# State Street RWO vs iShares REET: Which Real Estate ETF Wins?

> Long-term investors should pick iShares REET over State Street RWO for lower fees and better scale.
- Title: State Street RWO vs iShares REET: Which Real Estate ETF Wins?
- Summary: Long-term investors should pick iShares REET over State Street RWO for lower fees and better scale. iShares REET's lower expense ratio and larger assets make…
- Keywords: state street rwo, ishares reet, real estate etf, expense ratio, dividend yield, global real estate, finance, money, State, Street, RWO, iShares
- Source: The Motley Fool — https://fool.com/coverage/etfs/2026/10/26/state-street-s-rwo-or-ishares-reet-which-global-real-estate-etf-should-long-term-investors-choose
- Author: Sara Appino
- Published: 2026-10-26T10:59:25+00:00
- Read time: 1 min
- Topics: state street rwo, ishares reet, real estate etf, expense ratio, dividend yield, global real estate, finance, money
## RWO vs REET: Key Differences
State Street SPDR Dow Jones Global Real Estate ETF (RWO) offers broader global exposure at a higher cost than iShares Global REIT ETF (REET).
## Performance Comparison
Both funds have similar 1-year returns (5.2% for REET, 6.2% for RWO) and comparable dividend yields (3.6% vs 3.5%).
## Cost Structure
REET charges 0.14% expense ratio versus RWO's 0.5%, making REET significantly cheaper for long-term investors.
## Portfolio Holdings
RWO focuses on 90% real estate with smaller cash and consumer cyclical exposures, while REET has balanced retail, industrial, and healthcare REITs.
## Market Context
Real estate investors face pressure from high mortgage costs and Fed rate hikes in 2026, making cost efficiency critical.
## Why REET Wins
REET's lower fees, larger assets ($4.6B vs $1.2B), and simpler structure make it the better choice for long-term investors.
## Key takeaway

iShares REET's lower expense ratio and larger assets make it the better choice for long-term real estate investors.