CSPX is iShares' S&P 500 UCITS ETF. It trades in USD on the London Stock Exchange. It also trades in GBP on the same exchange, under a different ticker.
Both track exactly the same index. Both are the same fund. So which one should you buy?
The short answer: it almost certainly does not matter. But the longer answer is worth understanding, because it clears up a confusion that trips up a lot of investors when they first encounter UCITS ETFs.
Table of contents
- The core thing to understand
- Why UCITS ETFs trade in multiple currencies
- When currency choice does matter
- Hedged vs unhedged share classes
- What this means for Indian investors
- How this works with Paasa
- Common questions
- About Paasa
The core thing to understand
The currency a UCITS ETF is priced in on an exchange is the unit of account for that listing. It is not your investment exposure.
If you buy CSPX in USD, you are buying S&P 500 exposure. If you buy CSPX in GBP, you are also buying S&P 500 exposure. The underlying fund holds US equities priced in USD regardless. The GBP listing is just a different way of quoting the same units on the same exchange.
Whether the price on your screen says $95.40 or £76.30, you are a beneficial owner of the same fraction of the same portfolio.
Why UCITS ETFs trade in multiple currencies
UCITS funds are sold across Europe, where investors use EUR, GBP, CHF, SEK, and other currencies.
To improve accessibility and reduce unnecessary foreign exchange conversion for investors in each market, fund providers list the same ETF in multiple currencies on multiple exchanges.
The table below shows some common UCITS ETFs and their listing currencies:
| UCITS ETF | USD listing | GBP listing | EUR listing |
|---|---|---|---|
| iShares Core S&P 500 (CSPX) | LSE | LSE | Euronext, Xetra |
| Vanguard FTSE All-World (VWRA) | LSE | LSE | Euronext |
| iShares Core MSCI World (IWDA) | LSE | LSE | Euronext, Xetra |
Each row is the same fund. The listings are different ways to buy the same underlying exposure.
When currency choice does matter
FX conversion cost
If you send USD to your brokerage and then buy the GBP-listed version, your broker will convert USD to GBP at a spread before the trade. That conversion has a cost. Buying the USD-listed version directly avoids that conversion.
Liquidity
For the major UCITS ETFs on the LSE, USD and GBP listings are both liquid. But if you are looking at a smaller or less-traded fund, one listing may have a wider bid-ask spread than another. The more liquid listing is generally the better one to use.
Platform availability
Some platforms only offer one listing. If your broker only shows you the GBP version, that is the one you use. There is no structural disadvantage to doing so.
Hedged vs unhedged share classes
One thing that does matter, and is worth being clear about, is the difference between a different listing currency and a different share class.
A GBP listing of an unhedged ETF just means the price is quoted in GBP. Your underlying exposure is unchanged.
A GBP-hedged share class is a structurally different product. It uses currency derivatives to neutralise the effect of GBP/USD movements on your returns. If you hold the S&P 500 via a GBP-hedged UCITS ETF, currency fluctuations between GBP and USD are actively offset. Your return reflects the index's performance in USD, converted to GBP at a fixed rate.
How to tell the difference
Hedged share classes are almost always labelled explicitly. Look for "GBP Hedged", "H GBP", "(Hedged)", or similar in the fund name. If the fund name does not mention hedging, it is unhedged.
Does it matter for Indian investors?
Hedged share classes matter when you want to remove the effect of a specific currency pair from your returns. For Indian investors, the relevant currency pair is INR/USD or INR/GBP. A GBP-hedged share class of a USD-base fund removes the USD/GBP effect, but not the INR/USD or INR/GBP effect. So it is generally not the right tool for Indian investors who are primarily exposed to INR.
What this means for Indian investors
Indian investors sending money overseas through the Liberalised Remittance Scheme typically do so in USD. Buying a USD-listed UCITS ETF avoids the additional conversion to GBP or EUR.
For the major UCITS ETFs on the LSE, the USD listings are well-established and liquid. CSPX (USD), VWRA (USD), and IWDA (USD) are all straightforward choices with tight spreads and high daily trading volume.
Unless you have a specific reason to prefer the GBP or EUR listing, the USD listing is the practical default for Indian investors.
How this works with Paasa
When you buy a UCITS ETF through Paasa, you fund your account in USD via LRS.
Auto-conversion: When you place the order, the USD in your account is converted to GBP or EUR at the live market rate with a spread of 0.03%. No manual steps needed.
Manual conversion: You can convert your USD to GBP or EUR (and other currencies) yourself in the app at spot rate with zero FX spread, and then place the buy order. Standard brokerage of 0.02% of trade value applies on the trade itself.
In both cases, you are buying the same underlying index exposure. The listing currency on the exchange is the pricing unit, not your investment.
Common questions
If I buy CSPX in GBP and the pound strengthens, do I make more money?
No. The GBP-listed CSPX is an unhedged fund. If GBP strengthens against USD, the GBP price of the ETF falls to reflect the fact that the USD-denominated assets are worth fewer pounds. Your underlying S&P 500 exposure is unchanged. The listing currency moves with the exchange rate, not against it.
Why does the USD price and GBP price of the same ETF not always match exactly?
They are linked by the live USD/GBP exchange rate. At any given moment, the GBP price times the GBPUSD exchange rate should roughly equal the USD price. Small discrepancies arise from bid-ask spreads and the fact that the two listings may have different levels of trading activity at different times.
Does it matter which exchange I buy a UCITS ETF on?
Not much, for the major funds. CSPX on the LSE and CSPX on Euronext are the same fund. The main considerations are whether your broker gives you access, and which listing has the tighter spread at the time you are placing your order.
About Paasa
Paasa is a global investing platform built for Indian investors. We provide direct access to UCITS ETFs listed on the London Stock Exchange, Euronext, and Xetra, alongside equities across 10+ global exchanges including the US, UK, Germany, Switzerland, Japan, Hong Kong, and Singapore.
For Indian investors buying ETFs through Paasa, the India-specific layer is handled end to end:
- Schedule FA reporting: We generate the exact foreign asset disclosure reports your CA needs for your Indian tax return, mapped to the Indian financial year.
- LRS and FEMA support: We handle remittance coordination and ensure your overseas investments stay within the RBI's Liberalised Remittance Scheme limits.
- Tax filing and advisory: Access to expert tax advice on capital gains, dividend income, and cost basis calculations for foreign holdings.
