PortfoliosLab logoPortfoliosLab logo

Documentation

Upgrade your plan
VGSNX vs. REM
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VGSNX vs. REM

Last updated Jun 4, 2026

VGSNX (Vanguard Real Estate Index Fund Institutional Shares) and REM (iShares Mortgage Real Estate ETF) are both REIT funds. Over the past 10 years, VGSNX returned 5.22%/yr vs 2.55%/yr for REM. A 0.66 correlation means they provide meaningful diversification when combined. VGSNX charges 0.10%/yr vs 0.48%/yr for REM.

Performance

VGSNX vs. REM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Real Estate Index Fund Institutional Shares (VGSNX) and iShares Mortgage Real Estate ETF (REM). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, VGSNX achieves a 7.95% return, which is significantly higher than REM's -2.10% return. Over the past 10 years, VGSNX has outperformed REM with an annualized return of 5.22%, while REM has yielded a comparatively lower 2.55% annualized return.

VGSNX

1D
0.44%
1M
-0.96%
YTD
7.95%
6M
6.90%
1Y
10.16%
3Y*
9.20%
5Y*
2.22%
10Y*
5.22%

REM

1D
-1.24%
1M
-4.86%
YTD
-2.10%
6M
-2.10%
1Y
11.53%
3Y*
8.00%
5Y*
-2.48%
10Y*
2.55%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VGSNX vs. REM - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
VGSNX
Vanguard Real Estate Index Fund Institutional Shares		7.95%3.21%3.72%13.12%-26.19%40.46%-4.76%28.98%-5.97%4.90%
REM
iShares Mortgage Real Estate ETF		-2.10%13.30%-1.00%14.43%-27.56%16.14%-19.99%21.34%-3.09%18.43%

Correlation

The correlation between VGSNX and REM is 0.62, 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

0.62

Correlation (3Y)
Calculated over the trailing 3-year period

0.66

Correlation (5Y)
Calculated over the trailing 5-year period

0.68

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

0.62

Correlation (All Time)
Calculated using the full available price history since May 7, 2007

0.66

The correlation between VGSNX and REM has been stable across timeframes, ranging from 0.62 to 0.68 - a consistent structural relationship.

VGSNX vs. REM - Sectors Allocation Comparison

Sectors
VGSNX
REM

Real Estate

97.3%
97.2%

Basic Materials

1.1%

-

Communication Services

0.6%

-

Technology

0.3%

-

Energy

0.1%

-

Financial Services

0.1%
2.4%

Industrials

0.0%

-

Consumer Cyclical

-

-

Consumer Defensive

-

-

Healthcare

-

-

Utilities

-

-

Real Estate

VGSNX
97.3%
REM
97.2%

Basic Materials

VGSNX
1.1%
REM

-

Communication Services

VGSNX
0.6%
REM

-

Technology

VGSNX
0.3%
REM

-

Energy

VGSNX
0.1%
REM

-

Financial Services

VGSNX
0.1%
REM
2.4%

Industrials

VGSNX
0.0%
REM

-

Consumer Cyclical

VGSNX

-

REM

-

Consumer Defensive

VGSNX

-

REM

-

Healthcare

VGSNX

-

REM

-

Utilities

VGSNX

-

REM

-

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

Vanguard Real Estate Index Fund Institutional Shares

iShares Mortgage Real Estate ETF

Often compared with VGSNX:
VGSNX vs. VNQVGSNX vs. VGSLXVGSNX vs. VOOVGSNX vs. VFIAXVGSNX vs. VTIFXVGSNX vs. FPROVGSNX vs. CSRIX
Often compared with REM:
REM vs. MORTREM vs. VNQREM vs. REETREM vs. IYRREM vs. NLYREM vs. OREM vs. QQQ

Return for Risk

VGSNX vs. REM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VGSNX
VGSNX Risk / Return Rank: 1010
Overall Rank
VGSNX Sharpe Ratio Rank: 99
Sharpe Ratio Rank
VGSNX Sortino Ratio Rank: 99
Sortino Ratio Rank
VGSNX Omega Ratio Rank: 99
Omega Ratio Rank
VGSNX Calmar Ratio Rank: 1212
Calmar Ratio Rank
VGSNX Martin Ratio Rank: 1313
Martin Ratio Rank
REM
REM Risk / Return Rank: 2020
Overall Rank
REM Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
REM Sortino Ratio Rank: 2020
Sortino Ratio Rank
REM Omega Ratio Rank: 1919
Omega Ratio Rank
REM Calmar Ratio Rank: 1919
Calmar Ratio Rank
REM Martin Ratio Rank: 2020
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.

VGSNX vs. REM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Real Estate Index Fund Institutional Shares (VGSNX) and iShares Mortgage Real Estate ETF (REM). 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.

VGSNXREMDifference
Sharpe ratioReturn per unit of total volatility
0.75
0.69

+0.06

Sortino ratioReturn per unit of downside risk
1.11
1.04

+0.06

Omega ratioGain probability vs. loss probability

1.14

1.13

+0.01

Calmar ratioReturn relative to maximum drawdown

1.19

0.81

+0.38

Martin ratioReturn relative to average drawdown

3.75

2.33

+1.41

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VGSNX vs. REM - Sharpe Ratio Comparison

The current VGSNX Sharpe Ratio is 0.75, which is comparable to the REM Sharpe Ratio of 0.69. The chart below compares the historical Sharpe Ratios of VGSNX and REM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Loading charts...

Sharpe Ratios by Period

VGSNXREMDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.75

0.69

+0.06

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.12

-0.11

+0.22

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.25

0.09

+0.16

Sharpe Ratio (All Time)

Calculated using the full available price history

0.28

-0.05

+0.32

Drawdowns

VGSNX vs. REM - Drawdown Comparison

The maximum VGSNX drawdown since its inception was -73.06%, roughly equal to the maximum REM drawdown of -74.73%. Use the drawdown chart below to compare losses from any high point for VGSNX and REM.

Loading charts...

Drawdown Indicators

VGSNXREMDifference

Max Drawdown

Largest peak-to-trough decline

-73.06%

-74.73%

+1.67%

Max Drawdown (1Y)

Largest decline over 1 year

-8.34%

-14.25%

+5.91%

Max Drawdown (3Y)

Largest decline over 3 years

-17.41%

-21.91%

+4.50%

Max Drawdown (5Y)

Largest decline over 5 years

-34.39%

-43.31%

+8.92%

Max Drawdown (10Y)

Largest decline over 10 years

-42.30%

-68.52%

+26.22%

Current Drawdown

Current decline from peak

-3.52%

-23.85%

+20.33%

Average Drawdown

Average peak-to-trough decline

-13.29%

-38.35%

+25.06%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.64%

4.95%

-2.31%

Volatility

VGSNX vs. REM - Volatility Comparison

Vanguard Real Estate Index Fund Institutional Shares (VGSNX) and iShares Mortgage Real Estate ETF (REM) have volatilities of 3.75% and 3.81%, 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.

Loading charts...

Volatility by Period

VGSNXREMDifference

Volatility (1M)

Calculated over the trailing 1-month period

3.75%

3.81%

-0.06%

Volatility (6M)

Calculated over the trailing 6-month period

9.32%

13.01%

-3.69%

Volatility (1Y)

Calculated over the trailing 1-year period

13.16%

16.85%

-3.69%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

18.87%

23.57%

-4.70%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

20.91%

28.27%

-7.36%

VGSNX vs. REM - Expense Ratio Comparison

VGSNX has a 0.10% expense ratio, which is lower than REM's 0.48% expense ratio.

Dividends

VGSNX vs. REM - Dividend Comparison

VGSNX's dividend yield for the trailing twelve months is around 3.71%, less than REM's 9.19% yield.

PositionTTM20252024202320222021202020192018201720162015
REM
iShares Mortgage Real Estate ETF		9.19%8.70%9.61%9.46%11.13%7.29%7.72%8.16%10.00%9.97%10.03%11.99%
VGSNX
Vanguard Real Estate Index Fund Institutional Shares		3.71%3.94%3.87%3.93%3.94%2.57%3.95%3.40%4.75%4.26%4.84%3.94%

Frequently Asked Questions

VGSNX and REM have a correlation of 0.62, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

REM has higher volatility (3.81%) compared to VGSNX (3.75%). In terms of maximum drawdown, VGSNX dropped -73.06% vs REM's -74.73%.

VGSNX currently has the higher Sharpe Ratio (0.75 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.

Portfolio Optimizer

Find the right allocation for VGSNX and REM

Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.

Open Portfolio Optimizer