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SPDW charges much lower fees and offers higher performance than URTH.
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URTH owns more US tech giants, while SPDW focuses exclusively on developed markets outside the US.
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SPDW outperformed at 1 year, but saw a slightly deeper decline at 5 years.
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He iShares MSCI World ETF (NYSEMKT: URTH) and SPDR Portfolio Developed World ex-USA ETFs (NYSEMKT:SPDW) They differ more in cost, performance, regional exposure, and concentration of top holdings, with SPDW offering lower expenses and a non-US focus, while URTH leans toward US technology.
Both the iShares MSCI World ETF and the SPDR Portfolio Developed World ex-US ETF aim to provide investors with broad access to developed market stocks, but their approach and portfolio composition set them apart. This comparison looks at cost, performance, risk, and what’s inside to help investors decide which fund might best fit their strategy.
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Metric
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URTH
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SPDW
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Editor
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IShares
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SPDR
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Expense ratio
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0.24%
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0.03%
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1 year return (from 01/09/2026)
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22.9%
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35.3%
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Dividend yield
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1.5%
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3.2%
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AUM
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7 billion dollars
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$34.1 billion
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Beta measures price volatility relative to the S&P 500; Beta is calculated from five-year weekly returns. The 1-year return represents the total return over the past 12 months.
SPDW is significantly more affordable, with an expense ratio of 0.03% compared to URTH’s 0.24%, and also offers a higher dividend yield, which may appeal to cost-conscious or income-focused investors.
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Metric
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URTH
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SPDW
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Maximum reduction (5 years)
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(26.06%)
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(30.20%)
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$1,000 growth in 5 years
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$1,659
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$1,321
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SPDR Portfolio Developed World ex-US ETF offers exposure to developed markets outside the United States, with a portfolio that leans toward financial services (23%), industrials (19%) and technology (11%). The fund has 2,390 shares, which makes it widely diversified, and its most important positions:Roche, Novartisand ToyotaEngine—each represents about 1% of assets. Launched nearly 19 years ago, SPDW’s breadth and regional tilt could help reduce dependence on the U.S. market.
URTH, on the other hand, includes US stocks and is more concentrated in Technology (34%), with top positions in NVIDIA, Appleand microsoft Together they represent almost 14% of assets. This means that URTH can get closer to US technology, while SPDW offers a more global approach outside of the United States.
For more guidance on investing in ETFs, check out the full guide at this link.
Both ETFs capitalized on the strong international stock rally in 2025, with SPDW gaining about 35% and URTH 23% over the past year. International markets rose as the U.S. dollar weakened and investors looked for opportunities beyond expensive U.S. technology stocks. SPDW earned higher returns by completely avoiding exposure to the United States and focusing on developed markets such as Japan, the United Kingdom and Canada.
SPDW tracks developed markets, excluding the United States, with an ultra-low expense ratio of 0.03% and a dividend yield of 3.2%. Its $34 billion in assets provides ample liquidity while keeping costs minimal. The fund offers pure international exposure for investors who already own US stocks separately or want to reduce dependence on US technology giants.
URTH takes a global approach, including the United States, with more than 70% of assets in US companies. Its 0.24% expense ratio costs eight times more than the SPDW, while its 1.5% yield falls short for income seekers. However, URTH is moving closer to the known leaders of the US market, potentially offering comfort to investors nervous about a heavy international allocation.
If you’re looking for cheaper, income-focused international diversification that truly reduces US market concentration, SPDW may be the ETF for you. Take a closer look at URTH if you prefer the global simplicity of a single fund and want significant exposure to the US within your international holdings. Just know that you’ll pay higher costs for that convenience.
ETFs: Exchange-traded fund that holds a basket of securities and trades on an exchange like a stock.
Expense ratio: Annual fund operating costs expressed as a percentage of average fund assets.
Dividend yield: Annual dividends paid by a fund divided by its current share price, expressed as a percentage.
Developed markets: Economies considered mature, with advanced infrastructure and stable regulatory systems, such as Japan, the United Kingdom and Germany.
Maximum reduction: The greatest decline in value of an investment from its peak to its trough during a specific period.
$1,000 Growth: Illustration showing how a $1,000 investment would have increased or decreased over time, including reinvested returns.
Beta: A measure of a fund’s volatility relative to a benchmark index, often the S&P 500.
Total profitability: Investment performance, including price changes plus all dividends and distributions, assuming they are reinvested.
Developed world except the United States: Investment exposure to developed countries, specifically excluding US companies from the portfolio.
Editor: The company that creates and manages an ETF or mutual fund, responsible for its administration.
AUM (Assets under management): Total market value of all assets overseen by a fund or manager.
Portfolio concentration: The degree to which a fund’s assets are invested in a small number of holdings or sectors.
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International Exposure: SPDW’s Lower Costs vs. US Giants URTH was originally published by The Motley Fool
