Core Insights - The State Street SPDR Portfolio MSCI Global Stock Market ETF (SPGM) and the State Street SPDR MSCI ACWI Climate Paris Aligned ETF (NZAC) represent two distinct approaches to global equity investing, with SPGM focusing on a broad market and NZAC emphasizing climate alignment [1] Cost & Size Comparison - SPGM has a lower expense ratio of 0.09% compared to NZAC's 0.12% - As of February 4, 2026, SPGM's one-year return is 23.5%, while NZAC's is 17.6% - SPGM has a total asset under management (AUM) of $1.5 billion, significantly larger than NZAC's $182 million [2][3] Performance & Risk Analysis - Over five years, SPGM experienced a maximum drawdown of -23.7%, while NZAC had a lower drawdown of -18.01% - An investment of $1,000 would have grown to $1,553 in SPGM and $1,452 in NZAC over the same period [4] Portfolio Composition - NZAC tracks an index aligned with the Paris Agreement, focusing on large- and mid-cap stocks with a total of 688 holdings, with a sector mix of 32.42% in information technology, 17.3% in financials, and 11% in industrials [5] - SPGM holds over 2,900 stocks, with a sector allocation of 24.5% in technology, 17% in financial services, and 13% in industrials, closely mirroring the global equity market [6] Investment Implications - The primary differentiator between SPGM and NZAC is NZAC's focus on environmental, social, and governance (ESG) investing, appealing to investors prioritizing sustainability [7] - While ESG investing is popular, it faces criticism regarding issues like greenwashing and higher management costs, as reflected in NZAC's higher expense ratio [8]

Core Insights - The article compares two ETFs: the State Street SPDR MSCI ACWI Climate Paris Aligned ETF (NZAC) and the iShares Core MSCI Emerging Markets ETF (IEMG), highlighting their differing approaches to global equity exposure and climate alignment [2][9]. Cost & Size Comparison - NZAC has an expense ratio of 0.12% and assets under management (AUM) of $177.97 million, while IEMG has a lower expense ratio of 0.09% and significantly larger AUM of $137.65 billion [3][4]. - The one-year return for NZAC is 15.54%, compared to IEMG's 37.83%, and the dividend yield for NZAC is 1.89%, while IEMG offers 2.51% [3][4]. Performance & Risk Metrics - Over five years, NZAC has a maximum drawdown of -28.29%, while IEMG has a higher drawdown of -37.16%. The growth of $1,000 over five years is $1,440 for NZAC and $1,073 for IEMG [5]. Holdings and Sector Exposure - IEMG holds 2,707 emerging-market stocks, primarily in the tech sector (23%), followed by financials (16%) and industrials (12%), with major holdings including Taiwan Semiconductor Manufacturing, Samsung Electronics, and Tencent Holdings [6]. - NZAC targets companies that meet climate-aligned criteria, holding 729 stocks with a significant focus on technology (32%), financial services (16%), and industrials (10%). Key holdings include Nvidia, Apple, and Microsoft [7]. Investor Implications - IEMG demonstrates superior performance across various metrics compared to NZAC, but NZAC's focus on sustainability may appeal to investors as global climate initiatives progress [9]. - NZAC's lower international exposure may be advantageous for U.S. investors who prefer less volatility associated with foreign assets [10][11].

Core Insights - The article compares two ETFs: the State Street SPDR MSCI ACWI Climate Paris Aligned ETF (NZAC) and the iShares Core MSCI EAFE ETF (IEFA), highlighting their unique investment opportunities for foreign exposure and climate-conscious investing [2][9]. Cost & Size Comparison - NZAC has an expense ratio of 0.12% and AUM of $182.12 million, while IEFA has a lower expense ratio of 0.07% and AUM of $171.77 billion [3][4]. - The one-year return for NZAC is 15.11%, compared to IEFA's 28.70%, and the dividend yield for NZAC is 1.88%, while IEFA offers a higher yield of 3.32% [3][4]. Performance & Risk Analysis - Over five years, NZAC has a max drawdown of -28.29% and has grown $1,000 to $1,499, while IEFA has a max drawdown of -30.41% and has grown $1,000 to $1,353 [5]. Holdings Overview - IEFA focuses on developed markets outside the U.S. and Canada, with 2,589 holdings, primarily in financial services (22%), industrials (20%), and healthcare (11%) [6]. - NZAC targets climate-aligned companies with 729 stocks, heavily weighted in technology (32%), followed by financial services (16%) and industrials (10%) [7]. Investment Implications - Investors must choose between a more American-focused ETF (NZAC) or a more international exposure (IEFA), with NZAC showing stronger long-term performance over five years despite lower one-year returns [9][10]. - NZAC includes international companies in its holdings, providing some level of global exposure, while IEFA's performance may be influenced by foreign market volatility [10][11].