grok 87 wrote regarding Vanguard's REIT Fund yield:
thanks. interesting article. only quibble is that the yield is not really 4%ish.
per vanguard's website the true yield is 2.8%
The 2.82% figure is reduced from the 3.73% yield based on "the average return of capital and capital gains distributions" over the past 2 years. If you look under the heading of Distributions for the fund, the last 4 quarters of dividend income excluding capital gains and return of capital over those specific 4 quarters produced a 3.4% yield in pure dividends ($3.78) based on the current price of REIT Admiral shares ($112/share). Not a big deal but in this no yield environment 3.4% looks pretty good, reflecting a lot of investor pessimism about REITs due to Covid-19. Interestingly, the opposite of this pessimism is currently reflected in prices of TSLA and AMZN.from Vanguard REIT SEC Yield:
The current unadjusted effective yield is 3.73% as of 06/30/2020, which is based on the full amount of REIT distributions (dividend income, as well as return of capital and capital gain).
The current adjusted effective yield is 2.82% as of 06/30/2020. The adjusted yield reflects a reduction in the income included in the yield based on the average return of capital and capital gain distributions received from the fund's REIT investments for the past 2 calendar years. (These percentages are 25.70% for 2018 and 25.16% for 2017.)