NRO vs VNQ: Correlation
Measured on weekly returns over the past three years, Neuberger Real Estate Securities Income Fund Inc. (NRO) and Vanguard Real Estate ETF (VNQ) carry a correlation of 0.79, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are NRO and VNQ?
On 3 years of weekly data the NRO/VNQ correlation comes out at 0.79, strong. Little has changed lately, as the 1-year reading of 0.71 lands near the 3-year figure. The 5-year figure is 0.83, and annualized covariance runs at 247.1 %².
Among the 17 assets we track against NRO, VNQ ranks #5 by 3-year correlation. The trailing year gives VNQ the advantage: +2.5% versus +10.3%, a 7.8-point spread.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
NRO vs VNQ: side by side
| NRO (Neuberger Real Estate Securities Income Fund Inc.) | VNQ (Vanguard Real Estate ETF) | |
|---|---|---|
| 1-year return | +2.5% | +10.3% |
| 5-year return | +2.7% | +9.5% |
| Volatility (ann.) | 18.9% | 16.6% |
| Beta vs S&P 500 | 0.70 | 0.59 |
| Max drawdown (3Y) | -24.8% | -17.5% |
| Market cap | $0.2B | – |
| P/E (trailing) | 8.2 | – |
| Dividend yield | 0.00% | 3.51% |
| Expense ratio | – | 0.13% |
| Assets under management | – | $73.1B |
| Sector / category | US Listed | ETF · Real Estate |
VNQ is a Real Estate fund from Vanguard: $73.1B under management, 140 holdings, a 0.13% expense ratio, a 3.51% trailing dividend yield.
Year-by-year returns
| Year | NRO | VNQ |
|---|---|---|
| 2022 | -35.1% | -26.3% |
| 2023 | +15.1% | +11.9% |
| 2024 | +23.8% | +4.8% |
| 2025 | +0.8% | +3.2% |
| 2026 | +5.0% | +12.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are NRO and VNQ good diversifiers for each other?
To a limited degree. At 0.79 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between NRO and VNQ?
As of 2026-08-27, the correlation of weekly returns between NRO and VNQ is 0.79 over 3 years, 0.71 over 1 year and 0.83 over 5 years.
Is VNQ a good diversifier for NRO?
To a limited degree. At 0.79 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.79 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/nro-vs-vnq.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/nro-vs-vnq/)
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Related comparisons
Hubs: NRO correlations · VNQ correlations
