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 4 indices, which are tracked by ETFs. Besides these indices 4 alternative indices on small and mid caps as well as dividend strategies can be considered.

Alternatively, you may invest in indices on Europe. The Europe indices weight the UK with 27% to 40%.

0.04% 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: 6.41%
1 year: 5.62%
3 years: 19.40%
5 years: 18.28%

Indices in comparison

The best indices for ETFs on UK

For an investment in the UK stock market, 4 indices tracked by 14 ETFs are available. On the FTSE 100 index there are 8 ETFs. On the FTSE All-Share index there are 3 ETFs. On the MSCI UK index there are 2 ETFs. On the Morningstar UK NR index there is 1 ETF. The total expense ratio (TER) of ETFs on these indices is between 0.04% p.a. and 0.33% p.a..

Index Investment focus Number of ETFs Number of constituents Short description

FTSE 100

United Kingdom 8 ETFs 100
The FTSE 100 index tracks the 100 largest UK stocks.
Index factsheet

FTSE All-Share

United Kingdom 3 ETFs 635
(31/03/19)
The FTSE All-Share (total return) index tracks all UK-based companies admitted to the main market of the London Stock Exchange.
Index factsheet

MSCI UK

United Kingdom 2 ETFs 96
(31/03/19)
The MSCI UK index tracks large and mid cap equity market performance of United Kingdom.
Index factsheet

Morningstar UK NR

United Kingdom 1 ETF
The Morningstar UK NR index tracks mid and large cap equities of the United Kingdom.
ETF
ISIN
  Fund size
in m EUR
TER
in %
Use of profits Fund domicile Replication method
iShares Core FTSE 100 UCITS ETF (Dist)IE0005042456 8,101 0.07% p.a. Distributing Ireland Full replication
Vanguard FTSE 100 UCITS ETFIE00B810Q511 3,054 0.09% p.a. Distributing Ireland Full replication
iShares Core FTSE 100 UCITS ETF GBP (Acc)IE00B53HP851 644 0.07% p.a. Accumulating Ireland Full replication
SPDR FTSE UK All Share UCITS ETFIE00B7452L46 521 0.20% p.a. Accumulating Ireland Optimized sampling
HSBC FTSE 100 UCITS ETF GBPDE000A1C0BC5 229 0.07% p.a. Distributing Ireland Full replication
iShares MSCI UK UCITS ETF (Acc)IE00B539F030 127 0.33% p.a. Accumulating Ireland Full replication
Xtrackers FTSE 100 UCITS ETF Income 1DLU0292097234 92 0.09% p.a. Distributing Luxembourg Full replication
Xtrackers FTSE 100 UCITS ETF 1CLU0838780707 82 0.09% p.a. Accumulating Luxembourg Full replication
UBS ETF (LU) FTSE 100 UCITS ETF (GBP) A-disLU0136242590 72 0.20% p.a. Distributing Luxembourg Full replication
Xtrackers FTSE All-Share UCITS ETF 1DLU0292097747 67 0.20% p.a. Distributing Luxembourg Optimized sampling
SPDR FTSE UK All Share UCITS ETF (Dist)IE00BD5FCF91 64 0.20% p.a. Distributing Ireland Optimized sampling
Amundi ETF MSCI UK UCITS ETF - EUR (C)FR0010655761 46 0.25% p.a. Accumulating France Unfunded swap
Lyxor Core Morningstar UK NT (DR) UCITS ETFLU1781541096 28 0.04% p.a. Distributing Luxembourg Full replication
ComStage FTSE 100 TR UCITS ETFLU0488316216 4 0.09% p.a. Distributing Luxembourg Unfunded swap
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
FTSE All-Share -2.47% -0.21% -1.28% -0.71% 11.77%
Morningstar UK NR -2.65% -0.63% -1.39% -0.37% -
MSCI UK -3.07% -0.47% -1.37% -0.04% 10.73%
FTSE 100 -2.95% -0.18% -0.90% 0.33% 12.54%
Index   2019
in %
2018
in %
2017
in %
2016
in %
2015
in %
MSCI UK 8.92% -9.91% 7.48% 1.84% 3.48%
FTSE 100 9.41% -9.53% 8.01% 2.06% 4.62%
FTSE All-Share 9.56% -10.45% 8.93% -0.11% 6.94%
Morningstar UK NR 9.66% - - - -

Source: justETF.com; As of 31/08/19; Calculations in EUR based on the largest ETF of the respective index.

 

The cheapest UK ETFs
by total expense ratio (TER)

Show all
Alternative investment opportunities

UK indices on small and mid caps or dividend strategies

Alternatively, you may invest in indices on small and mid caps or dividend strategies. In total, you can invest in 4 alternative UK indices, which are tracked by 5 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 (total return) index tracks around 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 49
(28/02/19)
The FTSE UK Dividend+ index tracks the 50 highest yielding UK stocks.
Index factsheet
MSCI UK Small Cap United Kingdom
Small Cap
1 ETF 267
(28/02/19)
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 40
(31/03/19)
The S&P UK High Yield Dividend Aristocrats index tracks the highest dividend-yielding UK companies.
Index factsheet
ETF
ISIN
  Fund size
in m EUR
TER
in %
Use of profits Fund domicile Replication method
Vanguard FTSE 250 UCITS ETFIE00BKX55Q28 1,219 0.10% p.a. Distributing Ireland Full replication
iShares UK Dividend UCITS ETFIE00B0M63060 788 0.40% p.a. Distributing Ireland Full replication
iShares MSCI UK Small Cap UCITS ETF (Acc)IE00B3VWLG82 170 0.58% p.a. Accumulating Ireland Optimized sampling
SPDR S&P UK Dividend Aristocrats UCITS ETFIE00B6S2Z822 101 0.30% p.a. Distributing Ireland Full replication
Xtrackers FTSE 250 UCITS ETF 1DLU0292097317 45 0.15% p.a. Distributing Luxembourg Full replication
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
FTSE UK Dividend+ -1.35% -0.07% -9.71% -12.01% -10.81%
MSCI UK Small Cap -0.98% -2.30% -3.40% -8.16% 10.42%
FTSE 250 0.06% 0.91% -2.41% -4.45% 10.83%
S&P UK High Yield Dividend Aristocrats -0.89% 0.08% -5.10% -4.26% -10.52%
Index   2019
in %
2018
in %
2017
in %
2016
in %
2015
in %
FTSE UK Dividend+ 1.63% -15.18% 3.02% -6.98% 6.92%
S&P UK High Yield Dividend Aristocrats 9.32% -15.78% -0.19% -7.22% 8.44%
MSCI UK Small Cap 11.19% -16.16% 16.12% -8.89% 21.15%
FTSE 250 11.73% -14.16% 13.50% -8.80% 17.71%

Source: justETF.com; As of 31/08/19; Calculations in EUR 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 5 indices on Europe, which are tracked by 27 ETFs. The UK is weighted with around 27% to 40% in the Europe indices. The total expense ratio (TER) of ETFs on Europe indices is between 0.07% p.a. and 0.52% p.a..

 
Index Investment focus Number of ETFs Number of constituents Short description
FTSEurofirst 100 Europe
UK: 39.48%
(31/03/2019)
1 ETF 100
The FTSEurofirst 100 index tracks the 60 largest European companies measured by market capitalisation in the FTSE Developed Europe Index and 40 additional companies selected for their size and sector representation.
Index factsheet
MSCI Europe Europe
UK: 27.18%
(31/03/2019)
13 ETFs 439
(31/03/19)
The MSCI Europe index tracks the leading stocks from 16 European developed countries.
Index factsheet
MSCI Europe Large Cap Europe
UK: 27.28%
(31/03/2019)
1 ETF 192
(31/03/19)
The MSCI Europe Large Cap index tracks large cap stocks from European industrial countries.
Index factsheet
STOXX® Europe 50 Europe
UK: 30.40%
(31/03/2019)
4 ETFs 50
The STOXX® Europe 50 (total return) index tracks 50 European large cap stocks.
Index factsheet
STOXX® Europe 600 Europe
UK: 26.60%
(31/03/2019)
8 ETFs 600
The STOXX® Europe 600 index tracks European equities, with the 600 stocks broken down as follows: 200 large cap, 200 middle cap and 200 small cap equities.
Index factsheet
ETF
ISIN
  Fund size
in m EUR
TER
in %
Use of profits Fund domicile Replication method
iShares STOXX Europe 600 UCITS ETF (DE)DE0002635307 6,005 0.20% p.a. Distributing Germany Full replication
iShares Core MSCI Europe UCITS ETF EUR (Dist)IE00B1YZSC51 5,776 0.12% p.a. Distributing Ireland Optimized sampling
Xtrackers MSCI Europe Index UCITS ETF 1CLU0274209237 2,481 0.25% p.a. Accumulating Luxembourg Full replication
Amundi MSCI Europe UCITS ETF - EUR (C)LU1681042609 2,380 0.15% p.a. Accumulating Luxembourg Unfunded swap
iShares Core MSCI Europe UCITS ETF EUR (Acc)IE00B4K48X80 1,514 0.12% p.a. Accumulating Ireland Optimized sampling
Lyxor MSCI Europe UCITS ETF D-EURFR0010261198 1,418 0.25% p.a. Distributing France Full replication
Lyxor Core Stoxx Europe 600 (DR) UCITS ETFLU0908500753 1,248 0.07% p.a. Accumulating Luxembourg Full replication
Xtrackers STOXX Europe 600 UCITS ETF 1CLU0328475792 1,195 0.20% p.a. Accumulating Luxembourg Optimized sampling
BNP Paribas Easy STOXX Europe 600 UCITS ETFFR0011550193 996 0.20% p.a. Accumulating France Unfunded swap
iShares STOXX Europe 50 UCITS ETFIE0008470928 662 0.35% p.a. Distributing Ireland Full replication
SPDR MSCI Europe UCITS ETFIE00BKWQ0Q14 555 0.25% p.a. Accumulating Ireland Full replication
Invesco MSCI Europe UCITS ETFIE00B60SWY32 462 0.19% p.a. Accumulating Ireland Unfunded swap
Xtrackers MSCI Europe Index UCITS ETF 1DLU1242369327 381 0.12% p.a. Distributing Luxembourg Full replication
UBS ETF (LU) MSCI Europe UCITS ETF (EUR) A-disLU0446734104 316 0.20% p.a. Distributing Luxembourg Full replication
Deka MSCI Europe UCITS ETFDE000ETFL284 283 0.30% p.a. Distributing Germany Full replication
ComStage STOXX Europe 600 NR UCITS ETFLU0378434582 264 0.20% p.a. Distributing Luxembourg Unfunded swap
Invesco STOXX Europe 600 UCITS ETFIE00B60SWW18 246 0.19% p.a. Accumulating Ireland Unfunded swap
Amundi ETF STOXX Europe 50 UCITS ETF - EUR (C)FR0010790980 227 0.15% p.a. Accumulating France Unfunded swap
Amundi STOXX Europe 600 UCITS ETF - EUR (C)LU1681040223 140 0.18% p.a. Accumulating Luxembourg Unfunded swap
HSBC MSCI Europe UCITS ETF EURDE000A1C22L5 120 0.20% p.a. Distributing Ireland Full replication
iShares STOXX Europe 50 UCITS ETF (DE)DE0005933949 116 0.52% p.a. Distributing Germany Full replication
Amundi Index MSCI Europe UCITS ETF - EUR (D)LU1737652310 45 0.15% p.a. Distributing Luxembourg Full replication
Deka MSCI Europe Large Cap UCITS ETFDE000ETFL086 38 0.31% p.a. Distributing Germany Full replication
Deka STOXX Europe 50 UCITS ETFDE000ETFL250 32 0.20% p.a. Distributing Germany Full replication
iShares FTSEurofirst 100 UCITS ETFIE0030974079 25 0.40% p.a. Distributing Ireland Full replication
Comstage 1 STOXX® Europe 600 UCITS ETFDE000ETF9603 19 0.19% p.a. Distributing Germany Full replication
ComStage MSCI Europe TRN UCITS ETFLU0392494646 13 0.25% p.a. Distributing Luxembourg Unfunded swap
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
FTSEurofirst 100 -2.10% 2.19% 2.69% 2.13% 19.19%
STOXX® Europe 600 -1.33% 3.40% 4.35% 2.49% 20.99%
MSCI Europe -1.47% 3.24% 4.15% 2.71% 20.74%
MSCI Europe Large Cap -1.54% 2.97% 4.14% 4.13% 20.66%
STOXX® Europe 50 -1.04% 3.53% 6.00% 6.53% 21.18%
Index   2019
in %
2018
in %
2017
in %
2016
in %
2015
in %
FTSEurofirst 100 13.26% -10.87% 9.28% 5.15% 4.34%
MSCI Europe Large Cap 15.07% -9.78% 9.12% 2.62% 8.00%
MSCI Europe 15.19% -10.42% 10.29% 2.66% 8.23%
STOXX® Europe 600 16.04% -10.97% 10.78% 1.56% 10.80%
STOXX® Europe 50 16.82% -10.21% 9.05% 0.93% 6.49%

Source: justETF.com; As of 31/08/19; Calculations in EUR based on the largest ETF of the respective index.