Equity: Developed Europe - Large Cap
With 4 ETFs and over $5.66B in combined AUM, the Equity: Developed Europe - Large Cap segment provides exposure to the Developed Europe space with a focus on Large Cap securities.
Year-to-date, the best-performing ETF in the segment is the iShares Europe ETF (IEV), with a total return of -4.34%. Meanwhile, the most popular ETF is the SPDR Euro STOXX 50 ETF (FEZ) with $3.09BB in assets under management.
Investors should take a look at the SPDR STOXX Europe 50 ETF (FEU). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. The SPDR STOXX Europe 50 ETF tracks a market-cap-weighted index of 50 of the largest European companies. FEU has an expense ratio of 0.29% and tracks the STOXX Europe 50 Index.
ETF.com Efficiency Insight
The average efficiency score in the Equity: Developed Europe - Large Cap segment is 90 out of 100, with the SPDR Euro STOXX 50 ETF(FEZ) obtaining the highest rating of 97 out of 100.
Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.37% per year, with the SPDR STOXX Europe 50 ETF (FEU) having the lowest expense ratio, charging investors 0.29% yearly.
Investors should look for funds with tight tracking, such as the SPDR STOXX Europe 50 ETF (FEU), with a 12-month median tracking difference of 0.02%.
ETF.com Tradability Insight
The average tradability score in the Equity: Developed Europe - Large Cap segment is 76 out of 100, with the SPDR Euro STOXX 50 ETF(FEZ) obtaining the highest rating of 91 out of 100.
The SPDR Euro STOXX 50 ETF (FEZ) is the undisputed segment leader when it comes to liquidity. The fund trades 132.71M in daily average volume. Investors should also find ample liquidity in the iShares Europe ETF (IEV), with $23.58M in daily dollar volume.
Use limit orders to trade funds such as the Invesco BLDRS Europe Select ADR Index Fund(ADRU), due to their double-digit market spreads.
ETF.com Fit Insight
The MSCI Europe Large Cap has been selected as the index that most accurately represents the market in question. The benchmark has been selected by the ETF Analytics team at FactSet, according to a series of guidelines to ensure this index accurately captures its market.
Investors trying to match a broad market exposure should pay attention to IEV. This fund obtains a high Fit score and investors should capture market-like returns.
Other funds diverge from the market, by nature of their investment mandates; for example, ADRU follows a Depositary Receipts strategy and obtains a low Fit score compared with our neutral benchmark.