How the Largest ETFs in the UK Performed

Each month, we check in on the performance of the largest Europe-domiciled stock, bond, and active exchange-traded funds available for sale in UK.

The Morningstar Europe Index rose 3.52% during May, while the Morningstar Eurozone Core Bond Index gained 1.36%. Over the past year, the European stock market is up 20.86%, while the European bond market has risen 3.96%.

The Morningstar US Market Index rose 6.02% during May and is up 29.53% over the past year. The Morningstar US Core Bond Index rose 1.11% last month and is up 5.19% over the past year.

In the global markets, stocks gained 5.87% during May, as measured by the Morningstar Global Markets Index. Bonds rose 1.17%, as measured by the Morningstar Global Core Bond Index. Over the past year, global stocks are up 30.86% and global bonds are up 3.38%.

Largest UK Stock ETF Performance

When evaluating ETFs, investors should focus on long-term returns across multiple years and market cycles. However, short-term returns can provide valuable information about biases within strategies.

Out of the 10 largest Europe-domiciled stock ETFs, the top performer last month was the £22.5 billion iShares VII PLC - iShares NASDAQ 100 UCITS ETF CSNDX, which gained 11.43%. The bottom performer was the £109.2 billion iShares Core MSCI World UCITS ETF IWDA, which gained 5.39%.

Here’s more about the performance of the largest stock ETFs.

iShares Core S&P 500 UCITS ETF CSSPX

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : US Large-Cap Blend Equity

The £114.8 billion iShares Core S&P 500 UCITS ETF rose 6.09% in May. The gain on the fund beat the 5.70% gain on the average fund in the US large-cap blend equity category, leaving it in the 41st percentile for performance. Over the past year, the iShares fund rose 29.52%, while the average fund in its category rose 26.31%. The fund, which launched in May 2010, has climbed 19.88% over the past three years annualized and gained 15.05% annualized over the past five years.

iShares Core MSCI World UCITS ETF IWDA

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Global Large-Cap Blend Equity

In May, the iShares Core MSCI World UCITS ETF rose 5.39%, while the average global large-cap blend equity fund gained 5.02%. The fund placed in the 44th percentile for performance. The £109.2 billion fund has climbed 27.56% over the past year, outperforming the average fund in its category, which rose 22.95%. The iShares fund, which launched in September 2009, has climbed 18.57% over the past three years annualized and gained 13.19% annualized over the past five years.

Vanguard S&P 500 UCITS ETF VUSD

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : US Large-Cap Blend Equity

In May, the Vanguard S&P 500 UCITS ETF rose 6.09%, while the average US large-cap blend equity fund gained 5.70%. The fund placed in the 40th percentile for performance. The £64.3 billion fund has climbed 29.53% over the past year, outperforming the average fund in its category, which rose 26.31%. The Vanguard fund, which launched in May 2012, has climbed 19.88% over the past three years annualized and gained 15.05% annualized over the past five years.

Vanguard FTSE All-World UCITS ETF VWRD

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Global Large-Cap Blend Equity

In May, the Vanguard FTSE All-World UCITS ETF rose 6.05%, while the average global large-cap blend equity fund gained 5.02%. The fund placed in the 25th percentile for performance. The £54.2 billion fund has climbed 30.24% over the past year, outperforming the average fund in its category, which rose 22.95%. The Vanguard fund, which launched in May 2012, has climbed 18.86% over the past three years annualized and gained 12.60% annualized over the past five years.

Invesco S&P 500 UCITS ETF SPXS

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : US Large-Cap Blend Equity

The Invesco S&P 500 UCITS ETF gained 6.11% in May, outperforming the average fund in the US large-cap blend equity category, which rose 5.70%. The £41.7 billion fund has gained 29.69% over the past year, while the average fund in its category is up 26.31%. The Invesco fund, which launched in May 2010, has climbed 20.08% over the past three years annualized and gained 15.27% annualized over the past five years.

Largest UK Bond ETF Performance

When evaluating ETFs, investors should focus on long-term returns across multiple years and market cycles. However, short-term returns can provide valuable information about biases within strategies.

Out of the 10 largest Europe-domiciled bond ETFs, the top performer last month was the £5.9 billion iShares J.P. Morgan $ EM Bond UCITS ETF IEMB, which gained 1.75%. The bottom performer was the £7.9 billion iShares VII PLC - iShares VII PLC - iShares $ Treasury Bond 3-7yr UCITS ETF CSBGU7, which gained 0.68%.

Here’s more about the performance of the largest bond ETFs.

iShares $ Treasury Bond 0-1yr UCITS ETF IB01

• Morningstar Medalist Rating
  : None
• Morningstar Category
  : USD Ultra Short-Term Bond

In May, the iShares $ Treasury Bond 0-1yr UCITS ETF rose 1.10%, while the average USD ultra short-term bond fund gained 1.12%. The fund placed in the 57th percentile for performance. The £19.5 billion fund has climbed 4.05% over the past year, underperforming the average fund in its category, which rose 4.99%. The iShares fund, which launched in February 2019, has climbed 1.85% over the past three years annualized and gained 4.48% annualized over the past five years.

iShares Core € Corp Bond UCITS ETF IEAC

• Morningstar Medalist Rating
  : Bronze
• Morningstar Category
  : EUR Corporate Bond

The £12.1 billion iShares Core € Corp Bond UCITS ETF rose 1.21% in May. The gain on the fund beat the 1.09% gain on the average fund in the EUR corporate bond category, leaving it in the 24th percentile for performance. Over the past year, the iShares fund rose 5.29%, while the average fund in its category rose 4.86%. The fund, which launched in March 2009, has climbed 4.85% over the past three years annualized and gained 0.32% annualized over the past five years.

iShares Core Global Aggregate Bond UCITS ETF AGGG

• Morningstar Medalist Rating
  : Bronze
• Morningstar Category
  : Global Diversified Bond

In May, the iShares Core Global Aggregate Bond UCITS ETF rose 1.12%, while the average global diversified bond fund gained 1.11%. The fund placed in the 52nd percentile for performance. The £10.6 billion fund has climbed 3.25% over the past year, performing roughly in line with the average fund in its category, which rose 3.10%. The iShares fund, which launched in November 2017, has climbed 0.72% over the past three years annualized and lost 0.56% annualized over the past five years.

iShares $ Treasury Bond 1-3yr UCITS ETF IBTS

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : USD Government Bond - Short Term

The £9 billion iShares $ Treasury Bond 1-3yr UCITS ETF rose 0.90% in May. The gain on the fund was shy of the 0.95% gain on the average fund in the USD government bond - short term category, leaving it in the 46th percentile for performance. Over the past year, the iShares fund rose 3.56%, while the average fund in its category rose 3.50%. The fund, which launched in June 2006, has climbed 1.32% over the past three years annualized and gained 2.95% annualized over the past five years.

iShares VII PLC - iShares VII PLC - iShares $ Treasury Bond 3-7yr UCITS ETF CSBGU7

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : USD Government Bond

The iShares VII PLC - iShares VII PLC - iShares $ Treasury Bond 3-7yr UCITS ETF gained 0.68% in May, underperforming the average fund in the USD government bond category, which rose 1.01%. The £7.9 billion fund has gained 3.48% over the past year, while the average fund in its category is up 4.48%. The iShares fund, which launched in June 2009, has climbed 0.79% over the past three years annualized and gained 1.51% annualized over the past five years.

Largest UK 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 than traditional actively managed mutual funds.

When evaluating ETFs, investors should focus on long-term returns across multiple years and market cycles. However, short-term returns can provide valuable information about biases within strategies.

Out of the 10 largest Europe-domiciled active ETFs, the top performer last month was the £3.4 billion Fidelity Emerging Markets Equity Research Enhanced UCITS ETF FEMR, which gained 12.98%. The bottom performer was the £1.6 billion PIMCO ETFs PLC - Euro Short Maturity UCITS ETF PJS1, which gained 0.60%.

Here’s more about the performance of the largest active ETFs.

JPMorgan ETFs (Ireland) ICAV - US Research Enhanced Index Equity Active UCITS ETF JREU

• Morningstar Medalist Rating
  : Silver
• Morningstar Category
  : US Large-Cap Blend Equity

In May, the JPMorgan ETFs (Ireland) ICAV - US Research Enhanced Index Equity Active UCITS ETF rose 5.26%, while the average US large-cap blend equity fund gained 5.70%. The fund placed in the 69th percentile for performance and lagged its benchmark, the S&P 500 Index, by 0.82 percentage points.

The £10.9 billion fund has climbed 28.59% over the past year, outperforming the average fund in its category, which rose 26.31%. The JPMorgan fund, which launched in October 2018, has climbed 19.39% over the past three years annualized and gained 14.99% annualized over the past five years.

JPMorgan ETFs (Ireland) ICAV - Global Research Enhanced Index Equity Active UCITS ETF JREG

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Global Large-Cap Blend Equity

In May, the JPMorgan ETFs (Ireland) ICAV - Global Research Enhanced Index Equity Active UCITS ETF rose 4.74%, while the average global large-cap blend equity fund gained 5.02%. The fund placed in the 64th percentile for performance and lagged its benchmark, the MSCI World Index, by 0.66 percentage points.

The £7.6 billion fund has climbed 26.72% over the past year, outperforming the average fund in its category, which rose 22.95%. The JPMorgan fund, which launched in October 2018, has climbed 18.02% over the past three years annualized and gained 13.46% annualized over the past five years.

Fidelity Emerging Markets Equity Research Enhanced UCITS ETF FEMR

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : Global Emerging Markets Equity

In May, the Fidelity Emerging Markets Equity Research Enhanced UCITS ETF rose 12.98%, while the average global emerging markets equity fund gained 9.39%. The fund placed in the ninth percentile for performance and beat its benchmark, the MSCI EM Index, by 2.41 percentage points.

The £3.4 billion fund has climbed 55.46% over the past year, outperforming the average fund in its category, which rose 51.40%. The Fidelity International fund, which launched in November 2020, has climbed 20.61% over the past three years annualized and gained 7.40% annualized over the past five years.

JPMorgan ETFs (Ireland) ICAV - JPM Nasdaq Equity Premium Income Active UCITS ETF JEQA

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : US Equity Income

The JPMorgan ETFs (Ireland) ICAV - JPM Nasdaq Equity Premium Income Active UCITS ETF gained 4.90% in May, outperforming the average fund in the US equity income category, which rose 2.74%. The fund placed in the 13th percentile for performance and lagged its benchmark, the NASDAQ 100 Index, by 6.57 percentage points.

The £2.6 billion fund has gained 29.48% over the past year, while the average fund in its category is up 19.35%. The JPMorgan fund was launched in October 2024.

JPMorgan ETFs (Ireland) ICAV - Europe Research Enhanced Index Equity Active UCITS ETF JREE

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Europe Large-Cap Blend Equity

The £2.5 billion JPMorgan ETFs (Ireland) ICAV - Europe Research Enhanced Index Equity Active UCITS ETF rose 3.08% in May. The gain on the fund was shy of the 3.54% gain on the average fund in the Europe large-cap blend equity category, leaving it in the 71st percentile for performance. The fund lagged its benchmark, the MSCI Europe Index, by 0.38 percentage points.

Over the past year, the JPMorgan fund rose 20.01%, while the average fund in its category rose 16.35%. The fund, which launched in October 2018, has climbed 13.88% over the past three years annualized and gained 10.34% annualized over the past five years.