I'm interested in buying ETFs that track the US market, but because of the latest EU MiFID regulations, I'm only allowed to purchase investment products that come accompanied by some "KID", a Key Information Document.

Fine. There are plenty European alternatives for the more popular US-based ETF. Most of them have UCITS in their name and are denominated in EUR.

The problem is that I'm wary about the EU. Would a major downturn in EUR/USD affect the value of a EUR-denominated ETF that tracks a US index?

1 Answer 1


If there is a major downturn in EUR, your asset would actually appreciate in EUR even if the index does not move, because US stocks are traded in USD and Unhedged ETF has USD as Base Currency. An Unhedged ETF could be EUR denominated simply because a Market Maker constantly help you convert money in Foreign Exchange Market.

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    Ironically, an Unhedged ETF is what I want here, right? Because a EUR-denominated Hedged ETF would not appreciate in EUR if there is a crash in EUR/USD. Commented Apr 21, 2020 at 12:18
  • @PaulRazvanBerg Just to give you an example, IUSA is available on Borsa Italiana, Deutsche Boerse Xetra, and Euronext Amsterdam in EUR unhedged. ishares.com/uk/individual/en/products/251900/…
    – base64
    Commented Apr 21, 2020 at 13:42

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