USRT vs. FRI

Last updated Jun 4, 2026

USRT (iShares Core U.S. REIT ETF) and FRI (First Trust S&P REIT Index Fund) are both REIT funds - USRT tracks the FTSE NAREIT Equity REITs Index while FRI tracks the S&P United States REIT. Both are passively managed. Over the past 10 years, USRT returned 6.21%/yr vs 5.62%/yr for FRI. Their correlation of 0.92 suggests significant overlap in exposure. USRT charges 0.08%/yr vs 0.50%/yr for FRI.

Performance

USRT vs. FRI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core U.S. REIT ETF (USRT) and First Trust S&P REIT Index Fund (FRI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, USRT achieves a 12.59% return, which is significantly higher than FRI's 11.90% return. Over the past 10 years, USRT has outperformed FRI with an annualized return of 6.21%, while FRI has yielded a comparatively lower 5.62% annualized return.

USRT

• 1D: 0.08%
• 1M: -0.19%
• YTD: 12.59%
• 6M: 11.36%
• 1Y: 15.26%
• 3Y*: 11.53%
• 5Y*: 4.73%
• 10Y*: 6.21%

FRI

• 1D: 0.21%
• 1M: -0.46%
• YTD: 11.90%
• 6M: 10.60%
• 1Y: 14.73%
• 3Y*: 11.09%
• 5Y*: 4.41%
• 10Y*: 5.62%

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

USRT vs. FRI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
USRT iShares Core U.S. REIT ETF	12.59%	2.44%	8.58%	13.64%	-24.43%	43.26%	-8.06%	25.98%	-4.67%	5.27%
FRI First Trust S&P REIT Index Fund	11.90%	2.80%	7.84%	13.33%	-24.66%	42.55%	-7.90%	23.67%	-4.28%	3.86%

Correlation

The correlation between USRT and FRI is 0.99 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.99
Correlation (3Y) Calculated over the trailing 3-year period	0.99
Correlation (5Y) Calculated over the trailing 5-year period	0.99
Correlation (10Y) Calculated over the trailing 10-year period	0.99
Correlation (All Time) Calculated using the full available price history since May 11, 2007	0.92

The correlation between USRT and FRI has been stable across timeframes, ranging from 0.92 to 0.99 - a consistent structural relationship.

USRT vs. FRI - Sectors Allocation Comparison

Sectors	USRT	FRI
Real Estate	99.4%	96.2%
Financial Services	0.1%	2.3%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Industrials	-	-
Technology	-	-
Utilities	-	0.8%

Return for Risk

USRT vs. FRI — Risk / Return Rank

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

USRT

USRT Risk / Return Rank: 33
USRT Sharpe Ratio Rank: 31
USRT Sortino Ratio Rank: 29
USRT Omega Ratio Rank: 29
USRT Calmar Ratio Rank: 38
USRT Martin Ratio Rank: 38

FRI

FRI Risk / Return Rank: 34
FRI Sharpe Ratio Rank: 31
FRI Sortino Ratio Rank: 29
FRI Omega Ratio Rank: 29
FRI Calmar Ratio Rank: 40
FRI Martin Ratio Rank: 39

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.

USRT vs. FRI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core U.S. REIT ETF (USRT) and First Trust S&P REIT Index Fund (FRI). 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.

	USRT	FRI	Difference
Sharpe ratio: Return per unit of total volatility	1.15	1.13	+0.02
Sortino ratio: Return per unit of downside risk	1.63	1.59	+0.04
Omega ratio: Gain probability vs. loss probability	1.20	1.20	0.00
Calmar ratio: Return relative to maximum drawdown	1.91	1.95	-0.05
Martin ratio: Return relative to average drawdown	6.15	6.21	-0.07
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

USRT vs. FRI - Sharpe Ratio Comparison

The current USRT Sharpe Ratio is 1.15, which is comparable to the FRI Sharpe Ratio of 1.13. The chart below compares the historical Sharpe Ratios of USRT and FRI, 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

	USRT	FRI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.15	1.13	+0.02
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.25	0.24	+0.01
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.29	0.27	+0.02
Sharpe Ratio (All Time) Calculated using the full available price history	0.18	0.18	0.00

Drawdowns

USRT vs. FRI - Drawdown Comparison

The maximum USRT drawdown since its inception was -69.91%, roughly equal to the maximum FRI drawdown of -71.95%. Use the drawdown chart below to compare losses from any high point for USRT and FRI.

Drawdown Indicators

	USRT	FRI	Difference
Max Drawdown Largest peak-to-trough decline	-69.91%	-71.95%	+2.04%
Max Drawdown (1Y) Largest decline over 1 year	-8.04%	-7.57%	-0.47%
Max Drawdown (3Y) Largest decline over 3 years	-18.70%	-18.90%	+0.20%
Max Drawdown (5Y) Largest decline over 5 years	-31.03%	-31.21%	+0.18%
Max Drawdown (10Y) Largest decline over 10 years	-44.38%	-44.16%	-0.22%
Current Drawdown Current decline from peak	-3.01%	-3.24%	+0.23%
Average Drawdown Average peak-to-trough decline	-12.97%	-13.70%	+0.73%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.49%	2.38%	+0.11%

Volatility

USRT vs. FRI - Volatility Comparison

iShares Core U.S. REIT ETF (USRT) and First Trust S&P REIT Index Fund (FRI) have volatilities of 3.92% and 3.93%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USRT	FRI	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.92%	3.93%	-0.01%
Volatility (6M) Calculated over the trailing 6-month period	9.25%	9.14%	+0.11%
Volatility (1Y) Calculated over the trailing 1-year period	13.28%	13.05%	+0.23%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.89%	18.65%	+0.24%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.28%	21.06%	+0.22%

USRT vs. FRI - Expense Ratio Comparison

USRT has a 0.08% expense ratio, which is lower than FRI's 0.50% expense ratio.

Dividends

USRT vs. FRI - Dividend Comparison

USRT's dividend yield for the trailing twelve months is around 2.67%, more than FRI's 2.60% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FRI First Trust S&P REIT Index Fund	2.60%	2.99%	3.33%	3.24%	2.52%	1.44%	3.08%	2.28%	3.21%	2.82%	3.27%	2.66%
USRT iShares Core U.S. REIT ETF	2.67%	3.07%	2.85%	3.18%	3.46%	2.27%	3.12%	3.34%	5.66%	3.44%	3.98%	3.59%

Frequently Asked Questions

Can I hold both USRT and FRI in my portfolio?

With a correlation of 0.99, USRT and FRI 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, USRT or FRI?

FRI has higher volatility (3.93%) compared to USRT (3.92%). In terms of maximum drawdown, USRT dropped -69.91% vs FRI's -71.95%.

Which ETF is better, USRT or FRI?

On 10-year performance, USRT leads with 6.21% vs 5.62% for FRI. On fees, USRT is cheaper at 0.08% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USRT or FRI?

Over the 10-year period, USRT has performed better with a 6.21% return vs 5.62%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USRT or FRI?

USRT is cheaper with a 0.08% expense ratio, compared with 0.50% for FRI.

Which ETF pays a higher dividend yield, USRT or FRI?

USRT has the higher dividend yield at 2.67%, compared with 2.60% for FRI.

What is the main difference between USRT and FRI?

USRT tracks FTSE NAREIT Equity REITs Index, while FRI tracks S&P United States REIT. They also come from different issuers: iShares and First Trust. Their fees differ too: 0.08% for USRT and 0.50% for FRI.

Which has better risk-adjusted returns?

USRT currently has the higher Sharpe Ratio (1.15 vs 1.13), 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.