CSPX is BlackRock's iShares Core S&P 500 UCITS ETF. As an Ireland domiciled, accumulating fund with about $157 billion in assets (as of October 2026), it provides direct exposure to the 500 largest US public companies and serves as a highly liquid foundational building block for international investors.
VWCE is Vanguard's alternative for global investors. It tracks the FTSE All-World Index, providing exposure to large and mid-cap companies across both developed and emerging markets. It charges 0.14% a year since Vanguard's July 2026 fee cut and holds about $62 billion in its accumulating share class (as of November 2026).
Indian investors are often confused between these two. Here is how and where they differ, and which one makes more sense for Indian investors.
| Feature | CSPX | VWCE |
|---|---|---|
| Provider | iShares (BlackRock) | Vanguard |
| Index | S&P 500 Index | FTSE All-World Index |
| TER | 0.07% | 0.14% |
| AUM | ~$157B (Oct 2026) | ~$62B acc. share class (Nov 2026) |
| Launched | 2010 | 2019 |
| Replication | Physical (full) | Physical (sampling) |
| Domicile | Ireland | Ireland |
| Structure | Accumulating | Accumulating |
| ISIN | IE00B5BMR087 | IE00BK5BQT80 |
Table of contents
- What CSPX and VWCE have in common
- Where they differ
- Which should Indian investors buy?
- Already holding one? Should you switch?
What CSPX and VWCE have in common
- Both are Ireland domiciled, which eliminates the 40% US estate tax risk for Indian investors and reduces withholding tax on US dividends to 15%.
- Both are "accumulating" funds, meaning dividends are reinvested internally, so you do not pay annual dividend tax in India.
- Both are UCITS ETFs, providing structural advantages and regulatory safeguards for international investors accessing global markets.
- Both share the same Indian tax treatment: Short Term Capital Gains (STCG) at your applicable slab rate if held for 24 months or less, and Long Term Capital Gains (LTCG) at 12.5% if held for more than 24 months.
- Both are readily available on global investing platforms like Interactive Brokers and Paasa.
Where they differ
Index exposure and strategy
CSPX tracks the S&P 500, so it holds only the 500 largest US companies. The index is heavily weighted toward information technology, financials and communication services, with top holdings such as Apple, Microsoft, NVIDIA, Amazon, Meta and Alphabet.
VWCE tracks the FTSE All-World Index, which adds developed markets outside the US as well as emerging markets. The US makes up about 62% of VWCE (as at 30 September 2026), so roughly 38% of the fund is exposure that CSPX does not give you.
Cost and tracking efficiency
Cost is CSPX's main advantage. Its TER is 0.07%, against 0.14% for VWCE since Vanguard cut its fee in July 2026. In 2025 CSPX returned 17.6% against 17.4% for its index, a tracking difference of +0.2%, so its real cost of ownership was below its headline TER.
Fund size and liquidity
CSPX holds about $157 billion (as of October 2026) and has traded since May 2010. VWCE is smaller but still very large, with about $62 billion in its accumulating share class. Both trade with tight bid-ask spreads, which keeps entry and exit cheap for monthly SIPs and large orders alike.
Which should Indian investors buy?
For investors seeking highly efficient, broad US large-cap exposure, CSPX is an optimal vehicle. Its Irish domicile, accumulating structure, exceptionally low tracking error, and deep liquidity make it a highly tax and cost-efficient core holding for your portfolio.
You should consider VWCE if you want a single "set and forget" fund that also covers markets outside the US. While CSPX is a bet on US large-cap dominance, VWCE is a bet on the global equity market.
Ultimately, do not overthink it. Utilizing established UCITS ETFs puts you on the right path for building long-term wealth.
Already holding one? Should you switch?
If you already hold one of these ETFs, do not sell it just to switch to the other. Selling your shares triggers a capital gains event in India. If you have held the ETF for 24 months or less, you will pay STCG at your slab rate. If you have held it for more than 24 months, you will pay LTCG at 12.5%.
The minor advantages you might gain from switching will likely be wiped out by the taxes you pay on the sale and the brokerage fees required to switch. If you want to transition your strategy, simply leave your existing shares alone and direct all future investments into your preferred ETF.
Building your portfolio with Ireland domiciled UCITS ETFs is a tax-efficient way for Indian investors to access global markets. You can read our complete LRS guide to learn how to fund your global account seamlessly.
Compare more: CSPX vs IWDA, QQQ vs CSPX.
Related: What are UCITS ETFs? and Top UCITS ETFs for Indian investors
About Paasa
Paasa is a global investing platform for Indian residents and NRIs, with access to stocks and ETFs across 11 markets: the US, Canada, the UK, Germany, France, Switzerland, the Netherlands, South Korea, Japan, Hong Kong and Singapore.
- Estate Tax Protection: Paasa gives you direct access to Ireland domiciled (UCITS) ETFs, including CSPX and VWCE. This allows you to legally shield your long-term wealth from the 40% US Estate Tax.
- Seamless Funding & LRS: We handle the LRS compliance process and secure competitive FX rates, ensuring your capital reaches the global markets efficiently.
- The Compliance Advantage: We generate ready-made capital gains and Schedule FA tax reports tailored for the Indian tax system, so you can focus entirely on growing your portfolio instead of managing spreadsheets.
