iShares vs SPDR for Europe based investor

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foolserrend
Posts: 3
Joined: Mon Jul 30, 2018 5:44 am

iShares vs SPDR for Europe based investor

Post by foolserrend » Sun Aug 05, 2018 5:56 am

Hi there,

New to the EFT thing and trying to learn. Building up a starter portfolio (Going for the paul merrimans - ultimate buy and hold). I am looking to pick up some Small Cap for the portfolio (small cap blend world and Small cap value, US and Europe).

Looking at funds domiciled in Ireland and accumulating. I see some potentials from either SPDR or iShares. My thoughts were to get 20% in world blend, 10% USA value and 10% Europe value.

From a TER perspective - iShares world, SPDR US, SPDR Europe are the best.
Is size of total assets something to consider?
iShares World is only started this year, whereas the USA/Europe are from 2009.
One negative with ishares is the USA/Europe are more growth than value.

Any suggestions/comments on these ETFs?

Name | ISIN | MorningStar| Tracker| TER| Region | Total Assets| Start date
----------------------------------------------------------------------------------------------------------------------------------------------------
iShares MSCI World Small Cap ETF USD Acc | IE00BF4RFH31 |WSML | WSML | 0.35% | World | 323M| 2018
https://www.morningstar.com/etfs/xlon/wsml/quote.html
iShares MSCI USA Small Cap ETF USD Acc| IE00B3VWM098| CSUSS| CSUSS| 0.43%| US| 677M| 2009
https://www.morningstar.com/etfs/xswx/csuss/quote.html
iShares MSCI EMU Small Cap UCITS ETF EUR - ACC| IE00B3VWMM18| CSEMUS| CEUS| 0.58%| Europe| 1064M| 2009
https://www.morningstar.com/etfs/xswx/csemus/quote.html
----------------------------------------------------------------------------------------------------------------------------------------------------
SPDR® MSCI World Small Cap UCITS ETF| IE00BCBJG560 | WDSC| WDSC| 0.45%| World| 469M| 2013
https://www.morningstar.com/etfs/xlon/wdsc/quote.html
SPDR® MSCI USA Small Cap Value Weighted UCITS ETF| IE00BSPLC413| USSC| ZPRV| 0.3%| US| 102M | 2015
https://www.morningstar.com/etfs/xlon/ussc/quote.html
SPDR® MSCI Europe Small Cap Value Weighted UCITS ETF | IE00BSPLC298| ZPRX| ZPRX| 0.3% | Europe| 69M| 2015
https://www.morningstar.com/etfs/xetr/zprx/quote.html

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LadyGeek
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Re: iShares vs SPDR for Europe based investor

Post by LadyGeek » Sun Aug 05, 2018 9:18 am

Welcome! What is your home country? The wiki has some helpful articles.

If your home country is in the EU: EU investing Refer to the list at the bottom of the article - perhaps your home country is listed.
Wiki To some, the glass is half full. To others, the glass is half empty. To an engineer, it's twice the size it needs to be.

selters
Posts: 608
Joined: Thu Feb 27, 2014 9:26 am

Re: iShares vs SPDR for Europe based investor

Post by selters » Sun Aug 05, 2018 9:35 am

If you're in it for the long haul (buy and hold for 20+ years), the safest option is probably to go with iShares. SPDR is still the world's third largest asset manager, but they're losing market share pretty fast. But of course, even if their market share goes to 10% from 30%, they can still be a perfectly fine asset manager. iShares is quickly becoming the dominant player on the European ETF market, and unlike in the US where Vanguard will keep iShares from raising prices once they have a higher market share, I consider that a real risk in Europe. So it would nice if some people used the challengers' funds if they have competitive prices, so that we don't get into a monopoly like situation.

I have some money in both SPDR® MSCI Europe Small Cap Value Weighted UCITS ETF and iShares Core MSCI EM IMI UCITS ETF.

foolserrend
Posts: 3
Joined: Mon Jul 30, 2018 5:44 am

Re: iShares vs SPDR for Europe based investor

Post by foolserrend » Sun Aug 05, 2018 10:39 am

Thanks for the info.

Do you recommend iShares, even with the higher TER?

selters
Posts: 608
Joined: Thu Feb 27, 2014 9:26 am

Re: iShares vs SPDR for Europe based investor

Post by selters » Sun Aug 05, 2018 11:23 am

foolserrend wrote:
Sun Aug 05, 2018 10:39 am
Thanks for the info.

Do you recommend iShares, even with the higher TER?
iShares has the lowest expense ratio, so I'd go with them. But if the opposite were the case, then maybe I'd probably go with SPDR.

foolserrend
Posts: 3
Joined: Mon Jul 30, 2018 5:44 am

Re: iShares vs SPDR for Europe based investor

Post by foolserrend » Sun Aug 05, 2018 12:05 pm

hey there,

Indeed the World index, ishares has a lower TER.
However for the EU and USA, iShares has a higher TER.

ishares Europe has a TER of 0.58% vs spdr of 0.3%
ishared USA has a TER of 0.43% vs SPDR pf 0.3%

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