How to invest in Germany using ETFs

How do I invest in German stocks?

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

On the German stock market you find 2 indices, which are tracked by ETFs. Besides these indices, 1 alternative index on small and mid caps as well as single sectors and dividend strategies is available.

As further alternative, you can consider indices on Europe. In the below listed indices Germany is weighted with around 30%.

0.09% p.a. - 0.25% p.a.
annual total expense ratio (TER) of Germany ETFs
on the German stock market, which is tracked by ETFs
on the German stock market
The best indices for Germany ETFs

Performance of German stocks (DAX®)

1 month: -6.21%
1 year: 11.77%
3 years: 12.10%
5 years: 68.38%

Indices in comparison

The best indices for ETFs on Germany

For an investment in the German stock market, 2 indices tracked by 3 ETFs are available. On the DAX® index there are 2 ETFs. On the MSCI Germany index there is 1 ETF. The total expense ratio (TER) of ETFs on these indices is between 0.09% p.a. and 0.25% p.a..

Index Investment focus Number of ETFs Number of constituents Short description

DAX®

Germany 2 ETFs 30
The DAX® (total return) index tracks the 30 largest and most traded German stocks listed on the Prime Standard segment of the Frankfurt Stock Exchange.
Index factsheet

MSCI Germany

Germany 1 ETF 58
(31/10/16)
The MSCI Germany index tracks the leading stocks on the German market.
Index factsheet
ETF
ISIN
  Fund size
in m GBP
TER
in %
Use of profits Fund domicile Replication method
Lyxor DAX (DR) UCITS ETF EURLU0252633754 787 0.15% p.a. Accumulating Luxembourg Full replication
db x-trackers DAX UCITS ETF (DR) Income 1DLU0838782315 369 0.09% p.a. Distributing Luxembourg Full replication
Amundi ETF MSCI Germany UCITS ETFFR0010655712 52 0.25% p.a. Accumulating France Unfunded swap
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
DAX® -5.75% -0.17% 15.12% 12.38% 14.14%
MSCI Germany -5.31% -0.29% 15.15% 12.76% 14.35%
Index   2016
in %
2015
in %
2014
in %
2013
in %
2012
in %
DAX® 13.74% 2.87% -4.56% 28.46% 25.83%
MSCI Germany 14.48% 2.96% -4.55% 28.84% 26.09%

Source: justETF.com; As of 30/11/16; Calculations in GBP based on the largest ETF of the respective index.

 

The cheapest Germany ETFs
by total expense ratio (TER)

Show all
Alternative investment opportunities

German indices on small and mid caps or dividend strategies

Alternatively, you can consider indices on small and mid caps, single sectors or dividend strategies. In order to compare the ETFs for the best German dividend strategies have a look at the Investment Guide on German Dividend Strategies. In total you can invest in 1 alternative index on Germany tracked by 1 ETF. The total expense ratio (TER) of ETFs on these alternative indices is around 0.40% p.a..

 
Index Investment focus Number of ETFs Number of constituents Short description
Solactive Mittelstand Deutschland Germany
Mid Cap
1 ETF 70
The Solactive Mittelstand Deutschland Index tracks the largest 70 German mid cap companies excluding financial services.
Index factsheet
ETF
ISIN
  Fund size
in m GBP
TER
in %
Use of profits Fund domicile Replication method
db x-trackers Mittelstand & MidCap Germany UCITS ETF (DR) 1DIE00B9MRJJ36 40 0.40% p.a. Distributing Ireland Full replication
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
Solactive Mittelstand Deutschland -7.58% -0.88% 12.26% 16.29% -
Index   2016
in %
2015
in %
2014
in %
2013
in %
2012
in %
Solactive Mittelstand Deutschland 14.79% 11.44% - - -

Source: justETF.com; As of 30/11/16; Calculations in GBP based on the largest ETF of the respective index.

 

Europe indices with a large share of Germany

Besides Germany ETFs you may consider ETFs on the European stock markets. In total, you can invest in 3 indices on the Eurozone tracked by 15 ETFs. All Eurozone indices weight Germany with around 30% to 33%. The total expense ratio (TER) of ETFs on the Eurozone is between 0.05% p.a. and 0.40% p.a..

 
Index Investment focus Number of ETFs Number of constituents Short description
EURO STOXX® 50 Europe
Germany: 33.00%
(31/10/2016)
8 ETFs 50
The EURO STOXX® 50 (total return) index tracks the 50 largest companies in the Eurozone.
Index factsheet
FTSEurofirst 80 Europe
Germany: 33.81%
(31/10/2016)
1 ETF 80
The FTSEurofirst 80 Index tracks the 60 largest Euro zone companies measured by market capitalisation in the FTSE Euro zone Index and 20 additional companies selected for their size and sector representation.
Index factsheet
MSCI EMU Europe
Germany: 29.83%
(31/10/2016)
6 ETFs 241
(31/10/16)
The MSCI EMU (European Monetary Union) index tracks large and mid cap stocks from countries in the European Economic and Monetary Union.
Index factsheet
ETF
ISIN
  Fund size
in m GBP
TER
in %
Use of profits Fund domicile Replication method
iShares EURO STOXX 50 UCITS ETF (Dist)IE0008471009 4,197 0.35% p.a. Distributing Ireland Full replication
db x-trackers EURO STOXX 50 UCITS ETF (DR) 1CLU0380865021 2,000 0.09% p.a. Accumulating Luxembourg Full replication
db x-trackers EURO STOXX 50 UCITS ETF (DR) 1DLU0274211217 1,886 0.09% p.a. Distributing Luxembourg Full replication
iShares Core EURO STOXX 50 UCITS ETFIE00B53L3W79 1,456 0.10% p.a. Accumulating Ireland Full replication
UBS ETF (LU) MSCI EMU UCITS ETF (EUR) A-disLU0147308422 1,256 0.23% p.a. Distributing Luxembourg Full replication
iShares MSCI EMU UCITS ETFIE00B53QG562 916 0.33% p.a. Accumulating Ireland Full replication
UBS ETF (LU) EURO STOXX 50 UCITS ETF (EUR) A-disLU0136234068 625 0.15% p.a. Distributing Luxembourg Full replication
Amundi ETF MSCI EMU UCITS ETF DRFR0010655688 569 0.25% p.a. Accumulating France Full replication
db x-trackers MSCI EMU Index UCITS ETF (DR) 1DLU0846194776 562 0.15% p.a. Distributing Luxembourg Full replication
Source EURO STOXX 50 UCITS ETF AIE00B60SWX25 258 0.05% p.a. Accumulating Ireland Unfunded swap
SPDR MSCI EMU UCITS ETFIE00B910VR50 242 0.25% p.a. Accumulating Ireland Full replication
HSBC EURO STOXX 50 UCITS ETF EURIE00B4K6B022 67 0.05% p.a. Distributing Ireland Full replication
Lyxor EURO STOXX 50 (DR) UCITS ETF C-EURLU0908501215 37 0.20% p.a. Accumulating Luxembourg Full replication
UBS ETF (IE) MSCI EMU SF UCITS ETF (EUR) A-accIE00B5B1MZ58 28 0.23% p.a. Accumulating Ireland Swap-based
iShares FTSEurofirst 80 UCITS ETFIE0004855221 22 0.40% p.a. Distributing Ireland Full replication
 
Index   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
EURO STOXX® 50 -5.77% 1.67% 12.16% 9.31% 11.00%
FTSEurofirst 80 -6.15% 0.93% 11.96% 10.02% 13.86%
MSCI EMU -6.00% 0.87% 12.63% 11.62% 15.54%
Index   2016
in %
2015
in %
2014
in %
2013
in %
2012
in %
EURO STOXX® 50 12.51% 0.78% -2.35% 23.91% 14.97%
FTSEurofirst 80 13.25% 1.98% -1.45% 24.63% 15.49%
MSCI EMU 13.69% 3.81% -2.19% 26.11% 16.38%

Source: justETF.com; As of 30/11/16; Calculations in GBP based on the largest ETF of the respective index.