ETF Sector: Real Estate
A real estate ETF is an exchange-traded fund that invests in real estate-related assets, such as real estate investment trusts (REITs), mortgage-backed securities (MBS), and other real estate-related securities. Real estate ETFs provide exposure to the real estate market without the need to directly purchase real estate property. The largest real estate ETF is the SPDR Dow Jones REIT ETF (RWR), which invests in U.S. listed REITs and real estate operating companies (REOCs). Other notable real estate ETFs include the Vanguard Real Estate Index Fund (VNQ) and the iShares Cohen & Steers Realty Majors Index Fund (ICF). Real estate ETFs can be used as a tool to gain exposure to the real estate market for both long-term investors and active traders.