VNQ: The 'King Kong' Of REIT ETFs

Summary

  • VNQ is the dominant, well-diversified REIT ETF with 155 holdings and a low expense ratio, offering broad sector exposure at minimal cost.
  • Top holdings—AMT, WELL, PLD, EQIX, DLR—are industry leaders; I favor all, but rate WELL and DLR as holds due to valuation.
  • VNQ’s market-cap weighting ensures continued exposure to mega-cap REITs, making it a reliable core holding for sector exposure.
  • With potential Fed rate cuts ahead, REITs could rally, making VNQ an attractive option for investors seeking simple, diversified real estate exposure.
  • Looking for a helping hand in the market? Members of iREIT®+HOYA Capital get exclusive ideas and guidance to navigate any climate. Learn More »

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In my book, I have an entire chapter dedicated to REIT ETFs in which I explain,

“…think of an ETF as a cake with layers, and you get a piece of the profit across an array

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This article was written by

119.57K Followers

Brad Thomas has over 30 years of real estate investing experience and has acquired, developed, or brokered over $1B in commercial real estate transactions. He has been featured in Barron's, Bloomberg, Fox Business, and many other media outlets. He's the author of four books, including the latest, REITs For Dummies.

Brad, along with HOYA Capital, lead the investing group iREIT®+HOYA Capital. The service covers REITs, BDCs, MLPs, Preferreds, and other income-oriented alternatives. The team of analysts has a combined 100+ years of experience and includes a former hedge fund manager, due diligence officer, portfolio manager, PhD, military veteran, and advisor to a former U.S. President.

Note: Brad is also related to Nicholas Thomas who contributes to Seeking Alpha.

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Analyst’s Disclosure:I/we have a beneficial long position in the shares of WELL, DLR, AMT, IRET either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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About VNQ ETF

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