What is the best MSCI World ETF?
There is no best one for everyone and this site does not recommend any. IWDA and XDWD track the same index; people usually compare them on costs, tracking difference, size and availability at their broker.
MSCI World ETFs in euros: a comparison without a winner
IWDA and XDWD replicate the MSCI World, the index of large and mid-sized companies in developed countries. The provider, costs and fund size differ. Here is the data for both side by side; the choice depends on what each investor values.
Data side by side
| Data side by side | IWDA | XDWD |
|---|---|---|
| ISIN | IE00B4L5Y983 | IE00BJ0KDQ92 |
| Issuer | iShares | Xtrackers |
| Index | MSCI World | MSCI World |
| Dividends | Accumulating (reinvests) | Accumulating (reinvests) |
| Ongoing charges (TER) | 0.20% | 0.12% |
| Replication | Physical, sampling | Physical, sampling |
| Number of holdings | 1,252 | 1,454 |
| Domicile | Ireland | Ireland |
| Launch date | 25 September 2009 | 22 July 2014 |
| Fund base currency | USD | USD |
| Listing used on this page | IWDA.AS (EUR) | XDWD.DE (EUR) |
Market data compared
| Market data compared | IWDA | XDWD |
|---|---|---|
| 1-year return | 18.4% | 18.4% |
| 2-year return | 30.5% | 30.5% |
| Annualised volatility | 14.1% | 14.3% |
| Maximum drawdown (2 years) | -21.6% | -21.6% |
- Correlation of daily returns IWDA–XDWD: 1.00
Daily closes from Yahoo Finance in euros (IWDA.AS, XDWD.DE), data as of 23 October 2026. Past performance does not guarantee future results.
Two-year performance (base 100, in euros)
The MSCI World does not include emerging markets. Investors looking for full global exposure often also compare indices that do, such as the FTSE All-World or the MSCI ACWI, covered in the global ETF comparison.
What people usually compare between ETFs on the same index
- Ongoing charges (TER)
- What the fund charges each year, already deducted from the price. Between ETFs on the same index the differences are usually hundredths of a percent.
- Tracking difference
- How far the ETF actually drifts from its index in a year, including costs, securities lending and dividend taxation. It can be lower or higher than the TER.
- Accumulating or distributing
- Reinvesting or paying out dividends changes the tax treatment and cash flows, not the market exposure.
- Replication
- Full physical (buys every stock) or sampling (a representative selection). With broad indices, both usually track the index closely.
- Size and liquidity
- Large funds usually have tighter bid-ask spreads; in practice what counts is the liquidity of the specific listing you buy.
- Domicile and broker
- Almost all are domiciled in Ireland, which reduces withholding tax on US dividends. Whether the ETF is available at your broker or in a savings plan also matters.
Head-to-head comparisons
Frequently asked questions
What is the difference between TER and tracking difference?
The TER is what the fund charges. Tracking difference is how far it actually drifts from the index in a year: it includes the TER but also securities-lending income and dividend taxation, so it can be lower or higher.
MSCI World or a global index with emerging markets?
They are different exposures: the MSCI World only covers developed countries and global indices add emerging markets. Which one fits depends on each portfolio; this site does not recommend either.