The iShares MSCI World ETF: A Portfolio Dominated by Technology Titans

MSCI World ETF US4642863926

As of mid-January 2026, the iShares MSCI World ETF (URTH) is trading close to its record high. A significant shift has occurred within its holdings: NVIDIA has overtaken Apple to become the fund's largest position. This change underscores the profound influence artificial intelligence themes now exert on the fund's composition. With a year-to-date return of 2.10%, URTH is performing marginally ahead of its peer group of global large-cap ETFs.

Tracking the MSCI World Index (Net), URTH provides exposure to equities from 23 developed nations. The ETF's net asset value stands at approximately $188.90, just shy of its 52-week high of $189.95. It manages assets worth $6.95 billion.

This iShares fund maintains 1,320 positions and utilizes a physical replication strategy with optimized sampling. Distributions are made semi-annually, with the most recent occurring in December 2025. Its 30-day SEC yield is 1.24%.

A Concentrated Bet on Mega-Cap Technology

Leading Holdings and Portfolio Weight

The opening of 2026 has seen a further concentration in the weighting of technology behemoths, driven directly by the powerful boom in AI infrastructure. NVIDIA's ascent to the top spot is the most notable development.

A summary of the top ten holdings reveals the fund's focus:

1. NVIDIA: 5.45%
2. Apple: 4.85%
3. Microsoft: 4.11%
4. Amazon: 2.67%
5. Alphabet A: 2.19%
6. Broadcom: 1.87%
7. Alphabet C: 1.85%
8. Meta Platforms: 1.72%
9. Tesla: 1.53%
10. JPMorgan Chase: 1.07%

Collectively, these ten positions account for 27.30% of the fund's assets. The so-called "Magnificent Seven" stocks represent over 20%, creating a pronounced tilt toward semiconductor and AI-related companies.

Sector and Geographic Allocation

From a sector perspective, technology is overwhelmingly dominant at 27.92%. The following sectors round out the allocation:

• Financials: 16.67%
• Industrials: 10.57%
• Consumer Cyclical: 9.95%
• Healthcare: 9.78%
• Communication Services: 9.09%

Geographically, the United States represents about 71% of the portfolio. Other significant country exposures include:

• Japan: 5.50%
• United Kingdom: 3.71%
• Canada: 3.23%
• Switzerland: 2.53%

This allocation solidifies URTH's profile as a classic developed markets ETF with a clear U.S. focus.

Performance Metrics and Risk Profile

Returns Versus Benchmark

Recent performance data shows URTH tracking its benchmark closely, with slight positive deviations in some periods:

• YTD 2026: 2.10% (Benchmark: 2.09%)
• 1 Month: 0.75% (0.81%)
• 3 Months: 3.03% (3.12%)
• 6 Months: 10.50% (10.61%)
• 1 Year: 21.28% (21.09%)
• 3 Years (p.a.): 21.29% (21.17%)
• 5 Years (p.a.): 12.30% (12.15%)

For full calendar years, the fund delivered a total return of 21.28% in 2025, 18.72% in 2024, and 23.93% in 2023, following a decline of -17.95% in 2022.

Liquidity, Valuation, and Risk Indicators

URTH offers solid tradability, evidenced by a 30-day average volume of 460,109 shares. The median bid-ask spread over the past 30 days is a narrow 0.03%. On the NYSE Arca, the ETF trades at a minimal 0.04% premium to its net asset value.

Key valuation and risk statistics are:

• Price-to-Earnings (P/E) Ratio: Approximately 24.06
• Price-to-Book (P/B) Ratio: 3.99
• 3-Year Standard Deviation: 11.59%
• Beta: 0.94

Competitive Landscape and Fund Positioning

How URTH Compares to VT and ACWI

A direct comparison with other global equity ETFs highlights URTH's distinct positioning:

• URTH (iShares MSCI World ETF)

  • Expense Ratio: 0.24%
  • Assets Under Management: $6.95 billion
  • Holdings: ~1,320 securities
  • Focus: Developed markets (MSCI World)
  • Top Holding: NVIDIA (5.45%)
  • Performance: YTD 2026: 2.10%; 1-Year: 21.28%
  • Excludes emerging markets.

• VT (Vanguard Total World Stock ETF)

  • Expense Ratio: 0.06%
  • Assets Under Management: $58.4 billion
  • Holdings: Nearly 10,000 securities
  • Focus: All-cap global stocks, including emerging markets (FTSE Global All Cap)
  • Top Holding: Apple (~3.9%)
  • Performance: YTD 2026: 2.75%; 1-Year: 22.43%

• ACWI (iShares MSCI ACWI ETF)

  • Expense Ratio: 0.32%
  • Assets Under Management: ~$26 billion
  • Holdings: ~2,500 securities
  • Focus: Global stocks, including emerging markets (MSCI ACWI)
  • Top Holding: Apple (~4.0%)
  • Performance: YTD 2026: 2.43%; 1-Year: ~21%

Thus, URTH positions itself as a focused developed-markets vehicle, excluding emerging markets. Its expense ratio sits above that of VT but below the ACWI.

Forward Outlook and Key Catalysts

Rebalancing, Earnings, and Currency Effects

The MSCI World Index undergoes quarterly reviews. The upcoming rebalancing in February 2026 may lead to noticeable adjustments, particularly given the powerful rally in semiconductor stocks. Weighting caps could trigger reallocations, especially for high-flying positions like NVIDIA.

The ongoing Q4 2025 earnings season is crucial for URTH. With a P/E ratio around 25, the fund is sensitive to earnings surprises—both positive and negative—from its major tech holdings. Any signals of weaker-than-expected future AI investment trends would likely have a disproportionate impact on the fund's performance.

The currency environment also plays a role. Approximately 30% of the portfolio is invested in non-U.S. markets. Recent interest rate cuts by the U.S. Federal Reserve have softened the dollar, which generally supports the U.S. dollar-denominated returns of international holdings.

From a chart perspective, URTH is consolidating around the $190 level. Key support zones are seen near the 50-day moving average at approximately $180 and around the previous breakout area near $175.

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Key Fund Data at a Glance

• Full Name: iShares MSCI World ETF
• Ticker: URTH
• Exchange: NYSE Arca
• Benchmark: MSCI World Index (Net)
• Replication Method: Physical (Optimized Sampling)
• Distribution Policy: Semi-Annual
• Expense Ratio: 0.24%
• Inception: January 2012
• Morningstar Rating: 5 Stars (Bronze)