How to invest in the UK using ETFs

How do I invest in UK stocks?

The easiest way to invest in the whole UK stock market is to invest in a broad market index. This can be done at low cost by using ETFs.

On the UK stock market you find 3 indices, which are tracked by ETFs. Besides these indices 5 alternative indices on small and mid caps as well as equity strategies can be considered.

Alternatively, you may invest in indices on Europe. The Europe indices weight the UK with 23% to 27%.

0.07% p.a. - 0.33% p.a.
annual total expense ratio (TER) of UK ETFs
on the UK stock market, which are tracked by ETFs
on the UK stock market
The best indices for UK ETFs

Performance of UK stocks (FTSE 100)

1 month: -2.31%
1 year: -20.18%
3 years: -17.75%
5 years: -4.82%

Indices in comparison

The best indices for ETFs on UK

For an investment in the UK stock market, there are 3 indices available which are tracked by 12 ETFs. On the FTSE 100 index there are 6 ETFs. On the FTSE All-Share index there are 2 ETFs. On the MSCI UK index there are 4 ETFs. The total expense ratio (TER) of ETFs on these indices is between 0.07% p.a. and 0.33% p.a..

Index Investment focus Number of ETFs Number of constituents Short description

FTSE 100

United Kingdom 6 ETFs 100
The FTSE 100 index tracks the 100 largest UK stocks.
Index factsheet

FTSE All-Share

United Kingdom 2 ETFs 613
(31/08/20)
The FTSE All-Share index tracks all UK-based companies admitted to the main market of the London Stock Exchange.
Index factsheet

MSCI UK

United Kingdom 4 ETFs 86
(30/09/20)
The MSCI UK index tracks large and mid cap equity market performance of United Kingdom.
Index factsheet
ETF
ISIN
  Fund size
in m CHF
TER
in %
Use of profits Fund domicile Replication method
iShares Core FTSE 100 UCITS ETF (Dist)IE0005042456 9,000 0.07% p.a. Distributing Ireland Full replication
Vanguard FTSE 100 UCITS ETF DistributingIE00B810Q511 3,303 0.09% p.a. Distributing Ireland Full replication
UBS ETF (LU) MSCI UK UCITS ETF (GBP) A-accLU0950670850 1,607 0.20% p.a. Accumulating Luxembourg Full replication
iShares Core FTSE 100 UCITS ETF GBP (Acc)IE00B53HP851 754 0.07% p.a. Accumulating Ireland Full replication
SPDR FTSE UK All Share UCITS ETFIE00B7452L46 425 0.20% p.a. Accumulating Ireland Optimized sampling
HSBC FTSE 100 UCITS ETF GBPIE00B42TW061 351 0.07% p.a. Distributing Ireland Full replication
iShares MSCI UK UCITS ETF (Acc)IE00B539F030 91 0.33% p.a. Accumulating Ireland Full replication
SPDR FTSE UK All Share UCITS ETFIE00BD5FCF91 82 0.20% p.a. Distributing Ireland Optimized sampling
UBS ETF (LU) FTSE 100 UCITS ETF (GBP) A-disLU0136242590 70 0.20% p.a. Distributing Luxembourg Full replication
UBS ETF (LU) MSCI UK UCITS ETF (GBP) A-disLU0937836467 35 0.20% p.a. Distributing Luxembourg Full replication
UBS ETF (LU) MSCI UK UCITS ETF (GBP) A-UKdisLU1107559533 20 0.20% p.a. Distributing Luxembourg Full replication
Lyxor FTSE 100 UCITS ETF - DistLU1650492256 5 0.14% p.a. Distributing Luxembourg Unfunded swap
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
MSCI UK 2.78% 0.04% -11.74% -15.77% -14.95%
FTSE 100 2.31% 0.15% -10.88% -14.43% -12.68%
FTSE All-Share 2.98% 1.29% -10.70% -13.00% -11.91%
Index   2020
in %
2019
in %
2018
in %
2017
in %
2016
in %
FTSE 100 -24.65% 18.53% -12.86% 17.66% 1.20%
MSCI UK -24.40% 17.57% -13.14% 17.29% 1.04%
FTSE All-Share -24.33% 20.28% -13.77% 18.71% -1.00%

Source: justETF.com; As of 31/08/20; Calculations in CHF based on the largest ETF of the respective index.

 

The best UK ETFs
by 1 year return

Show all

The cheapest UK ETFs
by total expense ratio (TER)

Show all
Alternative investment opportunities

UK indices on small and mid caps or equity strategies

Alternatively, you may invest in indices on small and mid caps or equity strategies. In total, you can invest in 5 alternative UK indices, which are tracked by 6 ETFs. The total expense ratio (TER) of ETFs on alternative UK indices is between 0.10% p.a. and 0.58% p.a..

 
Index Investment focus Number of ETFs Number of constituents Short description
FTSE 250 United Kingdom
Mid Cap
2 ETFs 250
The FTSE 250 index tracks 250 of the largest mid-cap companies based in the United Kingdom that are not included in the FTSE 100.
Index factsheet
FTSE UK Dividend+ United Kingdom
Dividend
1 ETF 50
(31/08/20)
The FTSE UK Dividend+ index tracks the highest yielding UK stocks.
Index factsheet
MSCI UK IMI Extended SRI 5% Capped United Kingdom
Social/Environmental
1 ETF 143
(30/09/20)
The MSCI UK IMI Extended SRI 5% Issuer Capped index tracks socially or environmentally responsible UK companies.
Index factsheet
MSCI UK Small Cap United Kingdom
Small Cap
1 ETF 246
(30/09/20)
The MSCI UK Small Cap index tracks UK small cap stocks.
Index factsheet
S&P UK High Yield Dividend Aristocrats United Kingdom
Dividend
1 ETF 35
(31/08/20)
The S&P UK High Yield Dividend Aristocrats index tracks UK companies whose dividends have risen in the last 7 consecutive years.
Index factsheet
ETF
ISIN
  Fund size
in m CHF
TER
in %
Use of profits Fund domicile Replication method
Vanguard FTSE 250 UCITS ETF DistributingIE00BKX55Q28 1,605 0.10% p.a. Distributing Ireland Full replication
iShares FTSE 250 UCITS ETFIE00B00FV128 1,042 0.40% p.a. Distributing Ireland Optimized sampling
iShares UK Dividend UCITS ETFIE00B0M63060 705 0.40% p.a. Distributing Ireland Full replication
UBS ETF (IE) MSCI UK IMI Socially Responsible UCITS ETF (GBP) A-disIE00BMP3HN93 310 0.28% p.a. Distributing Ireland Full replication
iShares MSCI UK Small Cap UCITS ETF (Acc)IE00B3VWLG82 231 0.58% p.a. Accumulating Ireland Optimized sampling
SPDR S&P UK Dividend Aristocrats UCITS ETF (Dist)IE00B6S2Z822 111 0.30% p.a. Distributing Ireland Full replication
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
FTSE UK Dividend+ 7.04% 1.89% -20.11% -18.10% -28.42%
MSCI UK Small Cap 5.68% 4.26% -12.02% -7.86% -9.63%
FTSE 250 5.97% 6.03% -10.13% -6.57% -6.60%
MSCI UK IMI Extended SRI 5% Capped 4.96% 4.65% -4.58% -4.85% -4.69%
S&P UK High Yield Dividend Aristocrats 1.85% 1.51% -12.92% -4.41% -13.57%
Index   2020
in %
2019
in %
2018
in %
2017
in %
2016
in %
FTSE UK Dividend+ -33.79% 20.28% -18.35% 12.25% -7.76%
S&P UK High Yield Dividend Aristocrats -25.09% 33.30% -18.85% 8.71% -8.03%
MSCI UK Small Cap -25.07% 30.85% -19.26% 26.53% -9.70%
FTSE 250 -23.22% 30.30% -17.35% 23.68% -9.61%
MSCI UK IMI Extended SRI 5% Capped -17.28% 24.53% -14.55% 18.51% -4.58%

Source: justETF.com; As of 31/08/20; Calculations in CHF based on the largest ETF of the respective index.

 

Europe indices with a large UK share

Besides UK ETFs you may invest in ETFs on the European stock market. In total, you can invest in 3 indices on Europe, which are tracked by 20 ETFs. The UK is weighted with around 23% to 27% in these indices. The total expense ratio (TER) of ETFs on Europe indices is between 0.10% p.a. and 0.52% p.a..

 
Index Investment focus Number of ETFs Number of constituents Short description
MSCI Europe Europe
UK: 23.46%
(29/05/2020)
11 ETFs 436
(30/09/20)
The MSCI Europe index tracks the leading stocks from 15 European industrial countries.
Index factsheet
STOXX® Europe 50 Europe
UK: 26.60%
(29/05/2020)
2 ETFs 50
The STOXX® Europe 50 index tracks 50 European large cap stocks.
Index factsheet
STOXX® Europe 600 Europe
UK: 23.20%
(29/05/2020)
7 ETFs 600
The STOXX® Europe 600 index tracks the 600 largest European companies.
Index factsheet
ETF
ISIN
  Fund size
in m CHF
TER
in %
Use of profits Fund domicile Replication method
iShares Core MSCI Europe UCITS ETF EUR (Dist)IE00B1YZSC51 6,145 0.12% p.a. Distributing Ireland Optimized sampling
iShares STOXX Europe 600 UCITS ETF (DE)DE0002635307 6,062 0.20% p.a. Distributing Germany Full replication
iShares Core MSCI Europe UCITS ETF EUR (Acc)IE00B4K48X80 2,651 0.12% p.a. Accumulating Ireland Optimized sampling
Amundi MSCI Europe UCITS ETF EUR (C)LU1681042609 2,524 0.15% p.a. Accumulating Luxembourg Unfunded swap
Xtrackers MSCI Europe UCITS ETF 1CLU0274209237 2,449 0.12% p.a. Accumulating Luxembourg Full replication
Lyxor MSCI Europe (DR) UCITS ETF - DistFR0010261198 1,320 0.25% p.a. Distributing France Full replication
Xtrackers MSCI Europe UCITS ETF 1DLU1242369327 771 0.12% p.a. Distributing Luxembourg Full replication
BNP Paribas Easy STOXX Europe 600 UCITS ETFFR0011550193 743 0.20% p.a. Accumulating France Unfunded swap
iShares STOXX Europe 50 UCITS ETFIE0008470928 560 0.35% p.a. Distributing Ireland Full replication
SPDR MSCI Europe UCITS ETFIE00BKWQ0Q14 449 0.25% p.a. Accumulating Ireland Full replication
UBS ETF (LU) MSCI Europe UCITS ETF (EUR) A-disLU0446734104 382 0.20% p.a. Distributing Luxembourg Full replication
Invesco STOXX Europe 600 UCITS ETFIE00B60SWW18 312 0.19% p.a. Accumulating Ireland Unfunded swap
Invesco MSCI Europe UCITS ETFIE00B60SWY32 278 0.19% p.a. Accumulating Ireland Unfunded swap
ComStage STOXX Europe 600 UCITS ETFLU0378434582 269 0.20% p.a. Distributing Luxembourg Unfunded swap
HSBC MSCI Europe UCITS ETF EURIE00B5BD5K76 172 0.10% p.a. Distributing Ireland Full replication
iShares STOXX Europe 50 UCITS ETF (DE)DE0005933949 166 0.52% p.a. Distributing Germany Full replication
Amundi STOXX Europe 600 UCITS ETF EUR (C)LU1681040223 142 0.18% p.a. Accumulating Luxembourg Unfunded swap
BNP Paribas Easy STOXX Europe 600 UCITS ETFFR0011550672 92 0.20% p.a. Distributing France Unfunded swap
Lyxor 1 STOXX® Europe 600 UCITS ETFDE000ETF9603 38 0.19% p.a. Distributing Germany Full replication
ComStage MSCI Europe UCITS ETFLU0392494646 11 0.25% p.a. Distributing Luxembourg Unfunded swap
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
STOXX® Europe 50 1.37% 3.01% -0.48% -4.77% -0.10%
MSCI Europe 2.81% 5.07% -0.57% -4.10% -1.47%
STOXX® Europe 600 3.13% 5.75% 0.63% -2.43% 0.33%
Index   2020
in %
2019
in %
2018
in %
2017
in %
2016
in %
MSCI Europe -12.97% 21.71% -13.74% 20.19% 1.77%
STOXX® Europe 50 -12.97% 22.55% -13.55% 18.85% 0.04%
STOXX® Europe 600 -11.65% 24.28% -14.58% 20.75% 0.86%

Source: justETF.com; As of 31/08/20; Calculations in CHF based on the largest ETF of the respective index.