Hoya Capital cuts housing ETF fees to lowest-level in homebuilding segment

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Hoya Capital Real Estate (Hoya Capital) has reduced the expense ratio for Hoya Capital Housing ETF (HOMZ) from 0.45 per cent to 0.30 per cent, effective 1 August, 2020. 

With the fee cut, HOMZ is now the lowest-cost ETF out of four funds in FactSet’s Equity: US Homebuilding segment. Hoya Capital rang the Closing Bell on the NYSE on Thursday, 6 August to recognise the fee reduction and to celebrate the strong performance of HOMZ since its launch on 19 March, 2019.

“With the US housing industry emerging as the early leader of the post-pandemic economic recovery, this fee reduction makes exposure to the critical US housing industry cheaper and more accessible than ever,” says Alex Pettee, CFA, President and Director of Research at Hoya Capital.

HOMZ (pronounced Homes) was recently awarded the Most Successful & Innovative ETF Launch of 2019 by ETF Express. Additionally, HOMZ was named one of five finalists for the 2019 ETF.com Awards for Best New US Equity ETF and Most Innovative New ETF while Hoya Capital was named as a finalist for New ETF Issuer of the Year. 

HOMZ breaks through the traditional classification lines in the homebuilding and residential real estate categories to offer diversified exposure across the entire US housing sector including homebuilders, residential rental operators, home improvement companies, and residential real estate technology and data firms. 

“As Americans are spending more time than ever in their homes, it has become clear that housing is perhaps the ultimate ‘essential service.’ The US housing industry’s resilient strength has been powered by the long-term tailwinds of favourable millennial-led demographic trends, historically low housing supply, near-record low mortgage rates, and the early signs of a post-pandemic suburban revival,” Pettee says.

HOMZ tracks the Hoya Capital Housing 100 Index, a rules-based index composed of 100 companies designed to be the new benchmark for the residential real estate industry, one of the largest and most critical asset classes in the world. HOMZ, which is listed on the NYSE, expects to declare future distributions on a monthly basis. Distributions are planned, but not guaranteed, for every month.

To learn more about the fund, please visit: www.TheHousingETF.com.