Why would anyone invest in VWRP over SPDR MSCI ACWI UCITS ETF

DRS1

blowzy said:

DRS1 said:

I tried a comparison graph on HL but the two lines were near identical.  Over 5 years VWRP is +91.65% and ACWI is +92.32%

Good to know. If you were in my shoes which one would you go for?

I couldn't say (I don't have either) but this is a video I enjoyed and you will see some comments about VWRP and ACWI at about 9 minutes in (spoiler - he goes for ACWI)  Worth watching the whole video.


Best Index Funds For UK Investors in 2025

blowzy

dunstonh said:

I am deciding in which global etf to invest in. VWRP has a  0.22% and also charges a transaction cost while SPDR MSCI ACWI UCITS ETF charges 0.12% OCR

Vanguard is not the cheapest FTSE all world tracker.   

Ok but SPDR is 0.12% with no transaction fee, Vanguardis 0.02%. Will they both provide similarish returns

Nobody takes any notice of transaction charges though as they are flawed.

What would you go with

OldScientist

The two funds follow different indices - MSCI for SPDR and FTSE for Vanguard with the main difference between them being that the FTSE index goes deeper into mid-cap companies than the MSCI one does and covers 90% of the world's stock market capitalisation compared to 85% for MSCI .

Both ETFS physically replicate their index through sampling and although the Vanguard ETF has more assets under management (£37 billion compared to £6 billion), SPDR are a well established fund house and is the third largest ETF provider after ishares and vanguard.

Personally I use the HSBC FTSE All World Index Fund which follows the FTSE index but is cheaper than the Vanguard ETF, but that is because it existed when I first started using a global index fund and the others didn't.

An article comparing the various FTSE and MSCI indices (https://www.justetf.com/uk/news/etf/msci-vs-ftse-which-etf-provider-is-the-best-index-provider.html ) in the FAQs answers the question "MSCI ACWI or FTSE All World?" as follows 

Both indices are ideally suited and a perfect "all-in-one" solution for those who only want to have one ETF in their custody account or are just starting out with ETFs.

So, in short - pick one and go for it!

dunstonh

blowzy said:

dunstonh said:

I am deciding in which global etf to invest in. VWRP has a  0.22% and also charges a transaction cost while SPDR MSCI ACWI UCITS ETF charges 0.12% OCR

Vanguard is not the cheapest FTSE all world tracker.   

Ok but SPDR is 0.12% with no transaction fee, Vanguardis 0.02%. Will they both provide similarish returns

Nobody takes any notice of transaction charges though as they are flawed.

What would you go with

Neither.   I use country/regional specific tracker funds benchmarked to FTSE and create the global coverage that way.   a) because it's cheaper b) it allows tilts away from market cap, although you can match market cap if you wish.  I tilt using a different FTSE benchmark than market cap.

Eyeful

1. You should take the time to understand how Global Trackers may differ.
Read this: https://www.justetf.com/en/news/etf/msci-vs-ftse-which-etf-provider-is-the-best-index-provider.html

2. Just pick one of the well known World Index Trackers Funds or ETF's and don't worry about the small difference in charges you quote.

3. When you have very large sums invested in these funds then you need take account of the charges

Vienss

Hey mate, I switched from VWRP to SPDR ACWI last year—saved a bundle on that 0.12% fee vs. 0.22%. Not too good to be true; State Street's solid, just tracks a slightly less broad index (fewer small caps). Vanguard's comfy name, but SPDR's no slouch. Go for it if you want cheap global exposure!