Amundi MSCI World Health Care UCITS ETF USD Acc

Rolling the dividends straight back in means your money compounds automatically, with nothing for you to reinvest by hand. The flip side is there is no cash income; the growth simply shows up as a higher fund value. Note that reinvested dividends can still be taxable in some countries even though you never receive the cash — the rules depend on where you live.

Rather than hold the shares, the fund signs a swap with a bank that agrees to pay it the index return. This can track some markets very tightly and cheaply, but it adds counterparty risk — the small chance the swap partner cannot pay — which regulated funds limit and back with collateral. It reaches the same index a different way, with a different set of trade-offs to physical funds.

For example, a 0.20% fee works out at €0.20 a year for every €100 invested — that’s a generic illustration of the mechanic, not this fund’s own fee. It is skimmed quietly from inside the fund a little each day, so you never get a bill — but it drags on your return every year you hold. On a broad index ETF it is usually a small fraction of a percent; the gap between a cheap and a pricey fund looks tiny on day one but compounds over decades, which is why it is worth a glance.