SCHH VS XLRE
4 min read
By Ron Koren, ETF Insider

SCHH VS XLRE

Exchange-Traded Funds (ETFs) have transformed the investment landscape, providing investors with easy access to a diversified range of sectors and asset classes. In this article, we will undertake a comprehensive comparison between two prominent ETFs: SCHH (Schwab U.S. REIT ETF) and XLRE (Real Estate Select Sector SPDR Fund). Our exploration will encompass crucial aspects such as ETF tickers, full names, issuers, sectors, top holdings, capitalization, strategy, tracking, and exposure.

SCHH Vs XLRE: Overview

SCHH and XLRE are two distinct ETFs that cater to investors seeking exposure to the real estate sector. While SCHH focuses on providing broad-based exposure to the U.S. real estate market, XLRE hones in on the real estate sector within the S&P 500. These differing scopes lead to varying portfolio compositions and risk profiles, a contrast we will delve into in the upcoming sections.

SCHH Vs XLRE: Sectors and Top Holdings

The SCHH ETF offers exposure to a wide range of U.S. real estate segments, including residential, retail, industrial, and office properties. On the other hand, XLRE zeroes in on real estate companies within the S&P 500, featuring top holdings like American Tower Corporation, Prologis Inc., and Simon Property Group. Understanding the sectors and top holdings aids investors in aligning their investment objectives with the right ETF choice based on their risk appetite.

SCHH  overlap SCHH VS XLRESCHH overlap SCHH VS XLRE

SCHH Vs XLRE: Capitalization and Strategy

SCHH boasts a significant asset under management (AUM) figure, highlighting its appeal among investors looking to tap into the U.S. real estate market. XLRE follows the strategy of tracking the performance of the Real Estate Select Sector Index. The divergence in capitalization and strategy creates potential variations in risk and returns, underscoring the importance of evaluating these aspects when considering either ETF.

SCHH Vs XLRE: Tracking and Exposure

SCHH aims to provide investors with comprehensive exposure to the broader U.S. real estate market, including various property types and real estate investment trusts (REITs). XLRE, on the other hand, seeks to mirror the performance of real estate companies within the S&P 500. This difference in tracking and exposure methods underscores the necessity of understanding the underlying indexes and their constituents when making investment decisions.

Conclusion

SCHH and XLRE stand as distinct offerings within the real estate ETF landscape, catering to investors with differing preferences and objectives. For those keen on gaining deeper insights into holdings, correlations, overlaps, and other intricate details, ETF Insider emerges as the ultimate tool. With its user-friendly app, it empowers investors to explore these aspects and more across various financial instruments.

Disclaimer: This article does not provide any investment advisory services.

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FAQ

  • Why is SCHH better than XLRE?

    SCHH may be considered better than XLRE for some investors due to its specific focus, offering diversification.

  • Does XLRE beat SCHH?

    XLRE's performance relative to SCHH will vary over time, depending on market conditions.

  • Should I invest in SCHH or XLRE?

    The choice between SCHH and XLRE should align with your investment goals, risk tolerance, and desired exposure.

  • Are SCHH and XLRE good investments?

    Both SCHH and XLRE can be suitable investments depending on individual investment strategies, goals, and risk profiles.

  • What is the correlation between SCHH and XLRE?

    The correlation between SCHH and XLRE can vary over time, reflecting differences in performance.