Outperforming MSCI World: Achieve up to 16% annual returns with these global ETFs
In the world of investing, the MSCI World is often considered the benchmark for global equities. However, some Exchange-Traded Funds (ETFs) have managed to outperform this index over the past three years. Three such ETFs that have caught the attention of investors are the Invesco Quantitative Strategies ESG Global Equity Multi-Factor UCITS ETF, the VanEck Morningstar Developed Markets Dividend Leaders ETF, and the JPMorgan Global Research Enhanced Index Equity (ESG) UCITS ETF.
The Invesco Quantitative Strategies ESG Global Equity Multi-Factor UCITS ETF has provided a significant annual return of 13.3% over the past three years, demonstrating its outperformance against the MSCI World. The VanEck Morningstar Developed Markets Dividend Leaders ETF, on the other hand, has been the top performer among globally diversified ETFs, offering up to 16% annual return to investors. The JPMorgan Global Research Enhanced Index Equity (ESG) UCITS ETF has also delivered a 10.4% annual return over the same period.
The VanEck Morningstar Developed Markets Dividend Leaders ETF stands out for its unique approach to selecting dividend stocks. It focuses on stocks with a strong substance and sustainability of payment, making it an attractive choice for income-focused investors.
It's important to note that while these ETFs have performed exceptionally well, the ETF is not always the best from a return perspective. For instance, thematic or sector-specific ETFs such as technology-focused funds can also offer high returns, but they come with higher risk due to their concentration in a single sector.
A recent video on the BÖRSE ONLINE YouTube channel discusses these three ETFs and their performance compared to the MSCI World. However, it's worth mentioning that the video does not mention the MSCI World benchmark explicitly.
For those interested in finding ETFs that have outperformed the MSCI World over the past three years, it's recommended to consult financial data platforms or ETF providers directly. Websites like Morningstar, Bloomberg, or the providers’ official websites provide detailed and current performance metrics suitable for comparison with MSCI World returns.
In conclusion, while the MSCI World remains a significant benchmark in the investment world, it's clear that some globally diversified ETFs have managed to outperform it over the past three years. Investors seeking high returns should consider these ETFs as part of their investment portfolio, but it's crucial to remember that past performance is not always indicative of future results.
Technology plays a significant role in the selection process of the VanEck Morningstar Developed Markets Dividend Leaders ETF, as it focuses on stocks with a strong technology infrastructure and sustainability of payment.
While globally diversified ETFs have outperformed the MSCI World, investors should note that thematic or sector-specific ETFs, such as technology-focused funds, may offer high returns but come with higher risk due to their concentration in a single sector.