Introduction:
The iShares ETF is already quite a familiar target for many investors, having made headlines several times due to its continued success. iShares ETFs offer all investors a simple opportunity to invest in companies with huge growth potential across a wide range of industries. iShares ETFs are actively managed ETF funds, i.e. exchange-listed funds, with which trading is significantly easier than with conventional funds. Which your bank has certainly tried to sell you.
In this article, we will not only tell you in more detail what iShares ETFs are and what they are like, but also give recommendations on iShares ETFs with high-income potential. The ETFs we recommend are selected by our analysts and evaluated as ETFs with high return potential.
5 Best iShares ETFs July 2023:
- IUSA.L – iShares S&P 500 UCITS ETF
- SWDA.L – iShares Core MSCI World UCITS ETF
- IXUS – iShares Core MSCI Total International Stock ETF
- USRT – iShares Core REIT ETF
- AGG – iShares Core US Aggregate Bond ETF
- We recommend that you buy ETFs on Capital.com because you pay 0 DKK as a broker here. Buy iShares ETF Today!
Best Places to Buy iShares ETFs 2023:
When exchange-listed funds, i.e. ETFs, are on your shopping list, you must first find yourself a good trading platform through which to invest in them. Important things to consider when choosing a platform are of course their user-friendliness and safety. The best ETFs on the market can be found on the internet’s reliable trading services, which enable investing without extra fees or cumbersome intermediaries. Through trading platforms, in addition to iShares ETFs, you have direct access to the most interesting ETFs in other sectors! These are the best trading platforms on the market right now:
- eToro – An easy-to-use, versatile, and reliable trading platform where you can invest cannabis in stocks, cryptos, commodities, and funds.
- Libertex – a service focused on CFD trading, suitable for active investors with higher risk tolerance.
- Skilling – A trading platform specializing in active CFD and Forex trading.
Investing through banks in general is slow, rigid, limited, and very expensive. So why waste time and money when you can alternatively start investing yourself, without intermediaries, directly from your home couch? From the platforms mentioned above, you get all the tools you need for investing, and in addition, you have at your disposal a significantly wider, international selection of investment targets. These platforms are better equipped to guarantee the safety of your funds than banks. For example, eToro’s trading platform offers an excellent selection of investment targets, including Finnish stocks.
Of course, trading platforms also have their mobile applications, where your investment portfolio goes with you every day. The aforementioned platforms invest in the security of your money and your information on a completely different level than banks, because they recognize that online services attract all kinds of scammers. Although it sounds unbelievable, you invest more safely online than in your bank.
About the iShares ETF:
iShares ETFs are ETF funds managed by the BlackRock investment company, which have become incredibly popular since the launch of the first iShares ETF funds. However, iShares ETFs were not originally developed by BlackRock, but only acquired by BlackRock. However, let’s also go through the development history and origin story of IShares ETF.
The story of iShares ETFs goes back to the 90s, when the first US ETF fund, Standard & Poor’s Depositary Receipts or SPY, which tracked the S&P 500 index, was launched. The SPY ETF was introduced to the market as a joint venture between State Street and the American Stock Exchange. The ETF in question quickly rose to incredible popularity, and for this reason is still traded, still being a popular ETF.
In response to the SPY ETF’s popularity, investment bank Morgan Stanley launched a slew of ETFs, called WEBS, that tracked MSCI’s foreign stock market indices. WEBS itself is an acronym for World Equity Benchmark Shares. Barclays Global Investors participated in the creation of the WEBS ETFs.
In 2000, Barclays made a big bet on the fast-growing ETF market by launching more than 40 new ETFs called iShares ETFs. Barclays spent a lot of resources marketing these iShares ETFs at launch, also providing investors with extensive educational materials related to the ETFs. Lee Kranefuss led this marketing campaign along with the inventor of ETFs himself, Nate Most. In the same context, the previously published WEBS ETFs were also uniformly named the iShares MSCI series, as part of this marketing program.
In 2006, iShares announced:
That it was buying the INDEXCHANGE ETF unit from HypoVereinsbank for a purchase price of EUR 240 million. This transaction strengthened the position of iShares ETF funds also on European soil, making it the largest provider of ETF funds in Europe.
In 2009, Barclays confirmed its intention to sell the iShares ETFs to CVC Capital Partners. An investment firm that pledged to pay more than $4 billion in market capitalization for the funds. However, in June 2009, BlackRock’s offer was announced. Which included the entire Barclays Global Investors division, including iShares ETFs, for a purchase price of $13.5 billion, $6.6 billion in case,h and the rest in stock. Consequently, BlackRock became the owner of the iShares ETFs, continuing as their owner and manager.
Today, the iShares ETFs managed by BlackRock include more than 800 different ETFs that track everything from indices of different countries and geographic regions to various commodities. Today, assets under management with iShares ETFs already exceed a trillion dollars. Ishares is the largest provider of ETF funds not only in the US but also in the whole world.
How is the iShares ETF different from other ETFs?
BlackRock’s iShares ETFs offer incredibly wide opportunities for building exactly the kind of investment portfolio you want. They allow diversification on a completely unprecedented scale, both geographically and into commodities and different instruments. For example, the iShares Core ETFs, many of which we present, represent easy “building blocks” on which it is possible to simply build a balanced and well-diversified investment portfolio. IShares ETFs therefore beat all other ETFs in the scope of their series, which means for you as an investor a significantly wider selection of targets under a familiar and safe investment company, under the same ETF series.
In addition to their wide selection, iShares ETFs also have other advantages, the first of which is low costs. For example, the already mentioned ITOT iShares Core S&P Total US Stock Market ETF has only 0.03% expenses, which is incredibly cheap compared not only to any traditional fund but also to other ETF funds. This means that the investor benefits from the increase in the value of the ETF fund significantly more than with many competing ETFs, as a larger part of the fund’s income goes directly to the investor, while the expenses are very small. You can of course make this even more efficient by using a low-cost or brokerage-free trading platform such as eToro.
The final advantage that iShares ETFs offer over other ETFs is their large size. With iShares ETFs managing more than a trillion dollars in total assets, such a large wealth also offers not only stability but also flexibility for new opportunities. Thus, iShares ETFs are potentially able to offer not only more stable results but also to flex quickly and efficiently when the market changes, thanks to their high liquidity.
iShares ETF Expenses?
iShares ETFs are not only some of the most popular and largest ETFs but also some of the cheapest ETFs on the market. Due to the large number of iShares ETFs, approximately 800 separate ETFs, we cannot of course list each one with its costs in this article. Therefore, we have decided to list the expenses of the five iShares ETFs we have selected in the table below.
The name of the ETF | Expenses (%) |
---|---|
IUSA.L | 0.07 |
SWDA.L | 0.2 |
USRT | 0.08 |
IXUS | 0.09 |
AGG | 0.04 |
Invest iShares ETF easily and quickly in 2023:
Investing in funds has always been the most familiar way for Finns to try to earn a little extra, for example for a trip abroad, or to accumulate a pension fund. And with the job market becoming more and more uncertain, the popularity of investing has risen to whole new spheres. But in addition to just investment funds, online trading services offer consumers significantly better options, such as ETFs. Through an ETF, the consumer invests in several funds at once, which spreads the investment risks.
Thanks to internet investing opens up to us basic consumers in a much more versatile and extensive way. Whether you were looking for a long-term investment or an active trading target, everyone can find the option they like best. Now, if ever, is the time to invest in ETF indices for the long term, or start active trading. Buy iShares ETF only from reliable and secure online trading platforms like this:
SWDA.L – iShares Core MSCI World UCITS ETF:
The iShares Core MSCI World UCITS ETF offers investors the opportunity to diversify their assets globally. SWDA ETF’s assets are spread across 23 different developed countries, investing assets in international companies operating in these countries. The goal of this ETF fund is to bring as good diversification as possible through the sectors in the respective countries. with the ETF investing in 85% of the listed international companies in the respective regions. Thus, the SWDA ETF fund is an excellent way to bring global diversification through several sectors to your portfolio. While also bringing certainty and stability against setbacks in a single region.
As SWDA invests wealth in an index consisting of international companies operating in several different countries. It above all offers the opportunity to bring international diversification and long-term upside potential to any investor’s portfolio. With the help of an international ETF like SWDA, you can reduce legal concentration in, for example, a certain geographical area or a certain sector. Thus reducing the risk level of your entire portfolio, and also bringing you peace of mind.
IXUS – iShares Core MSCI Total International Stock ETF:
Like SWDA, the iShares Core MSCI Total International Stock ETF offers you as an investor international diversification as part of your portfolio. However, the biggest difference between IXUS and SWDA ETFs is that IXUS spreads wealth over a much wider area. Not only geographically, but also on behalf of companies. While SWDA only invests in international players in developed countries, aiming to offer its investors a calm and stable long-term moderate return. IXUS also invests in riskier areas such as emerging markets, as well as in small and medium-sized companies outside the USA.
On the other hand, the higher level of risk offered by the IXUS ETF fund also enables a potentially higher return potential compared to SWDA. If the investments in developing markets can grow at the expected pace or faster than this. IXU, S therefore,e enables you not only international diversification into companies of all sizes as well as developed and developing markets. But also riskier investments with a higher return potential, especially in developing markets and small companies.
Even though the IXUS ETF is somewhat riskier, it also aims for moderate long-term returns, bringing a very high level of diversification to your portfolio. It’s an excellent way to practically get worldwide diversification into companies of all sizes, without worrying about tracking individual stocks.