Quick Decision
Choose IWDA if…
you want developed-market exposure at the lower reviewed charge and are comfortable adding emerging markets separately, or leaving them out entirely.
Choose VWCE if…
you want one fund that already includes emerging markets and prefer not to manage or rebalance a second position.
Either is strong if…
you invest consistently over a long horizon; both are broad, low-cost, accumulating Irish UCITS ETFs built for core global equity exposure.
Winner summary
Headline ongoing charge
IWDAIWDA’s reviewed ongoing charge of 0.20% is below VWCE’s 0.22%, though the gap is small next to trading costs.
Market coverage
VWCEVWCE includes emerging markets alongside developed markets in a single accumulating share class.
Structure and mechanics
TieBoth are Ireland-domiciled, accumulating UCITS ETFs using physical investment methods with sampling where necessary.
Final practical choice
DependsDecide first whether emerging markets belong in your portfolio, then compare listing, spread, commission and FX handling at your broker.
Key facts comparison
- IWDA
- 0.20% · iShares fund documentation
- VWCE
- 0.22% · Vanguard fund documentation
- IWDA
- Developed markets only
- VWCE
- Developed markets plus emerging markets
- IWDA
- MSCI World Index (developed markets)
- VWCE
- FTSE All-World Index (developed and emerging markets)
- IWDA
- $142.9B · as-of date unavailable
- VWCE
- VWCE is large and has grown quickly since launch · as-of date unavailable
- IWDA
- 25 Sept 2009
- VWCE
- 23 Jul 2019
- IWDA
- Accumulating
- VWCE
- Accumulating
| Field | IWDA | VWCE |
|---|---|---|
| Full fund name | iShares Core MSCI World UCITS ETF | Vanguard FTSE All-World UCITS ETF |
| Ticker | IWDA | VWCE |
| ISIN | IE00B4L5Y983 | IE00BK5BQT80 |
| Provider | iShares by BlackRock | Vanguard |
| Benchmark | MSCI World Index (developed markets) | FTSE All-World Index (developed and emerging markets) |
| TER / OCF | 0.20% · iShares fund documentation | 0.22% · Vanguard fund documentation |
| Market coverage | Developed markets only | Developed markets plus emerging markets |
| Domicile | Ireland | Ireland |
| UCITS status | UCITS ETF | UCITS ETF |
| Distribution policy | Accumulating | Accumulating |
| Replication method | Physical replication; optimised sampling may be used | Physical acquisition; sampling may be used where full replication is not practicable |
| Fund size or AUM | $142.9B · as-of date unavailable | VWCE is large and has grown quickly since launch · as-of date unavailable |
| Inception date | 25 Sept 2009 | 23 Jul 2019 |
| Base currency | USD | USD |
| Trading currencies | Multiple exchange lines; verify ticker, ISIN, currency and venue with your broker | Multiple exchange lines; verify ticker, ISIN, currency and venue with your broker |
| Exchange listings | Multiple European listings; verify current venue availability before trading | Multiple European listings; verify current venue availability before trading |
At a glance
- Both are Ireland-domiciled, accumulating UCITS ETFs providing broad global equity exposure through physical investment methods.
- The decisive difference is index coverage: IWDA follows developed markets, while VWCE also includes emerging markets.
- IWDA has the lower reviewed ongoing charge at 0.20% versus 0.22% for VWCE; the difference is small in cash terms.
- IWDA plus a separate emerging-markets ETF can approximate VWCE, at the cost of extra trades and rebalancing work.
- As with any UCITS ETF, broker access, exchange line, spread, commission and FX handling can matter more than the headline TER.
5 key differences in 30 seconds
Index coverage
IWDA tracks the MSCI World Index of developed markets. VWCE tracks the FTSE All-World Index, which also includes emerging markets. This is the single most important difference between them.
Number of holdings
The all-world index holds a substantially larger number of constituents than the developed-world index, because it adds emerging-market companies and a deeper tail of smaller listings.
Ongoing charge
IWDA shows a lower reviewed ongoing charge than VWCE. On a small portfolio the difference is minor; on a large long-term portfolio it is worth checking against the value of emerging-markets exposure.
Portfolio construction
VWCE is a one-fund global solution. IWDA is usually paired with an emerging-markets ETF by investors who want full global coverage and are willing to rebalance.
Fund history
IWDA launched in 2009 and VWCE in 2019, so IWDA has a longer live record. A longer record is not a prediction of future returns.
Who wins each category?
Overall: Both funds are credible core global equity holdings. The category wins mostly cancel out, which is why the coverage decision — developed markets only, or developed plus emerging — should come first.
Overview
Both are core global equity ETFs; the index they follow is the real decision.
IWDA and VWCE are both designed to be the single equity holding at the centre of a long-term portfolio. They are Ireland-domiciled UCITS ETFs, both accumulate income inside the fund, and both invest physically in index securities.
The meaningful difference is index coverage. IWDA follows the MSCI World Index, which covers developed markets. VWCE follows the FTSE All-World Index, which also includes emerging markets such as China, India, Taiwan and Brazil.
Coverage
VWCE adds emerging markets; IWDA leaves that allocation to you.
Emerging markets represent a meaningful minority of global market capitalisation. Including them broadens country and currency exposure but also adds political, governance, currency and liquidity risk.
Investors who want that exposure but prefer IWDA’s charge often pair it with a separate emerging-markets UCITS ETF, sized to the weight they consider appropriate. That approach adds control, and also adds rebalancing work.
Costs
IWDA is cheaper on paper by 0.02%; execution costs can easily exceed that gap.
The reviewed documentation shows 0.20% for IWDA and 0.22% for VWCE. On a €10,000 holding, the difference is around €2 a year before any other costs.
What makes up your total cost? Bid-ask spread, brokerage commission, foreign-exchange conversion, execution venue, order size and recurring-plan fees all contribute. If you pair IWDA with an emerging-markets ETF, add that fund’s charge and the cost of rebalancing.
Related: Lowest TER UCITS ETF rankings
Fund size and history
IWDA is the longer-established line; VWCE has grown quickly since 2019.
IWDA launched in 2009 and is generally the larger and longer-established share class. VWCE launched in 2019 and has attracted substantial assets as a one-fund global solution. Verify current fund size before relying on this factor.
- 2009IWDA share class launched
iShares Core MSCI World UCITS ETF share class launch: 25 September 2009.
- 2019VWCE launched
Vanguard FTSE All-World UCITS ETF (USD) Accumulating inception: 23 July 2019.
Liquidity and trading
The spread you pay is set on your exchange line at order time.
Both funds are widely listed across European exchanges. Fund scale can support trading depth, but the spread you actually pay depends on the specific exchange line, market makers, order size and your broker’s routing at the moment you trade.
Holdings
VWCE holds a substantially larger constituent list because it adds emerging markets.
IWDA holds developed-market large and mid-cap companies. VWCE holds those plus emerging-market constituents, so its holdings list is considerably longer. Exact counts change with index reviews, corporate actions and sampling.
ETF detail pages: IWDA detail page and VWCE detail page.
Replication
Both invest physically, with sampling used where full replication is impractical.
Neither fund relies on a swap for its market return. Both hold index securities directly, using optimised sampling where holding every constituent would be impractical — a technique more relevant for VWCE given its wider index.
Distribution
Both compared share classes are accumulating — income is reinvested.
Income is reinvested inside the fund rather than paid out as cash. Whether accumulating or distributing suits you better depends on tax residence, account type, broker reporting and cash-flow needs.
Currency exposure
A EUR trading line changes the dealing currency only, not the underlying exposure.
Both funds report in USD and hold companies listed in many currencies. Buying a EUR or GBP exchange line changes the currency you deal in; it does not hedge or remove the underlying currency exposure of the portfolio.
Performance
Return differences come mainly from emerging-markets exposure, then from charges and taxes.
Because the indices differ, IWDA and VWCE returns will not track each other exactly. When emerging markets outperform, VWCE tends to lead; when they lag, IWDA tends to lead. Past performance is not a reliable indicator of future returns.
Smaller differences come from ongoing charges, withholding taxes inside the fund, cash drag, sampling, securities lending and portfolio timing.
Risks
Equity-market, concentration, currency and tracking risks apply to both funds.
Both carry equity-market risk and significant weight in U.S. large-cap companies. VWCE additionally carries emerging-market political, governance, currency and liquidity risk. Tax and regulatory treatment can change and differs by residence and account type.
Who should choose IWDA?
Cost-focused investors who want to control emerging-markets exposure themselves.
IWDA may suit investors who prefer the lower reviewed charge, want developed-market exposure only, or intend to hold emerging markets separately at a weight of their own choosing.
Who should choose VWCE?
Investors who want complete global coverage in one holding with no rebalancing.
VWCE may suit investors who want a single global equity fund, value automatic emerging-markets inclusion, and would rather not manage a second position or target weight over time.
Which one fits you?
Do you want emerging markets in your portfolio at all?
VWCE covers them automatically; IWDA would need a second fund.
IWDA alone gives you developed markets at the lower charge.
Are you willing to hold and rebalance two funds?
IWDA plus an emerging-markets ETF lets you set the weight yourself.
VWCE keeps the whole allocation inside one holding.
Have you compared spread, commission and FX on your exact listing?
Choose the cheaper line and invest into it consistently.
Check both ISINs at your broker before placing an order.
Bottom line
IWDA and VWCE are both sound core global equity ETFs with the same domicile, distribution policy and physical investment approach. IWDA costs slightly less and covers developed markets; VWCE costs slightly more and covers the whole investable world.
There is rarely a good reason to hold both. Pick the coverage that matches your plan, confirm your broker’s listing, spread and FX handling, and then invest consistently.
FAQs
Grouped by topic — open a group to read the answers.
Data sources
- iShares Core MSCI World UCITS ETF documentation for IWDA: ongoing charge, ISIN, distribution policy, domicile, replication method and share class launch date.
- Vanguard FTSE All-World UCITS ETF (USD) Accumulating documentation for VWCE: ongoing charge, ISIN, distribution policy, domicile, physical investment method and inception date.
- MSCI World Index and FTSE All-World Index methodology materials: index coverage context for developed and emerging market exposure.