Chapter 14

Buy Your ETF

Checklist with checkmarks and a shopping cart — ready to buy

You know why to invest, what to invest in, and how much. Now let's get practical: what exactly should you buy?

Not all ETFs are created equal. The ones recommended in this guide are specifically chosen for European investors and follow three simple rules.

Rule 1: Accumulating (Acc), not Distributing (Dist)

Some ETFs pay you dividends — small cash payments from the companies inside the ETF. These are called distributing (Dist) ETFs.

The problem? In most European countries, dividends are taxed every time they're paid out:

  • France: 30% flat tax on each dividend
  • Belgium: 30% withholding tax on dividends
  • Netherlands: taxed as part of wealth tax
  • Luxembourg: up to 20% withholding tax

This tax drags down your long-term growth — money that could be compounding is going to the taxman instead.

Accumulating (Acc) ETFs solve this. They automatically reinvest dividends back into the ETF. No cash is paid out, so no yearly dividend tax is triggered. You generally only pay tax when you eventually sell.

Always look for:

  • ✓ "Acc" or "Accumulating" in the ETF name

Avoid:

  • ✗ "Dist" or "Distributing"
Distributing ETF loses 30% to tax every year while Accumulating ETF reinvests and grows — no tax until you sell

Rule 2: UCITS approved

Your ETF should say UCITS in its name. This is a European standard that ensures the ETF:

  • Is properly diversified
  • Has limited risk
  • Keeps your money safely separated

If it's not UCITS, don't buy it.

Rule 3: Ireland-domiciled (IE)

ETFs are registered in different countries. For European investors, Ireland is the best home country because of favorable tax treaties.

This is automatic — you don't need to do anything. Just make sure the ETF's country code is IE (Ireland).

A checklist for choosing the right ETF: Accumulating, UCITS approved, and Ireland-domiciled

Recommended ETFs

All of the ETFs below are UCITS-approved, Ireland-domiciled, and accumulating:

A note on ticker names: These are index names, not exact ticker symbols. The actual ETF you buy depends on your broker, country, and stock exchange. For example, an S&P 500 ETF might be called VUSA, CSPX, SPY, or VOO — they all track the same 500 companies. Same idea for ACWI and Nasdaq 100. When you're ready to buy, just search your broker for the index name and pick the one available to you.

ACWI — the all-world option

iShares MSCI ACWI UCITS ETF (Acc)

ISIN: IE00B6R52259

3,000+ companies from around the globe

Most diversified

S&P 500 — the balanced option

iShares Core S&P 500 UCITS ETF (Acc)

ISIN: IE00B5BMR087

500 largest US companies

Best balance

Nasdaq 100 — the growth option

iShares Nasdaq 100 UCITS ETF (Acc)

ISIN: IE00B53SZB19

100 largest US tech companies

Maximum growth

How to actually buy

  1. Open a free account on a broker like DEGIRO or Trade Republic
  2. Search for the full fund name (e.g., "iShares Core S&P 500 UCITS ETF Acc") — the ticker varies by exchange, so the name is the safest way to find it
  3. Buy your chosen amount — and repeat every month. Some brokers let you automate this, others you'll do manually. Either way, pick a day and stick to it.
  4. That's it — DCA in action
Three steps to buy an ETF: open broker, search ETF name, buy and repeat every month — 10 minutes to set up, then autopilot

Note: Tax rules vary by country and can change. This guide gives a general overview — always check the current rules for your specific situation.

Key takeaway

Look for three things in the ETF name: Acc, UCITS, IE. Then set up a monthly buy and forget about it.