UBS Core MSCI World ETF USD acc
Why is this fund on our radar?
Exchange traded funds (ETFs) have become a popular starting point for many investors because they offer a simple, low-cost way to access broad markets. An ETF is essentially a basket of investments, usually shares or bonds, that aims to track the performance of a specific index, such as the FTSE All-Share in the UK or the S&P 500 in the US.
Although we believe high-quality active managers can add value over the long term, we also recognise that many investors want simple and transparent building blocks in their portfolios. With this in mind, we reviewed the large universe of ETFs with the aim of selecting options that provide clean, representative exposure to their markets at a low ongoing cost.
The UBS MSCI World ETF provides exposure to developed markets across North America, Europe and Asia-Pacific, covering around 1,400 companies in a single product. It is designed to represent a broad slice of the global economy, making it a useful starting point for investors seeking a simple, diversified core holding.
We selected this ETF because UBS has built a strong reputation for running large, efficient index products, and this fund is no exception: it is well-established, liquid and competitively priced, with an ongoing charge of 0.06%.
Portfolio
It uses full replication, investing in all stocks contained in the MSCI World Index along with their proportional weightings, allowing it to track closely to the index, whilst its size helps keep trading costs contained. For investors wanting a one-stop approach to developed markets without having to pick individual regions, this ETF provides straightforward, global coverage at a low ongoing cost.
