Global momentum stocks
This fund buys developed-world stocks that have been rising strongly over the past several months, on the theory that recent winners often keep winning for a while. It rebalances regularly to chase fresh momentum. Dividends are reinvested.
Returns shown in USD (your base currency). Past performance is not a reliable guide to future results.
- Captures stocks in strong uptrends
- Large, liquid fund near 5 billion USD
- Has historically beaten broad market in trends
- Can turn sharply at market reversals
- More volatile and concentrated than a tracker
- Higher turnover from frequent rebalancing
About this fund
Tracks the MSCI World Momentum Index, choosing developed-market stocks with the strongest risk-adjusted price gains over the trailing 6 and 12 months. The basket is reconstituted roughly twice a year to refresh the winners, which makes holdings change more often than a plain index. Physically replicated and accumulating.
Available on Interactive Brokers
Low-cost access to Global momentum stocks and 10,000+ funds worldwide.
Frequently asked questions
Is IWMO.L accumulating or distributing?
iShares Edge MSCI World Momentum Factor UCITS ETF USD (Acc) (IWMO.L) is an accumulating ETF, so its dividends are reinvested automatically inside the fund instead of paid out as cash. The value compounds in the share price, which keeps things simple since the dividends are reinvested for you instead of arriving as cash you would otherwise have to reinvest yourself.
What is the annual fee (TER) for IWMO.L?
IWMO.L has a total expense ratio (TER) of 0.30% per year. On a $10,000 holding that is roughly $30 a year, charged inside the fund rather than billed to you separately. A lower fee leaves more of the return compounding for you over time.
Can I buy IWMO.L on Interactive Brokers?
Yes. IWMO.L trades on LSE, USD and is available to investors worldwide through Interactive Brokers (IBKR). IBKR is the most popular way to buy UCITS ETFs because of its low FX conversion cost (around 0.03%) and low trading commissions.
What does IWMO.L invest in?
iShares Edge MSCI World Momentum Factor UCITS ETF USD (Acc) (IWMO.L) tracks the MSCI World Momentum Index. This fund buys developed-world stocks that have been rising strongly over the past several months, on the theory that recent winners often keep winning for a while. You buy one fund and get the whole basket in a single trade.
Is IWMO.L a UCITS ETF, and where is it domiciled?
Yes, IWMO.L is a UCITS ETF domiciled in Ireland. For non-US investors, Irish-domiciled UCITS ETFs are usually preferred over US-domiciled ones: US dividend withholding tax is 15% under the tax treaty (versus 30% on US-domiciled funds for many non-US investors), and the holdings sit outside US estate tax.
How risky is IWMO.L?
On the TickerCompare 1 to 5 scale, IWMO.L is rated higher risk (4/5), based on how much its price has moved historically. Higher-risk funds can fall further in a downturn, so match the choice to your time horizon and how much volatility you can stomach.