In this chapter we will examine the iShares Core MSCI World UCITS ETF (IE00B4L5Y983) in more detail, discussing its specific characteristics and potential suitability for different types of investors.
The ETF's main objective is to track the performance of the MSCI World index by providing investors with exposure to large- and mid-cap stocks from 23 developed market countries, including the United States, Japan, the United Kingdom, and Germany.
The ETF invests mainly in stocks of developed market countries. The index covers about 85 percent of the free float-adjusted market capitalization of each country, providing a broad exposure to the developed market asset class.
By investing in this ETF, investors can access the growth potential and stability of developed market economies.
The fund has nearly 45 billion under management. I would say that again, liquidity problems do not exist.
The ETF is denominated in U.S. dollars and domiciled in Ireland. For non-US investors, it is essential to consider the currency risk associated with investing in a dollar-denominated ETF.
The ETF has an expense ratio of 0.20 percent, which is considered low compared to many other developed market ETFs. This makes it an attractive option for cost-conscious investors seeking exposure to developed markets.