Drawdown (5Y)Largest decline over 5 years | -29.65% | -67.51% | +37.86% |
Max Drawdown (10Y)Largest decline over 10 years | -66.34% | -75.68% | +9.34% |
Current DrawdownCurrent decline from peak | -13.85% | -51.39% | +37.54% |
Average DrawdownAverage peak-to-trough decline | -7.58% | -19.90% | +12.32% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 8.87% | 8.71% | +0.16% |
Volatility
STWD vs. ACRE - Volatility Comparison
The current volatility for Starwood Property Trust, Inc. (STWD) is 5.19%, while Ares Commercial Real Estate Corporation (ACRE) has a volatility of 10.73%. This indicates that STWD experiences smaller price fluctuations and is considered to be less risky than ACRE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| STWD | ACRE | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 5.19% | 10.73% | -5.54% |
Volatility (6M)Calculated over the trailing 6-month period | 12.35% | 24.56% | -12.21% |
Volatility (1Y)Calculated over the trailing 1-year period | 16.81% | 37.57% | -20.76% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 24.26% | 35.45% | -11.19% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 30.13% | 45.08% | -14.95% |
Dividends
STWD vs. ACRE - Dividend Comparison
STWD's dividend yield for the trailing twelve months is around 11.50%, less than ACRE's 12.99% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ACRE Ares Commercial Real Estate Corporation | 12.99% | 12.55% | 16.98% | 13.13% | 13.61% | 9.63% | 11.08% | 8.33% | 8.90% | 8.37% | 7.57% | 8.74% |
STWD Starwood Property Trust, Inc. | 11.50% | 10.66% | 10.13% | 9.13% | 10.47% | 7.90% | 9.95% | 7.72% | 9.74% | 8.99% | 8.75% | 9.34% |
Financials
STWD vs. ACRE - Financials Comparison
This section allows you to compare key financial metrics between Starwood Property Trust, Inc. and Ares Commercial Real Estate Corporation. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
STWD vs. ACRE - Profitability Comparison
STWD - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Starwood Property Trust, Inc. reported a gross profit of 0.00 and revenue of 512.46M. Therefore, the gross margin over that period was 0.0%.
ACRE - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Ares Commercial Real Estate Corporation reported a gross profit of 0.00 and revenue of 13.46M. Therefore, the gross margin over that period was 0.0%.
STWD - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Starwood Property Trust, Inc. reported an operating income of 0.00 and revenue of 512.46M, resulting in an operating margin of 0.0%.
ACRE - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Ares Commercial Real Estate Corporation reported an operating income of -9.58M and revenue of 13.46M, resulting in an operating margin of -71.1%.
STWD - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Starwood Property Trust, Inc. reported a net income of 51.88M and revenue of 512.46M, resulting in a net margin of 10.1%.
ACRE - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Ares Commercial Real Estate Corporation reported a net income of -9.61M and revenue of 13.46M, resulting in a net margin of -71.4%.
Frequently Asked Questions
STWD and ACRE have a correlation of 0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
ACRE has higher volatility (10.73%) compared to STWD (5.19%). In terms of maximum drawdown, STWD dropped -66.34% vs ACRE's -75.68%.
ACRE currently has the higher Sharpe Ratio (0.22 vs -0.46), 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.
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