What are the best R3ETFs ETFs?
5 min read
By Ron Koren, ETF Insider

What are the best R3ETFs ETFs?

R3ETFs (Real Return Real Estate Exchange-Traded Funds) offer investors exposure to the real estate sector with a focus on generating real returns. In this article, we will explore some of the best R3ETFs and compare them with other similar options available in the market.

1. R3ETFs : Real Estate Income

One compelling R3ETF is the "Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF" (ticker: SRVR). SRVR aims to track the Benchmark Data & Infrastructure Real Estate SCTR Index, providing exposure to companies in the data and infrastructure real estate sectors.

Comparison:
When comparing SRVR with other real estate-focused ETFs, such as the "Real Estate Select Sector SPDR Fund" (ticker: XLRE) and the "Vanguard Real Estate ETF" (ticker: VNQ), SRVR's unique focus on data and infrastructure real estate sets it apart. While XLRE and VNQ follow traditional broad real estate strategies, SRVR's specialized approach may appeal to investors seeking targeted exposure to a specific subsector within real estate.

2. R3ETFs : Global Real Estate

For investors looking for global real estate exposure, the "FlexShares Global Quality Real Estate Index Fund" (ticker: GQRE) is worth considering. GQRE seeks to replicate the performance of the Northern Trust Global Quality Real Estate Index, providing exposure to high-quality real estate companies worldwide.

Comparison:
When comparing GQRE with other global real estate-focused ETFs, such as the "iShares Global REIT ETF" (ticker: REET) and the "Schwab Global Real Estate ETF" (ticker: SCHH), GQRE's emphasis on quality companies sets it apart. While REET and SCHH offer broader exposure to global real estate, GQRE's focus on quality may appeal to investors seeking a more selective approach.

SRVR overlap What are the best R3ETFs ETFs?SRVR overlap What are the best R3ETFs ETFs?

3. R3ETFs : High Yield Real Estate

Investors looking for higher income potential in the real estate sector may find the "VanEck Vectors Mortgage REIT Income ETF" (ticker: MORT) appealing. MORT seeks to track the performance of the MVIS US Mortgage REITs Index, providing exposure to mortgage real estate investment trusts (REITs).

Comparison:
When comparing MORT with other high-yield real estate-focused ETFs, such as the "iShares Mortgage Real Estate ETF" (ticker: REM) and the "Invesco Mortgage Capital Inc." (ticker: IVR), MORT's focus on mortgage REITs sets it apart. While REM and IVR provide exposure to mortgage REITs as well, MORT's unique index methodology may offer a different composition of holdings.

4. R3ETFs : Real Assets

For investors interested in a broader real assets exposure, the "Invesco Multi-Factor Real Assets Income ETF" (ticker: IVRA) may be worth considering. IVRA aims to track the FTSE RAFI US Real Estate 100% Hedged to CAD Index, providing exposure to real assets across various sectors.

Comparison:
When comparing IVRA with other real assets-focused ETFs, such as the "SPDR Kensho Real Estate ETF" (ticker: KREY) and the "FlexShares Real Assets Allocation Index Fund" (ticker: GUNR), IVRA's focus on multi-factor selection and currency hedging sets it apart. While KREY and GUNR offer broader exposure to real assets, IVRA's strategy may be appealing to investors seeking potential factor-based outperformance and currency risk management.

Conclusion:
In conclusion, R3ETFs offer a diverse range of options for investors seeking exposure to the real estate sector with a focus on generating real returns. Each ETF mentioned here has its unique approach and may cater to different investment objectives and risk appetites.

Disclaimer: This article is for informational purposes only and is not providing any investment advisory services.

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