REM ETF — Holdings & Analysis
The iShares Mortgage Real Estate ETF (REM) offers exposure to U.S. REITs holding residential and commercial mortgages, with an AUM of $0.55 billion. REM distinguishes itself with a focused strategy on mortgage REITs, providing a high dividend yield of 8.53%.
The fund's expense ratio is 0.48%, and it holds 33 different REITs, making it a targeted option for investors interested in the real estate sector.
iShares Mortgage Real Estate ETF (REM) ETF — Price, Holdings & Analysis
ETF Overview
Risk Metrics
Expense Ratio
What does REM hold?
How Is the Fund Allocated?
| Sector | Weight |
|---|---|
| Real Estate | 100.0% |
| Country | Weight |
|---|---|
| United States | 99.8% |
| Other | 0.2% |
Dividend Yield
- Vanguard Real Estate ETF (VNQ) — 0.13% expense ratio
- Dimensional - US Real Estate ETF (DFAR) — 0.19% expense ratio
- iShares Global REIT ETF (REET) — 0.14% expense ratio
- iShares Russell 2000 ETF (IWM) (Equity) — 0.19% expense ratio
- iShares MSCI Emerging Markets ETF (EEM) (Equity) — 0.72% expense ratio
- iShares MSCI EAFE ETF (EFA) (Equity) — 0.32% expense ratio
- iShares Russell Mid-Cap ETF (IWR) (Equity) — 0.18% expense ratio
- iShares MSCI Emerging Markets Small-Cap ETF (EEMS) (Equity) — 0.72% expense ratio
- iShares FinTech Active ETF (BPAY) (Equity) — 0.66% expense ratio
Risk Metrics
- Beta: 1.24
Questions & Answers
What is REM and what does it track?
The iShares Mortgage Real Estate ETF (REM) is an exchange-traded fund designed to track the investment results of an index composed of U.S. REITs that hold U.S. residential and commercial mortgages.
In simpler terms, REM invests in companies that finance real estate through mortgages rather than directly owning properties.
What is the expense ratio for REM?
The expense ratio for the iShares Mortgage Real Estate ETF (REM) is 0.48%. This means that for every $10,000 invested in the fund, $48 is used to cover annual operating expenses.
While this is a reasonable expense ratio, it's important to consider that other real estate ETFs may have lower expense ratios.
What are the top holdings in REM?
The iShares Mortgage Real Estate ETF (REM) has a concentrated portfolio with its top holdings representing a significant portion of its assets.
As of today, the top three holdings are Annaly Capital Management Inc (NLY) at 22.95%, AGNC Investment Corp (AGNC) at 15.33%, and Starwood Property Trust Inc (STWD) at 7.86%.
Is REM a good long-term investment?
Evaluating REM as a long-term investment requires careful consideration of its specific focus on mortgage REITs. The fund's performance is closely tied to interest rate movements and the health of the housing market.
Its high dividend yield of 8.53% may be attractive to income-seeking investors, but it's essential to remember that dividend payments are not guaranteed and can fluctuate.
How does REM compare to similar ETFs?
REM distinguishes itself through its specific focus on mortgage REITs, setting it apart from broader real estate ETFs that include equity REITs and direct property investments. Its expense ratio of 0.48% is comparable to other specialized REIT ETFs.
In terms of AUM, REM, with $0.55 billion, is a mid-sized fund in the mortgage REIT ETF category.
Does REM pay dividends?
Yes, the iShares Mortgage Real Estate ETF (REM) is designed to provide investors with income through dividend payments. As of today, REM has a dividend yield of 8.53%.
This yield reflects the annual dividend payments relative to the fund's current share price. It's important to note that dividend yields can vary over time and are not guaranteed. The fund distributes dividends monthly.