KBWY vs NETL: Real Estate ETF Showdown
Institutional side-by-side analysis of fees, dividend cash flows, and underlying holdings overlap.
Key Fundamental Specifications
| Metric | KBWY | NETL |
|---|---|---|
| Annual Expense Ratio | 0.35% Lowest Fee | 0.60% |
| Annual Dividend Yield | 7.80% Higher Yield | 5.25% |
| Assets Under Management (AUM) | $0.2 Billion | $0.1 Billion |
| Number of Holdings | 32 Constituents | 24 Constituents |
| Fund Issuer | Invesco | Fundamental Income |
| Benchmark Index | KBW Nasdaq Premium Yield Equity REIT Index | Fundamental Income Net Lease Real Estate Index |
Top Holdings & Weight Overlap
Constituent weights across both funds:
| REIT Constituent | KBWY Weight | NETL Weight |
|---|---|---|
| O Realty Income Corp. | 0.0% | 11.5% |
| WPC W.P. Carey Inc. | 0.0% | 10.2% |
| NNN NNN REIT Inc. | 0.0% | 9.8% |
| ADC Agree Realty Corp. | 0.0% | 8.9% |
| EPRT Essential Properties Realty | 0.0% | 7.6% |
Institutional Verdict: KBWY or NETL?
Fee Advantage: KBWY offers the lower expense ratio at 0.35% vs 0.60%. Over a 20-year holding period, lower expense drag preserves thousands of dollars in cumulative returns.
Yield Generation: For income-focused investors, KBWY provides the higher current dividend yield at 7.80%, making it more attractive for living off dividend cash flow.
Conclusion: If your priority is low-cost passive index tracking, choose KBWY. If your mandate is maximum immediate dividend yield, choose KBWY.
Frequently Asked Questions
What is the difference between KBWY and NETL?
Invesco KBW Premium Yield Equity REIT ETF (KBWY) is issued by Invesco with an expense ratio of 0.35% and dividend yield of 7.80%. In comparison, NETLease Corporate Real Estate ETF (NETL) is issued by Fundamental Income charging 0.60% with a yield of 5.25%.
Which REIT ETF has lower fees: KBWY or NETL?
KBWY has the lower annual expense ratio (0.35% vs 0.60%), saving long-term investors money on compounding fee drag.
Which ETF pays a higher dividend yield: KBWY or NETL?
KBWY currently pays the higher annualized dividend yield (7.80% vs 5.25%).
Can I hold both KBWY and NETL in a portfolio?
While you can hold both, KBWY and NETL share significant constituent overlap in top REITs like Prologis, American Tower, and Equinix. Holding both may cause redundant portfolio exposure.