Quantcast

Real Estate ETF (VNQ) Hits New 52-Week High


Shutterstock photo

For investors seeking momentum, Vanguard REIT Index ETF VNQ is probably on radar now. The fund just hit a 52-week high, and is up 17.9% from its 52-week low price of $71.08 per share.

But are more gains in store for this ETF? Let's take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:

VNQ in Focus

This product offers exposure to the real estate investment trusts (REITs) that purchase office buildings, hotels, and other real property. It has key holdings in specialized REITs, retail REITs, and residential REITs that accounts for double-digit exposure each. It charges investors 12 basis points a year in fees (see: all the Real Estate ETFs here ).

Why the Move?

The real estate corner of the broad market has been an area to watch lately given the Fed's dovish stance that has returned the lure for the rate-sensitive stocks. Additionally, still-unresolved U.S.-China trade war, global growth concerns, geopolitical tensions and Brexit concerns are making investors jittery, raising the appeal for these stocks. This is because these often act as a safe haven in times of market turbulence and concurrently offer higher returns due to their outsized yields.

More Gains Ahead?

Currently, VNQ has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook. Therefore, it is hard to get a handle on its future returns one way or the other. However, many of the segments that make up this ETF have a strong Zacks Industry Rank. So, there is definitely some promise for those who want to ride this surging ETF a little further.

Want key ETF info delivered straight to your inbox?

Zacks' free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Vanguard Real Estate ETF (VNQ): ETF Research Reports

To read this article on Zacks.com click here.

Zacks Investment Research

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.





This article appears in: Investing , ETFs
Referenced Symbols: VNQ



More from Zacks.com

Subscribe






Zacks.com
Contributor:

Zacks.com

Equity Research










Research Brokers before you trade

Want to trade FX?