ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Gold/Silver/Critical Minerals
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Modern Alpha
    • Night Effect
    • Portfolio Strategies
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. ETF Building Blocks Channel
  2. Get Real Estate Exposure With These 4 ETFs
ETF Building Blocks Channel
Share

Get Real Estate Exposure With These 4 ETFs

Elle CarusoSep 16, 2022
2022-09-16

Real estate as an asset class has been favored for its low correlation with traditional stock and bond investments and ability to generate current income, as these trusts must distribute at least 90% of their income to investors, according to VettaFi.

There are only four actively managed real estate ETFs available to investors as of September 16: the ALPS Active REIT ETF (REIT C+), the Avantis Real Estate ETF (AVRE ), the Cambria Global Real Estate ETF (BLDG ), and the Invesco Active U.S. Real Estate Fund (PSR B+).

ALPS’ REIT comprises common equity securities of U.S. REITs, but may also include common equity of U.S. real estate operating companies (not structured as REITs), preferred equity of U.S. REITs and real estate operating companies, as well as cash and cash equivalents. 

In selecting its constituents, the REIT’s proprietary methodology takes into account the intrinsic value of the underlying properties held by REITs as well as the corresponding intrinsic value of the REITs in which the fund seeks to invest, according to VettaFi.

AVRE invests in real estate stocks globally that are expected to have higher returns or better risk characteristics. The fund holds real estate companies stretching across a variety of property sectors, including REITs and REIT-like entities, located in countries included in its benchmark index, the S&P Global REIT Index, which currently includes the U.S., Japan, Australia, the U.K, and Singapore, among others.

BLDG provides income and capital appreciation by investing in a global basket of real estate securities including REITs and real estate management and development firms. The portfolio allocates 40% of its assets in equities listed outside of the U.S. and targets a total of 50–100 securities with equal weightings. The selection process uses Cambria’s multi-factor algorithm, which includes value, quality, and momentum. Value metrics include price-to-sales (P/S) ratio, price-to-earnings (P/E) ratio, funds from operations (FFO), dividend yield, and enterprise multiple (EV/EBITDA), quality metrics involve accruals or debt/asset ratios, and momentum uses the stock-price momentum metrics or the trailing (preceding) 12-month total returns, according to VettaFi.

PSR offers exposure to real estate investment trusts within the U.S. equity market, an asset class that has been recently overlooked by many investors. PSR structures and selects its investments primarily from a universe of securities that are included within the FTSE NAREIT All Equity REITs Index. The selection methodology uses quantitative and statistical metrics to identify attractively priced securities and manage risk.

For more news, information, and strategy, visit the ETF Building Blocks Channel.

Loading Articles...
Help & Info
  • Contact Us
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X