While Wall Street typically grabs the headlines (and capital flows), a $19 trillion market (IMF, April 2025) across the Atlantic also delivers opportunities that DIY investors should not ignore.
Europe isn’t just about cobblestone streets and centuries-old cathedrals. It is home to the world’s second-largest developed market, where 27 interconnected economies have created a massive, liquid marketplace.
For DIY investors looking for diversification away from the US market, Europe offers a compelling value proposition: access to a mature, stable economic bloc that’s been stress-tested through everything from financial crises to global pandemics, yet continues to innovate and grow.
Europe offers access to German engineering powerhouses, French luxury brands, Dutch renewable energy innovators, and Scandinavian fintech disruptors.
Access via ETFs
One of the easiest ways to gain broad exposure to Europe and its economic potential is through the burgeoning exchange-traded fund (ETF) market that tracks European indexes.
Offering low-cost, comprehensive access to a mix of large-, mid- and small-cap stocks within the investable market across various countries in Europe, ETFs give DIY investors a straightforward way to benefit from the continent’s stability and growth prospects without needing to select individual stocks.
There are numerous top-performing ETFs available via the Clarity, by Investec platform that self-directed investors can use to construct a portfolio that includes exposure to Europe.
SPDR® EURO STOXX 50 ETF
The EURO STOXX® 50 index tracks the 50 largest Eurozone companies, weighting its constituents by free float market capitalisation.
The SPDR® EURO STOXX 50 ETF (FEZ-NASQ) aims to deliver investment results that correspond generally to the total return performance of the EURO STOXX 50® Index, before fees and expenses.
The ETF issuer employs a sampling strategy, which means that the fund is not required to purchase all of the securities represented in the index. It generally invests substantially – at least 80% – of its total assets in the securities in the index.
iShares Core MSCI Europe ETF
The iShares Core MSCI Europe ETF (IEUR-NASQ) seeks to track the investment results of an index composed of large-, mid- and small-cap European equities.
The index’s largest holdings include large European companies across markets, including ASML Holding NV (technology), SAP SE (technology), Astrazeneca PLC (health care), Novartis AG (health care), Nestle SA (consumer staples), Shell (energy) and Siemens (industrials), among others.
iShares Core MSCI EMU UCITS ETF
The iShares Core MSCI EMU UCITS ETF (CSEMZZ-TRQX) seeks to track the performance of an index composed of companies from developed countries in Europe that form part of the Economic and Monetary Union (EMU).
The fund offers direct regional exposure to investments in a broad range of EMU companies, including European companies from Austria, Germany, Luxembourg, Switzerland, the Netherlands, Hungary, the Czech Republic, Denmark, Norway, Italy, Poland, Sweden and France, among others.
Vanguard FTSE Developed Markets Index Fund ETF
For investors looking to gain some exposure to Europe in a broader developed market strategy, the Vanguard FTSE Developed Markets Index Fund ETF (VEA-NASQ) seeks to track the investment performance of the FTSE Developed All Cap ex US Index with a passively managed full-replication approach.
The fund provides a convenient way to match the performance of a diversified group of large-, mid-, and small-cap company stocks across Canada, the major markets of Europe and the Pacific region.
Europe carries the highest weighting (53.50%), with its biggest holdings in SAP SE, ASML Holding NV, Nestle SA, AstraZeneca PLC and Roche Holding AG.
Europe calling
Based on the available opportunities, the question isn’t whether you should consider European exposure, its which ETFs will give you the best shot at capturing this market’s potential.
Whether you’re eyeing broad European market exposure or want to target specific companies in the renewable energy or fintech sectors, Clarity’s comprehensive ETF and stock selection gives you direct access to Europe’s most promising opportunities.
Don’t let geographic borders limit your investment potential. Visit the Clarity, by Investec platform to tap into Europe’s dynamic markets.
