International REIT Faceoff Part 1: VNQI Vs. RWX
A Seeking Alpha Contribution
- RWX is the largest and most liquid international REIT.
- VNQI is the cheapest international REIT, despite having the most holdings by far.
- RWX has beaten VNQI in the recent past, thanks to its less exposure to China.
The SPDR Dow Jones International Real Estate ETF (NYSEARCA:RWX) and the Vanguard Global ex-U.S. Real Estate ETF (NASDAQ:VNQI) are the two largest REIT ETFs offering foreign exposure. RWX costs more than twice as much as VNQI, but it has been the better performer since VNQI’s inception.
Index & Strategy
RWX tracks the Dow Jones Global ex-U.S. Select Real Estate Securities Index. The index rules for inclusion require companies to be an owner and operator of commercial or residential real estate, with at least 75 percent of total revenue coming from real estate. The minimum market cap is $200 million.
The index does not include mortgage REITs, net-lease REITs, finance companies, homebuilders, holders of unimproved land, hybrid REITs or timber REITs…To Continue Reading Please, Click Here.