Real Estate ETF (VNQ)

OPTIONS as of
05/25/2018

Options Expense ratio Minimum
Admiral 0.12% N/A
Investor 0.26% N/A
Inst 0.10% $5.0 Million
ETF 0.12%

Vanguard ETF Shares can be bought and sold only through a broker (who may charge a commission) and cannot be redeemed with the issuing fund. The market price of Vanguard ETF Shares may be more or less than net asset value.

About our options  


 

KEY FACTS

Product type: Real Estate
VNQ
 inception on 09/23/2004
Earliest share class inception on 05/13/1996
$53.0 billion

This represents the total net assets for all share classes of Vanguard's U.S. funds, as well as any collective trust that shares the same investment strategy, management and holdings.

 as of 12/31/2018
$27.6 billion net assets for
VNQ
 as of 12/31/2018
189 holdings as of 12/31/2018
Indexed to the MSCI US IM Real Estate 25/50 Index (M2CXVGD)
Turnover rate (Fiscal year-end  01/31/2018) 6.10%
CUSIP: 922908553

TRADING

Intraday Optimized Value Ticker
Intraday Optimized Value (IOV), also known as the Intraday Indicative Value (IIV), is the calculated per share price of the ETF which is published every 15 seconds based on the last sale price of each of the underlying securities in the portfolio basket, plus any estimated cash amounts associated with the creation unit.

 VNQ.IV
Outstanding shares: 373,170,524 as of 12/31/2018
ETF exchange: NYSE Arca

Investment approach



  • Seeks to track the performance of the MSCI US Investable Market Real Estate 25/50 Index.
  • Equity real estate investment trusts.
  • Passively managed, full-replication approach.
  • Low expenses minimize net tracking error.

Total returns

as of 12/31/2018

View as:

as of 12/31/2018

15%
10
5
0
-5
-10%
 
 
 
 
 
  1 year 3 year 5 year 10 year

09/23/2004

Market price  – 5.97% 2.30% 7.41% 12.06% 7.77%
NAV 
– 5.95% 2.32% 7.40% 12.04% 7.77%

Real Estate Spliced Index

*
– 5.88% 2.41% 7.50% 12.07%

* MSCI US REIT Index adjusted to include a 2% cash position (Lipper Money Market Average) through April 30, 2009; MSCI US REIT Index through January 31, 2018; MSCI US Investable Market Real Estate 25/50 Transition Index through July 24, 2018; MSCI US Investable Market Real Estate 25/50 Index thereafter.

The performance data shown represent past performance, which is not a guarantee of future results. Investment returns and principal value will fluctuate, so investors' shares, when sold, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data cited.


Top subsectors as of 12/31/2018

Subindustry VNQ

MSCI US Investable Market Real Estate 25/50 Index

+/- Weight
Specialized REITs 32.0% 32.0% 0.0%
Retail REITs 14.6% 14.6% 0.0%
Residential REITs 14.1% 14.0% 0.1%
Health Care REITs 9.8% 9.9% – 0.1%
Office REITs 9.8% 9.9% – 0.1%
Industrial REITs 6.8% 6.7% 0.1%
Hotel & Resort REITs 4.9% 4.9% 0.0%
Diversified REITs 4.6% 4.6% 0.0%
Real Estate Services 2.5% 2.5% 0.0%
Real Estate Development 0.4% 0.4% 0.0%
Top sectors equal 99.5% of stock

Sector categories are based on the Global Industry Classification Standard, except for the "Other" category (if applicable), which includes securities that have not been provided a Global Industry Classification Standard as of the effective reporting period.

Top 10 Equity Holdings as of 12/31/2018

Rank Holding
1 Vanguard Real Estate II Index Fund
2 American Tower Corp.
3 Simon Property Group Inc.
4 Crown Castle International Corp.
5 Prologis Inc.
6 Public Storage
7 Equinix Inc.
8 Welltower Inc.
9 Equity Residential
10 AvalonBay Communities Inc.
Top 10 equals 41.7% of net assets

Portfolio holdings may exclude any temporary cash investments and equity index products.

Fundamentals

Stock

as of 12/31/2018
VNQ

MSCI US Investable Market Real Estate 25/50 Index

Number of stock 189 193
Avg market cap $20.7 billion $20.6 billion
Median market cap $13.1 billion $12.3 billion
P/E ratio 30.0x 30.0x
P/B ratio 2.2x 2.2x
Turnover rate 6.1% Fiscal year end 1/2018 N/A

Risk and volatility as of 12/31/2018

  VNQ

Real Estate Spliced Index

R-squared N/A 1.00
Beta N/A 1.00
Alpha – 0.02 N/A
Standard deviation 13.48%
Sharpe ratio 0.09

Risk and volatility are based on the share class with the earliest inception date.

Risk measures are calculated from trailing 36-month fund returns relative to the associated benchmarks.

An investment in the fund could lose money over short or even long periods. You should expect the fund’s share price and total return to fluctuate within a wide range, like the fluctuations of the overall stock market. Although REIT ETF is listed for trading on the NYSE Arca, it is possible that an active trading market may not be maintained. Trading of REIT ETF on the NYSE Arca may be halted if NYSE Arca officials deem such action appropriate, if REIT ETF is delisted from the NYSE Arca, or if the activation of marketwide “circuit breakers” halts stock trading generally. The fund’s performance could be hurt by:

  • Industry concentration risk: The chance that the stocks of REITs and other real estate-related investments will decline because of adverse developments affecting the real estate industry and real property values. Because the fund concentrates its assets in real estate stocks, industry concentration risk is high.
  • Stock market risk: The chance that stock prices overall will decline. Stock markets tend to move in cycles, with periods of rising stock prices and periods of falling stock prices. The fund’s target index may, at times, become focused in stocks of a particular sector, category, or group of companies. Because the fund seeks to track its target index, the fund may underperform the overall stock market.
  • Interest rate risk: The chance that REIT stock prices overall will decline, and that the cost of borrowing for REITs will increase because of rising interest rates. Interest rate risk is high for the portfolio.
  • Investment style risk: The chance that the returns from REIT stocks—which frequently are small- or mid-capitalization stocks—will trail returns from the overall stock market. Historically, REIT stocks have performed quite differently from the overall market.
  • Nondiversification risk: The chance that the fund may invest a greater percentage of its assets in a particular issuer or group of issuers or may own larger positions of an issuer’s voting stock than a diversified fund.




Vanguard ETF Shares can be bought and sold only through a broker (who may charge a commission) and cannot be redeemed with the issuing fund. The market price of Vanguard ETF Shares may be more or less than net asset value. Investments are subject to market risk. Go to the performance page to read more about risk and volatility.