CSPX vs VUAA: Which S&P 500 ETF to Choose?

CSPX (iShares Core S&P 500 UCITS ETF) and VUAA (Vanguard S&P 500 UCITS ETF) both track the same index — the S&P 500 — and both are accumulating (dividends reinvested). For European investors, the differences are small but worth understanding if you are choosing your core US equity holding.

Quick Answer

CSPX and VUAA are near-identical S&P 500 trackers: both Irish-domiciled, accumulating, physically replicated, and charging the same 0.07% TER, so the choice has little practical impact. CSPX is the larger, longer-established fund ($95B AUM, since 2010) with marginally tighter spreads, making it the pick for large amounts or those who value the most battle-tested option. VUAA ($45B AUM, since 2019) trades around $100–110 per share versus CSPX's ~$550–600, which helps investors making small monthly purchases on brokers without fractional shares. The honest verdict: pick either and stick with it.

Head-to-head comparison

Key differences

1. Fund size (AUM)

CSPX is the larger fund by a significant margin (~$95B vs ~$45B) — our full CSPX review covers investing in the S&P 500 on European exchanges in more depth. Larger AUM means:

• Tighter bid-ask spreads (lower trading cost)
• Higher daily trading volume (easier to buy/sell large quantities)
• Lower risk of fund closure

For retail investors buying in amounts under 100,000 EUR, both funds are sufficiently liquid. The difference only matters for institutional investors.

2. Tracking difference

Tracking difference (actual return minus index return) is more important than TER because it captures all costs, including securities lending income, tax efficiency, and operational efficiency.

Over the past 3 years:

• CSPX tracking difference: approximately -0.02% to -0.05% (outperforms TER due to securities lending income)
• VUAA tracking difference: approximately -0.03% to -0.06%

Both track the index exceptionally well. CSPX has a slight edge due to larger AUM and potentially better securities lending revenue.

3. Share price

• CSPX: approximately $550-600 per share
• VUAA: approximately $100-110 per share

VUAA's lower share price makes it easier to invest precise amounts without fractional shares. If your broker does not support fractional shares, VUAA is more practical for smaller monthly investments.

4. Exchange availability

Both trade on XETRA (in EUR), LSE (in USD and GBP), and other major European exchanges. For Polish investors buying on XETRA via XTB or mBank, both are equally accessible.

Which should you choose?

Choose CSPX if:

• You value the largest, most liquid option
• You invest large amounts where tiny tracking differences compound meaningfully
• You want the established, battle-tested fund (since 2010)

Choose VUAA if:

• You invest smaller monthly amounts and want a lower share price (easier to invest precise amounts)
• You prefer Vanguard's investor-owned structure and philosophy
• Your broker does not support fractional shares

The honest answer: It does not matter much. Both are excellent S&P 500 trackers with identical TERs, Irish domicile (optimal for US dividend withholding tax), and accumulating structure. Pick one and stick with it.

S&P 500 vs MSCI World

Before choosing between CSPX and VUAA, consider whether S&P 500 is the right index:

• S&P 500: 500 US large-cap companies. ~60% of global market cap is US already; an S&P 500 ETF gives you concentrated US exposure.
• MSCI World (IWDA/SWDA): 1,500+ companies across 23 developed countries. More diversified geographically.
• FTSE All-World (VWCE): 3,700+ companies across 49 countries (developed + emerging). Maximum diversification.

If S&P 500 is your core holding, pair it with an international ETF (like VXUS or EXUS) for geographic diversification.

Track your S&P 500 ETF performance alongside your other holdings in Freenance. Seeing your US equity allocation as a percentage of your total portfolio helps you maintain appropriate geographic diversification.

Related Articles

• S&P 500 ETF: How to Buy in Poland — Step-by-step buying guide
• MSCI World vs S&P 500 — Geographic diversification debate
• IWDA Review — The developed world alternative

FAQ

Are both CSPX and VUAA Irish UCITS?

Yes, both ETFs are domiciled in Ireland and structured as UCITS funds. Irish domicile is advantageous because Ireland has a favourable tax treaty with the US, reducing dividend withholding tax inside the fund from 30% to 15%.

Should I buy the GBP or USD listing on LSE?

The underlying assets are identical regardless of listing currency — currency only affects how the trade settles. If you hold a PLN account, conversion costs typically dominate, so pick whichever listing your broker quotes with the tightest spread.

Is a 0.07% TER difference between similar ETFs meaningful?

TERs are identical between CSPX and VUAA at 0.07%, so the headline cost is the same. What matters more is tracking difference (actual return vs index), bid-ask spread on your exchange, and any FX conversion your broker charges.

Does fund size affect my returns as a retail investor?

For retail amounts (under 100,000 EUR), both funds are liquid enough that spreads are negligible. Larger AUM matters more for institutional flow; for monthly DCA either is fine.

Can I switch from one to the other later without tax cost?

In a regular brokerage account, selling CSPX to buy VUAA is a taxable event subject to 19% Belka tax on gains. Inside IKE/IKZE, switching is tax-deferred, so consider that before locking in a choice.