The best Developed Markets ETFs

How do I invest in stocks from developed markets worldwide?

The easiest way to invest globally in developed markets is to invest in a broad market index. This can be done at a low cost by using ETFs.

In this curated investment guide, you will find all ETFs that allow you to invest broadly diversified in developed markets worldwide. Currently, there are 17 ETFs available.

The total expense ratio (TER) of ETFs tracking stocks from developed markets is between 0.05% p.a. and 0.50% p.a..

 
0.05% p.a. - 0.50% p.a.
annual total expense ratio (TER) of developed markets ETFs
tracking stocks from developed markets, which are tracked by ETFs
that track a broadly diversified developed markets index
 
The best indices for developed markets ETFs

How do I invest in companies from developed markets?

Investing in the global equity market can be very easy and cost-effective by using a single ETF that tracks a broadly diversified world index that is weighted by market capitalisation.

The most well-known global equity index is the MSCI World. But there are similar products from other providers as well. This curated investment guide allows you to compare both the available ETFs and the underlying indices on developed markets around the world and to select an ETF that fits your preferences best. Currently, the following indices can be considered for a globally diversified investment in developed market equities:
  As stated above, these indices only include stocks from developed markets. If you also want to cover emerging markets, you can additionally invest in a global emerging markets ETF to create a simple, cost-efficient portfolio. When doing so, however, you should make sure that none of the countries you want to cover is included in both or none of the ETFs used. You can ensure this by selecting two ETFs that track indices from the same provider. For more information on this topic, please take a look at our article MSCI Vs FTSE: Which is the best index provider?.

Alternatively, you may invest in a single World ETF that covers both developed and emerging markets.

You can find additional worldwide ETFs, some of which focus on specific equity strategies or investment trends, in our ETF screener. Furthermore, we provide you with curated investment guides on various topics, such as sustainable world ETFs and global dividend ETFs.
 

Performance of broadly diversified developed markets indices in comparison

Source: justETF Research; As of 27/09/2021; Performance over 1 year in GBP.

 

Indices in comparison

Indices on stocks from developed markets

The best indices for developed markets ETFs

For an investment in stocks from developed markets, there are 3 indices available that are tracked by 17 ETFs. The total expense ratio (TER) of ETFs on these indices is between 0.05% p.a. and 0.50% p.a.. Depending on the market environment, stocks from a single country can make up large parts of an index. You can find more information regarding the concentration of countries, companies and sectors in the index factsheets linked below.
 
Index Investment focus Number of ETFs Number of constituents Short description
FTSE Developed World 2 ETFs 2,176
(30/07/2021)
The FTSE Developed index tracks the largest stocks in developed markets across the world.
Index factsheet
MSCI World World 13 ETFs 1,557
(31/08/2021)
The MSCI World index tracks stocks from 23 developed countries worldwide.
Index factsheet
Solactive GBS Developed Markets Large & Mid Cap World 2 ETFs 1,637
(30/07/2021)
The Solactive GBS Developed Markets Large & Mid Cap index tracks large and mid-cap securities from developed markets.
Index factsheet
Index 1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
5 years
in %
FTSE Developed 3.77% 8.50% 16.82% 25.44% 42.73% 89.98%
Solactive GBS Developed Markets Large & Mid Cap 3.92% 8.97% 17.46% 25.56% - -
MSCI World 3.87% 9.38% 17.41% 26.47% 43.42% 90.84%

Source: justETF.com; As of 31/08/2021; Calculations in GBP based on the largest ETF of the respective index.

 

ETFs in comparison

ETFs tracking stocks from developed markets

All developed markets ETFs in comparison

In the table below we have listed the currently available developed markets ETFs. Via the "Properties" and "Performance" tabs, you can find detailed information on these ETFs and sort them according to your desired criterion. More information about the different criteria when choosing an ETF can be found in our article on ETF selection.
 
ETF
ISIN
Fund size
in m GBP
TER
in %
Inception date Use of profits Fund domicile Replication method
iShares Core MSCI World UCITS ETF USD (Acc)IE00B4L5Y983 31,382 0.20% p.a. 25/09/2009 Accumulating Ireland Optimized sampling
Xtrackers MSCI World UCITS ETF 1CIE00BJ0KDQ92 6,940 0.19% p.a. 22/07/2014 Accumulating Ireland Optimized sampling
iShares MSCI World UCITS ETF (Dist)IE00B0M62Q58 4,497 0.50% p.a. 28/10/2005 Distributing Ireland Optimized sampling
Lyxor MSCI World UCITS ETF - DistFR0010315770 3,258 0.30% p.a. 26/04/2006 Distributing France Unfunded swap
Xtrackers MSCI World Swap UCITS ETF 1CLU0274208692 3,080 0.45% p.a. 19/12/2006 Accumulating Luxembourg Unfunded swap
HSBC MSCI World UCITS ETF USDIE00B4X9L533 2,930 0.15% p.a. 08/12/2010 Distributing Ireland Optimized sampling
Invesco MSCI World UCITS ETFIE00B60SX394 2,339 0.19% p.a. 02/04/2009 Accumulating Ireland Unfunded swap
Lyxor Core MSCI World (DR) UCITS ETF - AccLU1781541179 1,039 0.12% p.a. 28/02/2018 Accumulating Luxembourg Optimized sampling
Vanguard FTSE Developed World UCITS ETF DistributingIE00BKX55T58 953 0.12% p.a. 30/09/2014 Distributing Ireland Optimized sampling
SPDR MSCI World UCITS ETFIE00BFY0GT14 902 0.12% p.a. 28/02/2019 Accumulating Ireland Optimized sampling
UBS ETF (LU) MSCI World UCITS ETF (USD) A-disLU0340285161 892 0.30% p.a. 25/06/2008 Distributing Luxembourg Full replication
Xtrackers MSCI World UCITS ETF 1DIE00BK1PV551 694 0.19% p.a. 23/02/2015 Distributing Ireland Optimized sampling
Amundi ETF MSCI World UCITS ETF DRLU1437016972 449 0.18% p.a. 17/11/2016 Accumulating Luxembourg Full replication
Amundi Prime Global UCITS ETF DR (D)LU1931974692 251 0.05% p.a. 12/03/2019 Distributing Luxembourg Full replication
Vanguard FTSE Developed World UCITS ETF AccIE00BK5BQV03 181 0.12% p.a. 24/09/2019 Accumulating Ireland Optimized sampling
Amundi Prime Global UCITS ETF DR (C)LU2089238203 73 0.05% p.a. 21/01/2020 Accumulating Luxembourg Full replication
Amundi ETF MSCI World UCITS ETF USDLU1681043672 12 0.38% p.a. 18/04/2018 Accumulating Luxembourg Unfunded swap
ETF
ISIN
1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
5 years
in %
iShares Core MSCI World UCITS ETF USD (Acc)IE00B4L5Y983 3.87% 9.38% 17.41% 26.47% 43.42% 90.84%
Xtrackers MSCI World UCITS ETF 1CIE00BJ0KDQ92 3.86% 9.39% 17.38% 26.44% 43.35% 90.82%
iShares MSCI World UCITS ETF (Dist)IE00B0M62Q58 3.87% 9.39% 17.21% 26.13% 42.18% 88.36%
Lyxor MSCI World UCITS ETF - DistFR0010315770 3.85% 9.72% 17.85% 26.09% 43.52% 91.15%
Xtrackers MSCI World Swap UCITS ETF 1CLU0274208692 3.87% 9.40% 17.31% 26.45% 43.40% 90.75%
HSBC MSCI World UCITS ETF USDIE00B4X9L533 3.87% 8.65% 17.42% 25.98% 44.36% 92.78%
Invesco MSCI World UCITS ETFIE00B60SX394 3.90% 9.02% 17.42% 25.63% 43.80% 91.21%
Lyxor Core MSCI World (DR) UCITS ETF - AccLU1781541179 3.90% 8.94% 17.30% 25.38% 42.89% -
Vanguard FTSE Developed World UCITS ETF DistributingIE00BKX55T58 3.77% 8.50% 16.82% 25.44% 42.73% 89.98%
SPDR MSCI World UCITS ETFIE00BFY0GT14 3.88% 8.89% 17.36% 25.44% - -
UBS ETF (LU) MSCI World UCITS ETF (USD) A-disLU0340285161 3.87% 9.45% 17.28% 25.27% 42.31% 88.32%
Xtrackers MSCI World UCITS ETF 1DIE00BK1PV551 3.86% 9.38% 17.37% 26.43% 43.39% 90.90%
Amundi ETF MSCI World UCITS ETF DRLU1437016972 3.89% 8.97% 17.46% 25.71% 42.71% -
Amundi Prime Global UCITS ETF DR (D)LU1931974692 3.92% 8.97% 17.46% 25.56% - -
Vanguard FTSE Developed World UCITS ETF AccIE00BK5BQV03 3.78% 8.52% 16.84% 25.44% - -
Amundi Prime Global UCITS ETF DR (C)LU2089238203 3.90% 8.97% 17.46% 25.58% - -
Amundi ETF MSCI World UCITS ETF USDLU1681043672 3.86% 8.96% 17.30% 25.38% 42.73% 89.29%

Source: justETF.com; As of 31/08/2021