The iShares Core FTSE 100 UCITS ETF (ISF) is a passive fund designed to track the performance of the FTSE 100 Index. The FTSE 100 is a benchmark index that includes the largest 100 companies listed on the London Stock Exchange (LSE) by market capitalisation.
iShares Core FTSE 100 UCITS ETF Performance, Price & Chart
Investing in the ISF ETF provides investors with exposure to the FTSE 100 names and, therefore, the UK’s most prominent blue-chip companies across various sectors, including financials, consumer goods, energy, and healthcare.
Launched in April 2000, the ETF offers a cost-efficient way to gain diversified exposure to the UK’s leading companies, making it a popular choice for both retail and institutional investors. Some of the top FTSE 100 names include AstraZeneca, HSBC, and Unilever.
As of early 2025, ISF’s total net assets of fund stood at £11.14 billion.
iShares Core FTSE 100 UCITS ETF Performance, Price & Chart
The performance of IEFA reflects trends in international developed markets, influenced by local economic conditions, exchange rates, and global trade dynamics.
| Year | Performance |
|---|---|
| 2025 (YTD) | |
| 2024 | +8.14% |
| 2023 | +7.76% |
| 2022 | +4.87% |
| 2021 | +17.67% |
| 2020 | -11.54% |
ISF Top Holdings (early 2025)
| Company | Weight |
|---|---|
| AstraZeneca | 7.77% |
| Shell | 7.42% |
| HSBC | 6.91% |
| Unilever | 5.58% |
| RELX | 3.35% |
| BP | 3.05% |
| British American Tobacco | 2.86% |
| London Stock Exchange Group | 2.78% |
| Diageo | 2.76% |
| GSK | 2.65% |
Forecast
Bull Argument: Axel Rudolph, a senior technical analyst at IG Markets referred to currencies in a November 25th article that the recent decline in the GBP versus the US dollar should benefit the FTSE 100 index. “A weaker pound sterling makes UK exports cheaper while FTSE 100 companies’ products and services sold in other currencies than the pound sterling abroad add to the blue chips’ bottom line,” he wrote. Furthermore, he noted that the index's dividend outlook remains stable, while share buybacks indicate corporate confidence in valuations.
“Since the FTSE 100 tends to sideways trade for several months before finding a new, higher equilibrium, we expect to see a similar step change in 2025,” adds Rudolph. ” The psychological 9,000 mark represents a possible upside target for the FTSE 100 in 2025.”
Bear Argument: There are various factors that could provide a headwind to the FTSE 100 in 2025. Most recently, the latest UK budget has seemingly impacted business in the country, which resulted in a decline in the index. Investors should keep an eye on any further negative economic data as it could dampen the economy and index further.
More generally, the FTSE 100 is heavily weighted toward sectors like energy and financials, increasing vulnerability to sector-specific downturns, while compared to US and global indices, the FTSE 100 has historically shown lower growth rates.
Our View: The iShares Core FTSE 100 UCITS ETF is a solid choice for investors seeking exposure to the UK’s largest companies. Its low expense ratio and diversified portfolio make it an efficient vehicle for tracking the performance of the FTSE 100, while those investing in the distributing ETF will benefit from the solid dividends paid out by companies in the FTSE 100. The 12-month trailing dividend distribution yield, at the beginning of 2025, is 3.73%.
However, the index’s sector concentration and reliance on mature, dividend-paying companies may limit its appeal for growth-oriented investors, while recent economic indicators in the country suggest caution.
Nevertheless, for those looking for steady dividend income and exposure to the UK market, ISF is a potential option.
Who Should Buy the iShares Core FTSE 100 UCITS ETF?
While you may see the index as a potentially attractive addition to your portfolio, you should first make sure it aligns with your investment goals.
The ISF ETF is best suited for dividend investors as the ETF’s focus on large-cap, dividend-paying companies should appeal to those seeking regular income.
Of course, investors looking for UK market exposure will also find it a solid option, while it also better suits those with a long-term investment timeframe who can benefit from capital appreciation and dividends over time.
