The S&P 500, paying cash dividends
Vanguard's hugely popular S&P 500 fund on the London Stock Exchange. You own the 500 biggest US companies and the dividends land in your account as cash every three months. If you would rather have dividends reinvested automatically, the same fund exists as VUAG.
Returns shown in USD (your base currency). Past performance is not a reliable guide to future results.
- One of the most held index funds in Europe
- Very low 0.07% yearly fee
- Quarterly cash dividends you can spend or reinvest
- You must reinvest dividends yourself
- 100% United States, no other countries
- Top-heavy: a few tech giants dominate
About this fund
Vanguard's distributing S&P 500 UCITS ETF, one of the most widely held index funds among UK and European investors. Tracks the 500 largest US-listed companies and pays the dividends out to your account each quarter. The accumulating twin (same fund, dividends reinvested automatically) is VUAG.
Alternatives to VUSA
Other funds tracking S&P 500, plus close substitutes. Cheapest first.
Available on Interactive Brokers
Low-cost access to The S&P 500, paying cash dividends and 10,000+ funds worldwide.
Frequently asked questions
Is VUSA.L accumulating or distributing?
Vanguard S&P 500 UCITS ETF (USD) Distributing (VUSA.L) is a distributing ETF, so it pays its dividends out to you as cash, usually a few times a year. If you would rather have dividends reinvested automatically, look for an accumulating share class of the same index.
What is the annual fee (TER) for VUSA.L?
VUSA.L has a total expense ratio (TER) of 0.07% per year. On a $10,000 holding that is roughly $7 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 VUSA.L on Interactive Brokers?
Yes. VUSA.L trades on LSE, GBP 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 VUSA.L invest in?
Vanguard S&P 500 UCITS ETF (USD) Distributing (VUSA.L) tracks the S&P 500. Vanguard's hugely popular S&P 500 fund on the London Stock Exchange. You buy one fund and get the whole basket in a single trade.
Is VUSA.L a UCITS ETF, and where is it domiciled?
Yes, VUSA.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 VUSA.L?
On the TickerCompare 1 to 5 scale, VUSA.L is rated medium risk (3/5), 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.