5 Best Real Estate ETFs To Buy Now

3. The Real Estate Select Sector SPDR Fund (NYSE:XLRE)

5-Year Share Price Performance as of March 29: 8.15%

The Real Estate Select Sector SPDR Fund (NYSE:XLRE) aims to match the price and yield performance of the Real Estate Select Sector Index. This index offers an accurate representation of the real estate sector within the S&P 500 Index, providing targeted exposure to companies engaged in real estate management, development, and REITs, while excluding mortgage REITs. The Real Estate Select Sector SPDR Fund (NYSE:XLRE) is one of the best real estate ETFs. The fund was established on October 7, 2015. As of April 1, 2024, the ETF has an expense ratio of 0.09% and its portfolio comprises 31 stocks. 

Crown Castle Inc. (NYSE:CCI) is one of the largest holdings of The Real Estate Select Sector SPDR Fund (NYSE:XLRE). Crown Castle Inc. (NYSE:CCI) owns, operates, and leases cell towers and several route miles of fiber supporting small cells and fiber solutions across major US markets. On January 24, the company reported a Q4 FFO of $1.82 and a revenue of $1.67 billion, outperforming Wall Street estimates by $0.08 and $10 million, respectively. 

According to Insider Monkey’s fourth quarter database, 45 hedge funds were bullish on Crown Castle Inc. (NYSE:CCI), same as the prior quarter. 

Carillon Eagle Growth & Income Fund made the following comment about Crown Castle Inc. (NYSE:CCI) in its Q2 2023 investor letter:

“Crown Castle Inc. (NYSE:CCI) detracted from performance as telecom companies have temporarily slowed their deployment of additional cellular spectrum. This slowdown could impair future growth for cell tower companies.”