If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

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guyinlaw
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If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by guyinlaw »

This question is for people who invest in REITs outside of TSM/SP500. (to avoid answers like "I have REITs in TSM")

Are you sticking with VNQ/VGSLX - Vanguard Real Estate ETF or invested in other alternatives? What is max allocations to REITs outside TSM?

As more and more companies permanently move towards working from home, Commercial Real Estate will be in trouble. Entertainment related properties are also affected over the medium term.. Rent non-payment for residential properties would likely be shorter term..

In this scenario would a REIT ETF like VNQ still be the best bet? Are you considering other ETFs/Funds or Individual ETFs?

Do you expect REITs to drop more that TSM during this recession and have bigger upside after? This happened during 2008-09 which was real-estate related. It seems to be easiest for Fed and govt to support real estate/mortgages than other sectors.

=====
I added bit of XLRE (Select REIT ETF) and a few individual REITs during the last drawdown.. Will add more..

Comparison of REIT ETFs (numbers from Feb 2020)
Image
Image
https://seekingalpha.com/article/432197 ... iath-story

Some individual REITS I added were healthcare focused like MPW, SBRA.
https://seekingalpha.com/article/433880 ... fe-support
Time is your friend; impulse is your enemy. - John C. Bogle
Robot Monster
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Robot Monster »

I'm personally sticking with VNQ because...honestly I don't feel like I can properly evaluate any of the reit related considerations at hand, so gonna just let that s--t ride! But if you're jonzing for some hot picks, please allow me to Cramer you with his ‘Mad Covid-19 Index’ reits,

American Tower
Crown Castle
CoreSite Realty
Digital Realty
Equinix
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guyinlaw
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by guyinlaw »

XLRE gives exposure to these Large REITs and Tower/tech REITs.

Code: Select all

              VNQ vs XLRE
expense       0.12% vs 0.13%
avg market cap 27B vs 40B
Top 10 holdings 37% vs 59%
Image

Image
Time is your friend; impulse is your enemy. - John C. Bogle
LFKB
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by LFKB »

I recently diversified my REIT position from 100% VNQ to about 15% AGNC and the remaining 85% VNQ. I’ll likely add more AGNC soon as well.

AGNC has a 12% dividend, trades below book value and 90%+ of the paper they own is backed by Fannie, Freddie and Ginnie.
SirWalter
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by SirWalter »

I have some shares of the XLRE ETF but am thinking about separating it out into some individual niche REITs instead. Even a pretty good ETF like XLRE still has a TON of apartment, office, health care, and entertainment holdings, which I think may have a rough future. I am looking more at data centers, storage, towers, and science labs.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Longtermgrowth »

No international REITs? REET (iShares Global REIT ETF) is a nice single holding.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by retiredjg »

guyinlaw wrote: Fri May 01, 2020 12:12 pm This question is for people who invest in REITs outside of TSM/SP500. (to avoid answers like "I have REITs in TSM")

Are you sticking with VNQ/VGSLX - Vanguard Real Estate ETF or invested in other alternatives? What is max allocations to REITs outside TSM?
I use VGSLX. Nothing else.

I started with a 5% (of the portfolio) allocation. As I reduced my stock allocation as I moved further into retirement, I started just keeping a certain dollar amount. When it goes up, I give it a haircut and buy total stock. When it goes down, I wait for it to go up again.

It has more or less just fallen into the realm of play money and at some point I'll probably just let it go away.
rockstar
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by rockstar »

How about USRT or REET?
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Carlos Danger
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Carlos Danger »

REZ. Residential, healthcare, and self-storage REIT ETF.

Lower stock market correlation, greater risk adjusted returns, greater absolute return vs. VNQ over its lifespan.

https://www.portfoliovisualizer.com/bac ... ion2_2=100

What's more, it's on sale. Uncharacteristically took MORE of a hit than VNQ during this most recent stock market crash.

I've always liked it because it avoids exactly the kind of REITs I don't want to hold long-term - the ones most threatened by e-commerce.

Brick and mortar stores can be replaced by webstores, but you can't live in the internet. Neither can grandma or grandpa. You can store your photos on the cloud, but not your fishing gear or winter clothes.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by rascott »

Been in real estate most of my career. I'm not indexing REITs... only buying individual ones with rock solid balance sheets and big liquidity. They'll be a lot less standing when this all shakes out, and the strong will eat the weak. Real estate is a pure numbers game.

By far my most favorite is SPG. Retail is a dying game, but all retail won't go away, and high end retail particularly won't. This is the cream of the crop, mgmt, balance sheet and AAA destination type property in high income areas. Great plans to reinvent old big box anchor stores into entertainment destinations. JMHO. Bought a lot in the mid 50s and expect it to triple in 2-3 years.

Personally think the REIT indexes will underperform the broad market going forward. So yes, being selective.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Humility101 »

I personally don’t like the Reit index funds based on some of the sector specific holdings. The data management reits are probably a solid long term as server farms are never going away and data storage is always increasing. I hold less than 10% in OHI and OPI, with OHI emphasis on elder care facilities and OPI on government leases neither of which I believe are going away anytime soon regardless of short or long term covid trends.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by White Coat Investor »

VNQ. But I do own some private real estate funds that have adopted REIT status in response to the 199A deduction.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by WolfgangPauli »

White Coat Investor wrote: Mon Jun 15, 2020 8:47 pm VNQ. But I do own some private real estate funds that have adopted REIT status in response to the 199A deduction.
I am still massively confused as to why buy the ETF and not the MF. Is it just personal choice? Is it because ETF is a bit more tax efficient. Using this example, why would I choose one v. the other?
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by White Coat Investor »

WolfgangPauli wrote: Sat Aug 29, 2020 8:02 am
White Coat Investor wrote: Mon Jun 15, 2020 8:47 pm VNQ. But I do own some private real estate funds that have adopted REIT status in response to the 199A deduction.
I am still massively confused as to why buy the ETF and not the MF. Is it just personal choice? Is it because ETF is a bit more tax efficient. Using this example, why would I choose one v. the other?
I actually own the mutual fund. But they're two share classes of the same fund. If you're buying in a tax protected account as you probably should be, then either is fine. Dealer's choice.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by apex84 »

VNQ & VNQI here, same allocation as my US vs international for other equities (60/40). VNQI isn't the same as REIT structure in the US, but I like global investing.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by gougou »

Bought EQR and SPG and a little bit of BXP. I stick with BBB+ rated equity REITs with low debt. That's why I don't like VNQ which contains lots of highly leveraged commercial REITs and some overvalued data center REITs.

Good luck have fun :happy
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by JimmyJammy »

I used to own VNQ. For some reason I find myself in individual REITS for the near future: O, OHI, MPW and SPG. I won't know if I made the right decision for about 2 or 3 years.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by JackoC »

WolfgangPauli wrote: Sat Aug 29, 2020 8:02 am
White Coat Investor wrote: Mon Jun 15, 2020 8:47 pm VNQ. But I do own some private real estate funds that have adopted REIT status in response to the 199A deduction.
I am still massively confused as to why buy the ETF and not the MF. Is it just personal choice? Is it because ETF is a bit more tax efficient. Using this example, why would I choose one v. the other?
Vanguard ETF's and MF's are different share classes of the same funds with an ETF structure that is a little different than others. Here's an article discussing potential advantages and drawbacks including tax of the Vang ETF structure over conventional ETF structure, but it's pretty marginal. As far as your actual question, there is no tax difference between VNQ and VGSLX. The expense ratio's of the two are also currently equal, 12 bps.
https://www.morningstar.com/articles/96 ... -tax-risks

I converted VGSLX to VNQ for one reason. I hold it in a real estate LLC where I also hold my rental properties. I can use VNQ as collateral to borrow at ~1.2% from Interactive Brokers, which I could not do with VGSLX. I borrow for a small enough % of value to make margin calls highly unlikely, and thus can help fund property purchases and renovations at a far lower rate than any bank will lend. Even people holding ETF's directly might benefit from being able to borrow cheaply against ETF for a moderate % of value for contingent personal liquidity. Although, in a personal account there can be issues with deducting the margin loan interest depending on the purpose of the borrowing and other factors. Borrowing for an LLC's business purposes is just a business expense on its tax return.

I'd add that I if I could sell VGSLX/VNQ tax free I'm not sure I'd continue to hold it. If that were somehow true I'd have to study whether to continue holding it, but I'm sure it's not worth paying the capital gains tax to get rid of it.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by ralph124cf »

About 25 years ago I was having a home in LA remodeled, and I needed a place to store furniture. I went to Public Storage (PSA) to rent a space, and they refused to give me a contract. Everything was month to month, and seemed to go up about 1% per month. I decided that if storage space was that tight, then their stock should go up. I bought what I could afford to buy at about $35. It has always paid a good dividend, currently 3.5%, and is now at $200, although I sold a few hundred shares a couple of years ago at $270.

I also own a farm property REIT (because nobody is making that anymore) and SPG.

Ralph
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by SethJane42 »

Yes. My spouse came to our now co-account (taxable) with VGSLX at a very low cost basis, but only invest in it in the Roth now. 5% of total portfolio is VGSLX and earns a good dividend every year and has been a winner overall. I've made considerable money swing-trading WELL in my Roth over the years, I just bought a bunch in March and made a huge profit. But for long term I prefer VGSLX.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Bama12 »

VNQ and Store Capital-STOR in my Roth
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by AerialWombat »

Fidelity REIT Index only. Very small position just for some commercial exposure. I own residential rental properties, so don’t feel the need for a hard REIT tilt.

I used to hold NLY individually, but dropped it to simplify.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by WolfgangPauli »

White Coat Investor wrote: Sat Aug 29, 2020 2:18 pm
WolfgangPauli wrote: Sat Aug 29, 2020 8:02 am
White Coat Investor wrote: Mon Jun 15, 2020 8:47 pm VNQ. But I do own some private real estate funds that have adopted REIT status in response to the 199A deduction.
I am still massively confused as to why buy the ETF and not the MF. Is it just personal choice? Is it because ETF is a bit more tax efficient. Using this example, why would I choose one v. the other?
I actually own the mutual fund. But they're two share classes of the same fund. If you're buying in a tax protected account as you probably should be, then either is fine. Dealer's choice.
White Coat Investor: Why do VNQ in tax protected "as I should"? I have all my tax protected accounts full so I would have to move out of bonds to this in the tax protected accounts. Is still a good idea to do in taxable account?
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by White Coat Investor »

WolfgangPauli wrote: Sat Oct 03, 2020 9:35 pm
White Coat Investor wrote: Sat Aug 29, 2020 2:18 pm
WolfgangPauli wrote: Sat Aug 29, 2020 8:02 am
White Coat Investor wrote: Mon Jun 15, 2020 8:47 pm VNQ. But I do own some private real estate funds that have adopted REIT status in response to the 199A deduction.
I am still massively confused as to why buy the ETF and not the MF. Is it just personal choice? Is it because ETF is a bit more tax efficient. Using this example, why would I choose one v. the other?
I actually own the mutual fund. But they're two share classes of the same fund. If you're buying in a tax protected account as you probably should be, then either is fine. Dealer's choice.
White Coat Investor: Why do VNQ in tax protected "as I should"? I have all my tax protected accounts full so I would have to move out of bonds to this in the tax protected accounts. Is still a good idea to do in taxable account?
I'd put REITs in tax-protected and use muni bonds in taxable.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by itmaybejj »

Vnq and fsrnx -- the latter because I can buy like $4.82 of it after etf buys. I'll echo that I don't know enough to skew within the sector.

I somewhat regularly consider dropping these for simple cap weighting with a small cap skew, since folks have said a few times they correlate closer than I originally thought to stocks.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Dave55 »

Carlos Danger wrote: Mon Jun 15, 2020 7:21 pm REZ. Residential, healthcare, and self-storage REIT ETF.

Lower stock market correlation, greater risk adjusted returns, greater absolute return vs. VNQ over its lifespan.

https://www.portfoliovisualizer.com/bac ... ion2_2=100

What's more, it's on sale. Uncharacteristically took MORE of a hit than VNQ during this most recent stock market crash.

I've always liked it because it avoids exactly the kind of REITs I don't want to hold long-term - the ones most threatened by e-commerce.

Brick and mortar stores can be replaced by webstores, but you can't live in the internet. Neither can grandma or grandpa. You can store your photos on the cloud, but not your fishing gear or winter clothes.
How do you feel about REZ low asset base: $379 million? Otherwise I do like it.

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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by hackingdragon »

Longtermgrowth wrote: Mon Jun 15, 2020 7:03 pm No international REITs? REET (iShares Global REIT ETF) is a nice single holding.
Yes, I'm a little baffled by some of the recommendations here. Anything other than a passive index of REITs would be security selection. If we do believe in the efficient market hypothesis (and even you don't believe in it but do believe in the conclusions of behavioral science) then consistent alpha generation is impossible. All the worries about e-commerce or buying "rock solid balance sheets and big liquidity" would only work if you had knowledge about something that the market doesn't. Surely all this information is already priced in.

Or I might not be understanding this correctly.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Robot Monster »

Dave55 wrote: Sun Oct 04, 2020 8:16 am
How do you feel about REZ low asset base: $379 million? Otherwise I do like it.

Dave
$379 million in net assets is perhaps not low enough to worry about it we go by the rule of thumb that "once a fund surpasses the $50 million mark in AUM [assets under management], it’s far less likely to close."
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by imak »

I have 10% allocation to REET ETF in 401k and Roth IRA. REET holdings are more diversified than US-only REITs: REET has about 300 holdings compared to VNQ's 190 holdings. It also helps that it has a nice 66/34 split for US-International allocations (close enough to 70/30 split for rest of my equity portfolio). Morningstar places this ETF in global mid-cap value style box which is attractive from expected returns perspective. In terms of constituent sectors as well, REET is more diversified than VNQ and RWR, making it less sensitive to sector bets.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

guyinlaw wrote: Fri May 01, 2020 1:44 pm Image
Interesting that SCHH now includes AMT, PLD, CCI, EQIX as top holdings.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

Focusing on hard asset REITs to get the most bang for my buck. In other words, REITs with more exposure to the "land factor" and less to the "commerce factor" that is highly correlated with the stock market. I'm not opposed to adding some residential or maybe a little commercial, but all the listed REITs in those subsectors (among the sample I surveyed) appear to be highly concentrated in a handful of mostly coastal megaurban areas that are not relevant to me.
Last edited by 000 on Thu Oct 08, 2020 7:12 pm, edited 1 time in total.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Always passive »

000 wrote: Wed Oct 07, 2020 12:23 am
guyinlaw wrote: Fri May 01, 2020 1:44 pm Image
Interesting that SCHH now includes AMT, PLD, CCI, EQIX as top holdings.
Do you invest with Hoya?
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

Always passive wrote: Wed Oct 07, 2020 12:45 am Do you invest with Hoya?
What is Hoya? What makes you ask that?
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by CCG84 »

I'm employed in the commercial real estate industry and I'm not invested in a REIT index due to trends and functional obsolescence of many property types and sub-property types. COVID sped up the process faster than anyone could imagine.

Office is expected to face strong headwinds in the nearterm and will be hit hard in the gateway markets. Employers are more flexible with working from home and companies are abandoning expensive gateway CBD markets with extremely high rents where many Office REITs own property. (Class A office rents are $35/SF base rent plus $15+/SF for expenses in my sleepy sunbelt town, they can be much higher in gateway markets of course)

Retail has been dying for years and I'm not sure if anything can save it. COVID has given strong retailers (who survive) 100% of the leverage over landlords in lease negotiations. Many think retail real estate cap rates will increase more than they already have to compensate for the increased risk, lower rents, higher vacancy, and lack of lender interest for the property type. Class B- & C malls are essentially land value at this point, who's going to lend on them besides debt funds who charge a very high interest rate and want the property at a reduced basis upon default.

I personally can't bring myself to invest in self storage due to the materialism aspect of the business. I don't have enough experience in cell towers, data centers, etc... to make an educated guess on the valuations & rental rates.

I'm invested in a sunbelt multifamily REIT (mostly suburban w/ some urban, they are a competitor of ours) and a few logistics/industrial REITs that I think have some upside due to their specific niche. I think industrial has a few years to run but supply will catch up before we know it.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Always passive »

000 wrote: Wed Oct 07, 2020 4:52 pm
Always passive wrote: Wed Oct 07, 2020 12:45 am Do you invest with Hoya?
What is Hoya? What makes you ask that?
The table you presented is from this company. Anyway you answered. Thank you
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

Always passive wrote: Wed Oct 07, 2020 11:25 pm The table you presented is from this company. Anyway you answered. Thank you
The OP posted it, I was just quoting them.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by ohboy! »

Longtermgrowth wrote: Mon Jun 15, 2020 7:03 pm No international REITs? REET (iShares Global REIT ETF) is a nice single holding.
Kind of want out of REIT’s myself. I added 500 of REET at $25.42 in 2016. Hasn’t worked out to well. Hate to sell at a loss but pretty bearish on real estate. Cant bring myself to buy more.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Register44 »

What is not to like about SCHH .05 basis lower than VNQ? Holdings seem similar.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

Register44 wrote: Sat Oct 17, 2020 11:15 am What is not to like about SCHH .05 basis lower than VNQ? Holdings seem similar.
If you look at the charts upthread, you will see that SCHH changed indices this year to performance chase, selling commercial real estate low and buying data center REITs high. Of course, that may or may not continue.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Register44 »

000 wrote: Sat Oct 17, 2020 4:39 pm
Register44 wrote: Sat Oct 17, 2020 11:15 am What is not to like about SCHH .05 basis lower than VNQ? Holdings seem similar.
If you look at the charts upthread, you will see that SCHH changed indices this year to performance chase, selling commercial real estate low and buying data center REITs high. Of course, that may or may not continue.
Thanks for the clarification. I was wondering why the charts above showed it did not have American Tower, but I saw it in the holdings online. Assuming they don't adjust their index again I do like that they are pure Reit only. I know VNQ switched their to include some non reit stocks. Another reason I like SCHH better, but it is concerning if they switched index's to chase performance as you pointed out.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

Register44 wrote: Sat Oct 17, 2020 7:33 pm Thanks for the clarification. I was wondering why the charts above showed it did not have American Tower, but I saw it in the holdings online. Assuming they don't adjust their index again I do like that they are pure Reit only. I know VNQ switched their to include some non reit stocks. Another reason I like SCHH better, but it is concerning if they switched index's to chase performance as you pointed out.
If you're considering a REIT fund, I encourage you to look at what the holdings are and where they own property. I decided to buy a diversified passive sample of individual REITs rather than a REIT index fund because (1) many of the top holdings are data centers and IMO likely to be highly correlated with technology stocks and (2) many of the commercial and residential REITs are concentrated in a handful of coastal megaurban areas, which is not relevant to me since I don't live or plan to live there (and don't need to bet on how megaurban RE plays out).

Here is a link showing US Real Estate stocks listed by market cap with summary descriptions (black text under news) of what they do

You can narrow the search further with the Industry filter.

YMMV, and good luck
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by abuss368 »

I have invested in REITS for 20 years first with individual stocks and then an index fund. If REITS are desired I would buy VNQ Vanguards index fund.
John C. Bogle: “Simplicity is the master key to financial success."
case_of_ennui
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by case_of_ennui »

000 wrote: Sat Oct 17, 2020 8:07 pm If you're considering a REIT fund, I encourage you to look at what the holdings are and where they own property. I decided to buy a diversified passive sample of individual REITs rather than a REIT index fund because (1) many of the top holdings are data centers and IMO likely to be highly correlated with technology stocks and (2) many of the commercial and residential REITs are concentrated in a handful of coastal megaurban areas, which is not relevant to me since I don't live or plan to live there (and don't need to bet on how megaurban RE plays out).

Here is a link showing US Real Estate stocks listed by market cap with summary descriptions (black text under news) of what they do

You can narrow the search further with the Industry filter.

YMMV, and good luck

While I certainly don't know for sure, I wouldn't think REIT's that hold datacenters would be highly correlated with tech stocks. Wouldn't it be more of a bottom line expense for these large tech companies? Don't they have to pay rent for their server space before they pay the shareholder?
Register44
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Register44 »

000 wrote: Sat Oct 17, 2020 8:07 pm
Register44 wrote: Sat Oct 17, 2020 7:33 pm Thanks for the clarification. I was wondering why the charts above showed it did not have American Tower, but I saw it in the holdings online. Assuming they don't adjust their index again I do like that they are pure Reit only. I know VNQ switched their to include some non reit stocks. Another reason I like SCHH better, but it is concerning if they switched index's to chase performance as you pointed out.
If you're considering a REIT fund, I encourage you to look at what the holdings are and where they own property. I decided to buy a diversified passive sample of individual REITs rather than a REIT index fund because (1) many of the top holdings are data centers and IMO likely to be highly correlated with technology stocks and (2) many of the commercial and residential REITs are concentrated in a handful of coastal megaurban areas, which is not relevant to me since I don't live or plan to live there (and don't need to bet on how megaurban RE plays out).

Here is a link showing US Real Estate stocks listed by market cap with summary descriptions (black text under news) of what they do

You can narrow the search further with the Industry filter.

YMMV, and good luck
Thanks for sharing. I definitely agree with your thoughts. That is a really good point about data centers hinging on tech. So I do agree that specialty reits should not be the biggest component of the fund . I also thought of doing some individual picks. I started with some residential ones, but then realized I am not going to be able to stay on top of being a good fund manager. So I sold them and put the money back to the etf. Even though it is invested in some segments that I personally would avoid I also know that I am usually wrong. So I actually am accepting of the diversification among the different segments.

I think most of it comes from some other threads I posted about coping with not beating the market and looking at RPAR as an all in one fund. I think for me to stay the course I need to simply as much as possible. But I certainly see alpha and value for those that slice and dice and are able to stay on top of it and not get emotional.
abuss368 wrote: Sat Oct 17, 2020 9:47 pm I have invested in REITS for 20 years first with individual stocks and then an index fund. If REITS are desired I would buy VNQ Vanguards index fund.
Why VNQ over SCHH?
000
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

case_of_ennui wrote: Sat Oct 17, 2020 9:55 pm While I certainly don't know for sure, I wouldn't think REIT's that hold datacenters would be highly correlated with tech stocks. Wouldn't it be more of a bottom line expense for these large tech companies? Don't they have to pay rent for their server space before they pay the shareholder?
I guess "highly correlated" was bad phrasing. I was thinking that retail, residential, and natural resources real estate offer greater diversification from tech stocks than datacenter real estate. I don't hold retail or commercial real estate either for a similar reason, i.e. residential + natural resources land offers more diversification from the regular stock index IMO.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by 000 »

Register44 wrote: Sat Oct 17, 2020 10:00 pm I think for me to stay the course I need to simply as much as possible.
A very reasonable goal.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by Register44 »

edit: deleted as I realized this was actually offtopic from post.
Last edited by Register44 on Sat Oct 17, 2020 11:10 pm, edited 1 time in total.
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Re: If you invest in REITs, are you sticking with VNQ/VGSLX or getting selective

Post by abuss368 »

Carlos Danger wrote: Mon Jun 15, 2020 7:21 pm REZ. Residential, healthcare, and self-storage REIT ETF.

Lower stock market correlation, greater risk adjusted returns, greater absolute return vs. VNQ over its lifespan.

https://www.portfoliovisualizer.com/bac ... ion2_2=100

What's more, it's on sale. Uncharacteristically took MORE of a hit than VNQ during this most recent stock market crash.

I've always liked it because it avoids exactly the kind of REITs I don't want to hold long-term - the ones most threatened by e-commerce.

Brick and mortar stores can be replaced by webstores, but you can't live in the internet. Neither can grandma or grandpa. You can store your photos on the cloud, but not your fishing gear or winter clothes.
Last I looked this fund was small at $300 million.
John C. Bogle: “Simplicity is the master key to financial success."
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