The iShares IXUS offers low-cost international diversification, while State Street’s NZAC targets climate-aligned global equities including U.S. stocks.
The iShares Core MSCI Total International Stock ETF (IXUS) and the SPDR MSCI ACWI Climate Paris Aligned ETF (NZAC) provide distinct approaches to global equity investing. IXUS, with a 0.07% expense ratio, focuses on ex-U.S. developed and emerging markets, while NZAC includes U.S. equities and screens for climate-aligned performance.
NZAC tracks the MSCI ACWI Climate Paris Aligned Index, holding 629 stocks, and reflects a tech-heavy, lower-dividend strategy. IXUS, by contrast, offers broader international exposure with a higher trailing-12-month dividend yield. Both funds differ in risk profiles, with beta measured against the S&P 500 over five years.
Investors face a trade-off between IXUS’s cost efficiency and NZAC’s thematic focus, which may appeal to those prioritizing environmental criteria alongside global diversification.