1. Start with the index
Everything begins with what the fund tracks. The index decides your actual exposure — S&P 500, FTSE All-World, a dividend screen, a bond segment. Two funds with similar names can follow different indices, so confirm the benchmark first. (Coming from a US ETF? See UCITS equivalents of popular US ETFs.)
2. Total cost, not just TER
The TER (total expense ratio) is the headline annual cost, but real cost also includes the bid-ask spread and tracking difference (how far the fund lags its index after costs). For core funds, prefer a low TER *and* a tight tracking record. A 0.07% S&P 500 UCITS will quietly beat a 0.30% one over time.
3. Size and liquidity
- Fund size (AUM) — larger funds are less likely to close and usually trade with tighter spreads. As a rough floor, many investors prefer funds above ~€100m.
- Trading volume — higher volume means lower spreads when you buy and sell.
4. Domicile (tax efficiency)
5. Distributing vs accumulating
Pick the share class that matches your goal: distributing for income, accumulating for hands-off growth — but mind your country's tax rules. Full breakdown in Accumulating vs Distributing, and check your local treatment in the Tax Assessor.
6. Replication method
Physical funds hold the actual securities; synthetic funds use swaps and can occasionally be more withholding-efficient on US equities, at the cost of counterparty complexity. Most investors are well served by low-cost physical funds.
Filter by TER, size, yield and frequency, then compare side by side.