Each month, we check in on the performance of the largest Europe-domiciled stock, bond, and active exchange-traded funds.
The Morningstar Europe Index fell 1.94% during October, while the Morningstar Eurozone Core Bond Index gained 0.66%. Over the past year, the European stock market is up 16.66%, while the European bond market has risen 4.62%.
The Morningstar US Market Index rose 3.56% during October and is up 30.34% over the past year. The Morningstar US Core Bond Index rose 1.76% last month and is up 4.17% over the past year.
In global markets, stocks gained 1.90% during October, as measured by the Morningstar Global Markets Index. Bonds rose 0.84%, as measured by the Morningstar Global Core Bond Index. Over the past year, global stocks are up 25.29% and global bonds are are up 3.09%.
Largest Europe-Domiciled Stock ETF Performance
Out of the 10 largest Europe-domiciled stock ETFs, the top performer last month was the £24.8 billion Invesco S&P 500 UCITS ETF, which gained 3.38%. The bottom performer was the £18.6 billion iShares Core MSCI EM IMI UCITS ETF, which lost 0.15%.
Here’s more about the performance of the largest Europe-domiciled stock ETFs.
iShares VII PLC - iShares Core S&P 500 UCITS ETF
• Morningstar Medalist Rating: Gold
• Morningstar Category: US Large-Cap Blend Equity
iShares Core S&P 500 gained 3.37% in October, underperforming the average fund in the US large-cap blend equity category, which rose 3.89%. The £78 billion fund has gained 29.90% over the past year, while the average fund in its category is up 28.67%. The iShares fund, which launched in May 2010, has climbed 11.12% over the past three years and gained 15.08% over the past five years.
iShares Core MSCI World UCITS ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: Global Large-Cap Blend Equity
iShares Core MSCI World gained 2.26% in October, outperforming the average fund in the global large-cap blend equity category, which rose 2.02%. The £67.6 billion fund has gained 26.21% over the past year, while the average fund in its category is up 22.43%. The iShares fund, which launched in September 2009, has climbed 8.77% over the past three years and gained 12.25% over the past five years.
Vanguard S&P 500 UCITS ETF
• Morningstar Medalist Rating: Gold
• Morningstar Category: US Large-Cap Blend Equity
In October, Vanguard S&P 500 rose 3.37%, while the average US large-cap blend equity fund gained 3.89%. The fund placed in the 66th percentile for performance. The £45.8 billion fund has climbed 29.90% over the past year, performing roughly in line with the average fund in its category, which rose 28.67%. The Vanguard fund, which launched in May 2012, has climbed 11.12% over the past three years and gained 15.09% over the past five years.
Invesco S&P 500 UCITS ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: US Large-Cap Blend Equity
The £24.8 billion Invesco S&P 500 rose 3.38% in October. The gain on the fund was shy of the 3.89% gain on the average fund in the US large-cap blend equity category, leaving it in the 64th percentile for performance. Over the past year, the Invesco fund rose 30.16%, while the average fund in its category rose 28.67%. The fund, which launched in May 2010, has climbed 11.35% over the past three years and gained 15.33% over the past five years.
Vanguard FTSE All-World UCITS ETF
• Morningstar Medalist Rating: Gold
• Morningstar Category: Global Large-Cap Blend Equity
The £23.8 billion Vanguard FTSE All-World rose 1.92% in October. The gain on the fund was roughly in line with the 2.02% gain on the average fund in the global large-cap blend equity category, leaving it in the 56th percentile for performance. Over the past year, the Vanguard fund rose 24.98%, while the average fund in its category rose 22.43%. The fund, which launched in May 2012, has climbed 7.79% over the past three years and gained 11.14% over the past five years.
Largest Europe-Domiciled Bond ETF Performance
Out of the 10 largest Europe-domiciled bond ETFs, the top performer last month was the £15.1 billion iShares $ Treasury Bond 0-1yr, which gained 4.68%. The bottom performer was the £8.4 billion iShares Core Global Aggregate Bond, which gained 0.86%.
Here’s more about the performance of the largest Europe-domiciled bond ETFs.
iShares $ Treasury Bond 0-1yr UCITS ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: USD Ultra Short-Term Bond
The £15.1 billion iShares $ Treasury Bond 0-1yr rose 4.68% in October. The gain on the fund was roughly in line with the 4.63% gain on the average fund in the USD ultra short-term bond category, leaving it in the 41st percentile for performance. Over the past year, the iShares fund fell 0.49%, while the average fund in its category fell 0.28%. The fund, which launched in February 2019, has climbed 5.68% over the past three years and gained 2.43% over the past five years.
iShares Core € Corp Bond UCITS ETF
• Morningstar Medalist Rating: Bronze
• Morningstar Category: EUR Corporate Bond
iShares Core € Corp Bond gained 1.18% in October, performing roughly in line with the average fund in the EUR corporate bond category, which rose 1.21%. The £12.5 billion fund has gained 5.36% over the past year, while the average fund in its category is up 5.48%. The iShares fund, which launched in March 2009, has dropped 1.25% over the past three years and lost 0.97% over the past five years.
iShares $ Treasury Bond 1-3yr UCITS ETF
• Morningstar Medalist Rating: Neutral
• Morningstar Category: USD Government Bond - Short Term
In October, iShares $ Treasury Bond 1-3yr rose 3.71%, while the average USD government bond - short term fund gained 3.64%. The fund placed in the 26th percentile for performance. The £8.6 billion fund has dropped 0.14% over the past year, falling less than the average fund in its category, which fell 0.29%. The iShares fund, which launched in June 2006, has climbed 3.36% over the past three years and gained 1.41% over the past five years.
iShares Core Global Aggregate Bond UCITS ETF
• Morningstar Medalist Rating: Bronze
• Morningstar Category: Global Diversified Bond
iShares Core Global Aggregate Bond gained 0.86% in October, underperforming the average fund in the global diversified bond category, which rose 0.96%. The £8.4 billion fund has gained 3.31% over the past year, while the average fund in its category is up 2.74%. The iShares fund, which launched in November 2017, has dropped 2.05% over the past three years and lost 1.60% over the past five years.
iShares $ Corp Bond UCITS ETF
• Morningstar Medalist Rating: Bronze
• Morningstar Category: USD Corporate Bond
In October, iShares $ Corp Bond rose 1.18%, while the average USD corporate bond fund gained 1.78%. The fund placed in the 76th percentile for performance. The £7.6 billion fund has climbed 8.49% over the past year, outperforming the average fund in its category, which rose 6.80%. The iShares fund, which launched in March 2003, has dropped 0.91% over the past three years and gained 0.23% over the past five years.
Largest Europe-Domiciled Active ETF Performance
While passive ETFs have portfolios where holdings are designed to track the performance of an index, active ETFs are managed by portfolio managers who make the decisions about which investments to own. Like index-tracking ETFs, active ETFs trade on an exchange and are typically lower cost and more tax efficient than traditional actively managed mutual funds.
Out of the 10 largest Europe-domiciled active ETFs, the top performer last month was the £1.6 billion PIMCO ETFs PLC - US Dollar Short Maturity, which gained 4.81%. The bottom performer was the £1.5 billion JPMorgan Europe Research Enhanced Index Equity (ESG), which lost 2.18%.
Here’s more about the performance of the largest Europe-domiciled active ETFs.
JPMorgan ETFs (Ireland) ICAV - US Research Enhanced Index Equity (ESG) UCITS ETF
• Morningstar Medalist Rating: None
• Morningstar Category: US Large-Cap Blend Equity
In October, JPMorgan US Research Enhanced Index Equity (ESG) rose 3.32%, while the average US large-cap blend equity fund gained 3.89%. The fund placed in the 69th percentile for performance and performed roughly in line with its benchmark, the S&P 500 Index.
The £8.9 billion fund has climbed 30.61% over the past year, outperforming the average fund in its category, which rose 28.67%. The JPMorgan fund, which launched in October 2018, has climbed 11.72% over the past three years and gained 16.15% over the past five years.
JPMorgan ETFs (Ireland) ICAV - Global Research Enhanced Index Equity (ESG) UCITS ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: Global Large-Cap Blend Equity
In October, JPMorgan Global Research Enhanced Index Equity (ESG) rose 2.10%, while the average global large-cap blend equity fund gained 2.02%. The fund placed in the 50th percentile for performance and lagged its benchmark, the MSCI World Index, by 0.16 percentage points.
The £5.9 billion fund has climbed 26.52% over the past year, outperforming the average fund in its category, which rose 22.43%. The JPMorgan fund, which launched in October 2018, has climbed 9.80% over the past three years and gained 13.35% over the past five years.
PIMCO ETFs PLC - Euro Short Maturity UCITS ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: EUR Ultra Short-Term Bond
PIMCO Euro Short Maturity gained 1.84% in October, performing roughly in line with the average fund in the EUR ultra short-term bond category, which rose 1.76%. The fund placed in the 18th percentile for performance and performed roughly in line with its benchmark, the Euro Short-Term Rate Index.
The £1.6 billion fund has gained 1.55% over the past year, while the average fund in its category is up 1.12%. The PIMCO fund, which launched in January 2011, has climbed 1.76% over the past three years and gained 0.46% over the past five years.
PIMCO ETFs PLC - US Dollar Short Maturity UCITS ETF
• Morningstar Medalist Rating: Gold
• Morningstar Category: USD Ultra Short-Term Bond
The PIMCO US Dollar Short Maturity gained 4.81% in October, performing roughly in line with the average fund in the USD ultra short-term bond category, which rose 4.63%. The fund placed in the eighth percentile for performance and performed roughly in line with its benchmark, the FTSE Treasury Bill 3 Month Index.
The £1.6 billion fund has gained 0.02% over the past year, while the average fund in its category is down 0.28%. The PIMCO fund, which launched in February 2011, has climbed 5.45% over the past three years and gained 2.41% over the past five years.
Fidelity Sustainable Research Enhanced Emerging Markets Equity UCITS ETF
• Morningstar Medalist Rating: Bronze
• Morningstar Category: Global Emerging Markets Equity
Fidelity Sustainable Research Enhanced Emerging Markets Equity lost 0.58% in October, underperforming the average fund in the global emerging markets equity category, which rose 0.11%. The fund placed in the 74th percentile for performance and fell further than its benchmark, the MSCI EM Index, by 0.27 percentage points.
The £1.6 billion fund has gained 15.42% over the past year, while the average fund in its category is up 16.54%. The Fidelity International fund, which launched in November 2020, has lost 1.04% over the past three years.
The author or authors do not own shares in any securities mentioned in this article. Find out about Morningstar's editorial policies.
