XLRE ETF guide. Cost, sectors and top holdings in one place.
XLRE tracks the Real Estate Select Sector Index and holds 30 real estate companies from the S&P 500. See what it costs to hold each year, what it pays, what sits inside and how it has returned.
One ticker.
What XLRE is, in plain words.
XLRE tracks the Real Estate Select Sector Index and holds 30 real estate companies from the S&P 500. The fund is managed by State Street, trades on NYSE Arca in U.S. dollars and launched on Oct 7, 2015. On Nov 9, 2026 it held $8.50B in net assets and its expense ratio was 0.08%. XLRE is the real estate sector fund of the S&P 500.
Investors search for XLRE ETF because they want a clear answer to four practical questions. What does it cost to hold each year, what does it pay, what is actually inside, and how does it fit in a Roth IRA, a traditional IRA or 401(k), or a taxable account. This guide answers each one with dated figures from the issuer, and marks anything the issuer page does not publish as Not captured.
Key takeaways
- What it is. XLRE tracks the Real Estate Select Sector Index and holds 30 real estate companies from the S&P 500.
- Cost. Expense ratio 0.08%, about $8 a year on $10,000.
- Income. Trailing yield 3.28%, paid quarterly.
- Risk. Calendar year returns ran from -26.2% to +12.4%.
It suits you if
- You want focused exposure to U.S. real estate.
- You already hold a broad market fund and want to add real estate.
- You can accept larger swings than the broad market, especially when interest rates rise.
Look elsewhere if
- You want the whole market in one fund.
- You want a payout that stays the same, since REIT dividends move with rents and property income.
- You cannot accept a large drop in a single industry.
What XLRE holds.
The 10 largest stock positions inside XLRE, as of Nov 6, 2026. Pick a number to see how much of the fund they make up.
The ten largest holdings and the group split are shown below from the issuer page. A real estate fund puts all its weight in property owners, so a handful of names such as Welltower and Prologis can move the whole fund.
XLRE yield and distributions.
XLRE pays distributions in Mar, Jun, Sep, Dec, which makes it a quarterly payer. The issuer page showed a trailing yield of 3.28% dated Nov 6, 2026. The most recent payment in the log was $0.3500 per share with an ex-date of Sep 21, 2026.
A yield is a snapshot, not a promise. The payment moves each period with the dividends and interest the fund receives, and some years include capital gains or return of capital that do not repeat. Read the year by year table below before building a plan around a single quarter. If you reinvest distributions, the payment still counts as income for tax purposes in a taxable account.
Recent distributions per share
Total distribution per share is shown on each bar. A tinted bar includes a reinvested year end amount.
Income estimate at the current yield
Uses the 3.28% yield dated Nov 6, 2026. Actual payments move each period.
Every payment, and the year by year record.
The ex-date is the cut-off, so you must hold shares before it to receive that payment. Amounts are per share in U.S. dollars from the issuer page.
Payment log
| Ex-date | Payable | Cash | Total |
|---|---|---|---|
| Sep 21, 2026 | Sep 23, 2026 | $0.35000 | $0.35000 |
| Jun 22, 2026 | Jun 24, 2026 | $0.38000 | $0.38000 |
| Mar 23, 2026 | Mar 25, 2026 | $0.27000 | $0.27000 |
| Dec 22, 2025 | Dec 24, 2025 | $0.44000 | $0.44000 |
| Sep 22, 2025 | Sep 24, 2025 | $0.32000 | $0.32000 |
| Jun 23, 2025 | Jun 25, 2025 | $0.38000 | $0.38000 |
| Mar 24, 2025 | Mar 26, 2025 | $0.26000 | $0.26000 |
| Dec 23, 2024 | Dec 26, 2024 | $0.43000 | $0.43000 |
The issuer reports the tax character of each payout after year end. Use the Form 1099-DIV from your broker for your own return.
What XLRE costs to hold each year.
The expense ratio of 0.08% means the fund keeps about $8 a year for every $10,000 you hold. That cost is taken out of the fund price in small daily amounts, so you never see a bill, but it lowers your return every year. Over ten years on a flat $10,000 the expense ratio adds up to roughly $80, before any growth.
Two other costs sit outside the expense ratio. Trading commissions depend on your brokerage, and most large U.S. brokerages now charge nothing to buy ETFs. The bid and ask spread is a small cost you pay each time you trade, and for the largest funds it is usually tiny.
Expense ratio cost at common amounts
| Amount held | Per month | Per year | Over 10 years, flat | Hypothetical 2.00% fund, per year |
|---|---|---|---|---|
| $1,000 | $0.07 | $0.80 | $8 | $20 |
| $5,000 | $0.33 | $4.00 | $40 | $100 |
| $10,000 | $0.67 | $8.00 | $80 | $200 |
| $25,000 | $1.67 | $20.00 | $200 | $500 |
| $50,000 | $3.33 | $40.00 | $400 | $1,000 |
| $100,000 | $6.67 | $80.00 | $800 | $2,000 |
| $250,000 | $16.67 | $200.00 | $2,000 | $5,000 |
Flat estimates at the current expense ratio with no growth and no change in fee. Trading commissions depend on your brokerage and are not included. The 2.00% fund is a hypothetical used for scale.
Where the cost shows up
- Not as a bill. The share price and returns are already lower by the expense ratio.
- Trading cost shows up as the bid and ask spread each time you buy or sell, and as a commission if your broker charges one.
- In a taxable account, dividends are reported on Form 1099-DIV and taxed in the year they are paid.
Expense ratio cost calculator
Flat estimate at an expense ratio of 0.08% with no growth and no change in fee. It shows scale only, not a forecast.
How XLRE has returned.
Calendar year total returns, taken from independent records and not from the issuer, ran from -26.25% in 2022 to +12.37% in 2023. Those figures are total returns, which include fees and assume distributions are reinvested. A single weak year is normal for any stock heavy fund, and the point of the record is to show the range rather than to predict the next year.
Returns over longer periods hide the path. A fund can end a decade well ahead and still have lost a fifth of its value along the way. Check your own tolerance for a decline before you choose the weight, and remember that past performance does not guarantee future results.
Annualised NAV returns from the issuer, as of Sep 30, 2026. They include fees.
Past performance does not guarantee future results. Gaps are shown as Not captured because the issuer page did not publish that period.
Calendar year returns
NAV total return including reinvested distributions.
What $10,000 became, 2022 to 2025
Linking the calendar year returns above, with distributions reinvested.
An illustration of past figures, not a forecast. It ignores taxes and trading costs.
Growth of $10,000, year by year
XLRE fund facts in one place.
Every figure comes from the issuer for the date shown. A line reads Not captured when it is not published on the pages we use.
Where the companies are.
Property type exposure
What the ride can look like.
XLRE can lose value, and the calendar year record shows the range so far.
- Market risk. The fund falls when stock markets fall.
- Interest rate risk. REITs borrow heavily and compete with bonds for income buyers, so rising interest rates often push REIT prices down.
- Concentrated holdings. XLRE holds only 30 companies, and Welltower alone is about 12% in the holdings file dated Nov 6, 2026, so a few names drive a large share of the result.
- Property cycle risk. Rents, occupancy and property values move with the economy, and offices, malls and hotels can lag for years.
- Distribution risk. Payments change each quarter with rents and property sales and are not guaranteed.
How investors use XLRE.
XLRE is most often used as a satellite holding, a smaller piece added on top of a broad market core. An investor who owns it is choosing to tilt the portfolio toward real estate, which is a bet on rents, property values and interest rates rather than on the market as a whole.
Because real estate can lead or lag the market for years, many investors cap it at a small share of the portfolio and rebalance. That choice is worth checking against your own situation.
Before buying XLRE, check four things on the issuer page. First, confirm the expense ratio matches the figure on this page, since fees can change when an issuer cuts costs. Second, confirm the fund is eligible for the account you plan to use. Third, read the latest tax breakdown if you hold it in a taxable account. Fourth, look at the bid and ask spread on the day you trade, since a wide spread is a cost that the expense ratio does not show.
Several comparable funds exist, with expense ratios of VNQ at 0.13%, SCHH at 0.07%, IYR at 0.37%, USRT at 0.08%, so weigh cost together with what each fund holds, how it pays and the account you use.
No single fund is right for everyone, and this guide describes the product rather than recommending it. The figures come from the issuer and are dated. Distribution amounts, yields and holdings change, and past returns do not predict future returns. For a decision with large amounts of money, read the prospectus and the shareholder reports, and consider speaking with a licensed adviser about your own situation.
XLRE against similar funds.
The same fund type from other issuers. Open a comparison for holdings overlap and returns.
| Fund | Issuer | Expense ratio | Net assets | Trailing yield |
|---|---|---|---|---|
| XLRE (this fund) | State Street | 0.08% | $8.50B | 3.28% |
| VNQ | Vanguard | 0.13% | $37.6B | 3.63% |
| SCHH | Schwab | 0.07% | $11.94B | 3.08% |
| IYR | iShares | 0.37% | $3.96B | 2.39% |
| USRT | iShares | 0.08% | $4.30B | 2.75% |
| FREL | Fidelity | 0.084% | $1.40B | 3.30% |
XLRE is part of the REIT ETFs category on this site, grouped here with VNQ, SCHH, IYR. Each comparison page lines up two funds on cost, holdings overlap, yield and returns, so you can see what separates them.
Where XLRE fits.
Qualified withdrawals from a Roth IRA are tax free, so dividends and gains compound without a yearly tax bill and the expense ratio is the main drag you carry. XLRE is an ordinary exchange traded fund, so most brokerages let you hold it in a Roth IRA.
Tax is deferred until you withdraw, and withdrawals are taxed as ordinary income. A 401(k) offers only the funds on its menu, so check whether XLRE or a similar fund is in your plan.
Most REIT dividends are taxed as ordinary income and do not meet the qualified dividend rules, and part of a payout can be return of capital or capital gain. Some REIT dividends may qualify for the Section 199A deduction, and the Form 1099-DIV shows the split. That is why many investors hold REIT funds in an IRA rather than a taxable account, and gains are taxed when you sell. Your broker reports the amounts on Form 1099-DIV after year end, and those figures are what count on your return. ETFs also tend to pass out few capital gains because of how shares are created and redeemed.
General education, not tax advice. Rules change, so confirm with the issuer tax documents or an adviser.
Buying XLRE in five steps.
- Pick the account. Roth IRA, traditional IRA, 401(k) or taxable. Most brokerages let IRAs hold ETFs like this one.
- Search the ticker. Type XLRE in your brokerage and choose the U.S. listing, priced in U.S. dollars.
- Use a limit order. It sets the most you will pay and avoids surprises at the open.
- Check the cost. Most large U.S. brokerages charge no commission on ETFs, and some charge a small fee per trade.
- Set a routine. Add money on a schedule and decide whether to reinvest distributions.
Terms used on this page.
Where to go next from XLRE.
Every XLRE link in one place. Start with the category, then the head to head comparisons, then the guides for other funds and the tools.
CategoryREIT ETFsEvery fund in this category, with a comparison page for every pair.Open the category →XLRE comparison pages 5
Guides for similar funds
More U.S. fund guides
Calculators for XLRE investors
Other ETF categories
Guides and research
Common questions about XLRE.
What is XLRE?
XLRE tracks the Real Estate Select Sector Index and holds 30 real estate companies from the S&P 500. It is managed by State Street, trades on NYSE Arca in U.S. dollars and launched on Oct 7, 2015.
What is the expense ratio of XLRE?
The expense ratio of XLRE on the issuer page is 0.08%, or about $8 a year per $10,000 invested.
What is the XLRE dividend yield?
The issuer page showed a trailing yield of 3.28% on Nov 6, 2026 for XLRE. Yields change, so check the issuer page for the current figure.
How often does XLRE pay a dividend?
XLRE pays distributions in Mar, Jun, Sep, Dec. The latest payment in the log was $0.3500 per share.
What does XLRE hold?
XLRE holds 30 positions. Its largest positions are Welltower, Prologis, Equinix.
Can I hold XLRE in a Roth IRA or 401(k)?
Yes for IRAs. XLRE is an ordinary exchange traded fund, so most brokerages let you hold it in a Roth IRA or a traditional IRA. Whether it is available in a 401(k) depends on the funds your plan offers.
How has XLRE performed?
Calendar year total returns, from independent records, ran from -26.25% in 2022 to +12.37% in 2023. Returns include fees. Past performance does not guarantee future results.
XLRE or IYR, what is the difference?
The two funds do a similar job and differ in cost, issuer and holdings. XLRE has an expense ratio of 0.08% and IYR has an expense ratio of 0.37%. Open the IYR vs XLRE comparison for holdings overlap, yield and returns side by side.
How is XLRE taxed in a taxable account?
Dividends are reported on Form 1099-DIV. Qualified dividends are taxed at long term rates and the rest as ordinary income. The split changes by year, so use the figures your broker reports.
Source, State Street fund page. All figures are dated as shown. This guide is for education and is not personal advice or an offer to sell.