XRE.TO vs. XAW.TO

Last updated Jun 5, 2026

XRE.TO (iShares S&P/TSX Capped REIT Index ETF) and XAW.TO (iShares Core MSCI All Country World ex Canada Index ETF) are both exchange-traded funds - XRE.TO is a REIT fund tracking the Morningstar DM REIT NR CAD, while XAW.TO is a Global Equities fund tracking the Morningstar Gbl GR CAD. Both are passively managed. Over the past 10 years, XRE.TO returned 4.82%/yr vs 13.26%/yr for XAW.TO. At a 0.39 correlation, their price movements are largely independent. XRE.TO charges 0.61%/yr vs 0.22%/yr for XAW.TO.

Performance

XRE.TO vs. XAW.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in iShares S&P/TSX Capped REIT Index ETF (XRE.TO) and iShares Core MSCI All Country World ex Canada Index ETF (XAW.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XRE.TO achieves a 10.05% return, which is significantly lower than XAW.TO's 14.15% return. Over the past 10 years, XRE.TO has underperformed XAW.TO with an annualized return of 4.82%, while XAW.TO has yielded a comparatively higher 13.26% annualized return.

XRE.TO

• 1D: 0.45%
• 1M: 0.50%
• YTD: 10.05%
• 6M: 12.65%
• 1Y: 12.66%
• 3Y*: 5.22%
• 5Y*: 1.97%
• 10Y*: 4.82%

XAW.TO

• 1D: 0.40%
• 1M: 6.30%
• YTD: 14.15%
• 6M: 12.98%
• 1Y: 31.14%
• 3Y*: 21.98%
• 5Y*: 14.05%
• 10Y*: 13.26%

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

XRE.TO vs. XAW.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XRE.TO iShares S&P/TSX Capped REIT Index ETF	10.05%	8.89%	-2.52%	1.88%	-17.34%	32.49%	-13.63%	21.91%	5.66%	9.27%
XAW.TO iShares Core MSCI All Country World ex Canada Index ETF	14.15%	15.87%	26.31%	18.45%	-11.84%	18.38%	12.37%	19.82%	-2.28%	16.10%

Correlation

The correlation between XRE.TO and XAW.TO is 0.34, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.34
Correlation (3Y) Calculated over the trailing 3-year period	0.42
Correlation (5Y) Calculated over the trailing 5-year period	0.48
Correlation (10Y) Calculated over the trailing 10-year period	0.39
Correlation (All Time) Calculated using the full available price history since Feb 18, 2015	0.39

The correlation between XRE.TO and XAW.TO shifts across timeframes, from 0.34 (1 year) to 0.48 (5 years), reflecting how their relationship changes across market environments.

XRE.TO vs. XAW.TO - Sectors Allocation Comparison

Sectors	XRE.TO	XAW.TO
Real Estate	100.0%	1.4%
Basic Materials	-	2.8%
Communication Services	-	8.7%
Consumer Cyclical	-	8.8%
Consumer Defensive	-	4.6%
Energy	-	3.3%
Financial Services	-	13.7%
Healthcare	-	7.8%
Industrials	-	9.1%
Technology	-	32.6%
Utilities	-	2.2%

Return for Risk

XRE.TO vs. XAW.TO — Risk / Return Rank

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

XRE.TO

XRE.TO Risk / Return Rank: 31
XRE.TO Sharpe Ratio Rank: 31
XRE.TO Sortino Ratio Rank: 31
XRE.TO Omega Ratio Rank: 28
XRE.TO Calmar Ratio Rank: 35
XRE.TO Martin Ratio Rank: 30

XAW.TO

XAW.TO Risk / Return Rank: 80
XAW.TO Sharpe Ratio Rank: 80
XAW.TO Sortino Ratio Rank: 80
XAW.TO Omega Ratio Rank: 82
XAW.TO Calmar Ratio Rank: 77
XAW.TO Martin Ratio Rank: 79

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.

XRE.TO vs. XAW.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares S&P/TSX Capped REIT Index ETF (XRE.TO) and iShares Core MSCI All Country World ex Canada Index ETF (XAW.TO). 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.

	XRE.TO	XAW.TO	Difference
Sharpe ratio: Return per unit of total volatility	1.09	2.55	-1.46
Sortino ratio: Return per unit of downside risk	1.62	3.55	-1.93
Omega ratio: Gain probability vs. loss probability	1.19	1.49	-0.30
Calmar ratio: Return relative to maximum drawdown	1.69	3.84	-2.14
Martin ratio: Return relative to average drawdown	4.23	15.47	-11.24
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XRE.TO vs. XAW.TO - Sharpe Ratio Comparison

The current XRE.TO Sharpe Ratio is 1.09, which is lower than the XAW.TO Sharpe Ratio of 2.55. The chart below compares the historical Sharpe Ratios of XRE.TO and XAW.TO, 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

	XRE.TO	XAW.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.09	2.55	-1.46
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.12	1.04	-0.92
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.28	0.88	-0.61
Sharpe Ratio (All Time) Calculated using the full available price history	0.49	0.79	-0.30

Drawdowns

XRE.TO vs. XAW.TO - Drawdown Comparison

The maximum XRE.TO drawdown since its inception was -57.06%, which is greater than XAW.TO's maximum drawdown of -27.32%. Use the drawdown chart below to compare losses from any high point for XRE.TO and XAW.TO.

Drawdown Indicators

	XRE.TO	XAW.TO	Difference
Max Drawdown Largest peak-to-trough decline	-57.06%	-27.32%	-29.74%
Max Drawdown (1Y) Largest decline over 1 year	-7.51%	-8.16%	+0.65%
Max Drawdown (3Y) Largest decline over 3 years	-20.91%	-16.66%	-4.25%
Max Drawdown (5Y) Largest decline over 5 years	-30.53%	-21.02%	-9.51%
Max Drawdown (10Y) Largest decline over 10 years	-46.58%	-27.32%	-19.26%
Current Drawdown Current decline from peak	-3.53%	0.00%	-3.53%
Average Drawdown Average peak-to-trough decline	-9.66%	-3.91%	-5.75%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.00%	2.02%	+0.98%

Volatility

XRE.TO vs. XAW.TO - Volatility Comparison

The current volatility for iShares S&P/TSX Capped REIT Index ETF (XRE.TO) is 3.32%, while iShares Core MSCI All Country World ex Canada Index ETF (XAW.TO) has a volatility of 4.12%. This indicates that XRE.TO experiences smaller price fluctuations and is considered to be less risky than XAW.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XRE.TO	XAW.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.32%	4.12%	-0.80%
Volatility (6M) Calculated over the trailing 6-month period	8.62%	9.86%	-1.24%
Volatility (1Y) Calculated over the trailing 1-year period	11.66%	12.25%	-0.59%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.18%	13.56%	+2.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.57%	15.12%	+2.45%

XRE.TO vs. XAW.TO - Expense Ratio Comparison

XRE.TO has a 0.61% expense ratio, which is higher than XAW.TO's 0.22% expense ratio.

Dividends

XRE.TO vs. XAW.TO - Dividend Comparison

XRE.TO's dividend yield for the trailing twelve months is around 4.47%, more than XAW.TO's 1.16% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
XAW.TO iShares Core MSCI All Country World ex Canada Index ETF	1.16%	1.33%	1.61%	1.71%	1.79%	1.77%	1.49%	2.02%	2.29%	1.92%	1.80%	1.83%
XRE.TO iShares S&P/TSX Capped REIT Index ETF	4.47%	5.00%	5.55%	4.52%	4.85%	2.59%	4.45%	4.82%	4.80%	4.71%	5.20%	5.59%

Frequently Asked Questions

Can I hold both XRE.TO and XAW.TO in my portfolio?

XRE.TO and XAW.TO have a correlation of 0.34, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, XRE.TO or XAW.TO?

On fees, XAW.TO is cheaper at 0.22% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, XRE.TO or XAW.TO?

XAW.TO is cheaper with a 0.22% expense ratio, compared with 0.61% for XRE.TO.

What is the main difference between XRE.TO and XAW.TO?

XRE.TO is categorized as REIT, while XAW.TO is Global Equities. XRE.TO tracks Morningstar DM REIT NR CAD, while XAW.TO tracks Morningstar Gbl GR CAD. Their fees differ too: 0.61% for XRE.TO and 0.22% for XAW.TO.