Highlights

  • REM targets US real estate Investment trusts holding residential and commercial mortgages.
  • The published expense ratio is 0.48%.
  • The fund's distribution frequency is quarterly.

iShares Mortgage Real Estate ETF (Cboe BZX:REM) seeks exposure to US real estate investment trusts holding residential and commercial mortgages. With net asset value of USD 17.37 per share as of 2 November 2026, the fund reported net Assets of USD 454,169,828 as of 2 November 2026. Its investment approach centres on tracking the FTSE Nareit All Mortgage Capped Index.

Mortgage Finance Drives the Business Exposure

Mortgage real estate businesses primarily connect the portfolio to property lending and mortgage investments. Their Economics can depend on the relationship between asset income and funding costs, as well as the Credit quality of borrowers. This differs from analysing rent collection at a directly owned property. Balance Sheet Leverage and changes in mortgage values can magnify the effect of shifts in financing conditions.

Portfolio Composition and Exposure

REM reported 30 holdings as of 2 November 2026. This count describes the portfolio at that date and can change as securities enter or leave the fund. It does not indicate that each position carries the same weight.

The published exposure breakdown as of 2 November 2026 included Mortgage Reits at 99.17% and Cash and/or Derivatives at 0.83%. These allocations show where a meaningful part of the portfolio's exposure was concentrated. The percentages can change with market values and portfolio adjustments.

Fees and Distribution Policy

REM lists an expense ratio of 0.48%. This is an ongoing fund cost, rather than a charge covering every expense of buying or selling shares. Brokerage charges and the difference between buying and selling prices can add to an investor's transaction costs. Fund shares trade on Cboe BZX at market prices, which may differ from net asset value.

The stated distribution frequency is quarterly. That schedule describes the timing framework for payments and does not establish a fixed amount. Distributions depend on the fund's available income and applicable distribution decisions. A cash payment also needs to be considered alongside changes in the value of the investment.

Key Insights

Funding pressure, mortgage prepayments and borrower credit problems can affect mortgage REITs. A concentration in this industry leaves the fund sensitive to shared changes in financing and mortgage markets. REM targets mortgage related real estate businesses, making their funding arrangements and asset quality central to understanding its exposure and distributions.