The best Climate Change ETFs

How to invest in climate-friendly companies using ETFs

0.12% p.a. - 0.65% p.a.
annual total expense ratio (TER) of climate change ETFs
on climate-friendly companies, which are tracked by ETFs
on climate-friendly companies
The best indices for climate change ETFs

How do I invest in climate-friendly stocks?

The Paris Agreement on Climate Change and, before that, the Kyoto Protocol were important steps to avoid climate change. The agreement states that the global temperature should not rise by more than 1.5 degrees Celsius above pre-industrial levels. To achieve this aim, the use of fossil fuels has to be severely restricted and all other resources must be managed sustainably. This is also a responsibility of companies.

Index providers can evaluate how well companies are doing in this respect. Accordingly, companies with a favourable ecological footprint are given greater weights in climate-friendly indices. Usually, these indices are less strict than many other sustainable indices, in which the index providers also take social and governance criteria into account. Nevertheless, climate change indices and ETFs are in great demand as investments by major investors such as sovereign wealth funds, insurance companies or pension funds.

This investment guide on climate change will help you to select the best ETFs tracking climate-friendly indices. Currently, there are 18 indices which are tracked by ETFs.
 

Low Carbon 100 Europe performance

1 month: 3.67%
1 year: 36.98%
3 years: 17.20%
 

Climate Change ETFs in comparison

The most important factors at a glance

When choosing a climate change ETF one should consider several other factors in addition to the methodology of the underlying index and performance of an ETF. For better comparison, you will find a list of all climate change ETFs with details on size, cost, age, income, domicile and replication method ranked by fund size.

Compare all climate change ETFs in detail
Compare all climate change ETFs in a chart

Provider
ISIN
  Fund size
in m CHF
TER
in %
Use of profits Fund domicile Replication method
BNP Paribas Easy Low Carbon 100 Europe UCITS ETFLU1377382368 901 0.30% p.a. Accumulating Luxembourg Full replication
Lyxor S&P Eurozone Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - AccLU2195226068 689 0.20% p.a. Accumulating Luxembourg Full replication
Lyxor MSCI World Climate Change (DR) UCITS ETF - AccLU2056739464 146 0.20% p.a. Accumulating Luxembourg Full replication
Lyxor MSCI USA Climate Change UCITS ETF - AccLU2055175025 64 0.15% p.a. Accumulating Luxembourg Unfunded swap
Lyxor MSCI EM Climate Change UCITS ETF - AccLU2056738144 61 0.25% p.a. Accumulating Luxembourg Unfunded swap
Lyxor S&P Global Developed Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - AccLU2198882362 56 0.20% p.a. Accumulating Luxembourg Full replication
Lyxor S&P 500 Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - AccLU2198883410 42 0.20% p.a. Accumulating Luxembourg Full replication
HANetf iClima Global Decarbonisation Enablers UCITS ETFIE00BNC1F287 39 0.65% p.a. Accumulating Ireland Full replication
UBS ETF (IE) UBS Climate Aware Global Developed Equity CTB UCITS ETF (USD) A-accIE00BN4PXC48 32 0.19% p.a. Accumulating Ireland Full replication
Franklin S&P 500 Paris Aligned Climate UCITS ETFIE00BMDPBZ72 30 0.15% p.a. Accumulating Ireland Full replication
JPMorgan Carbon Transition Global Equity UCITS ETF USD (acc)IE00BMDWYZ92 29 0.19% p.a. Accumulating Ireland Full replication
UBS ETF (IE) MSCI Japan Climate Paris Aligned UCITS ETF (JPY) A-accIE00BN4Q0X77 15 0.20% p.a. Accumulating Ireland Full replication
UBS ETF (IE) MSCI World Climate Paris Aligned UCITS ETF (USD) A-accIE00BN4Q0370 12 0.20% p.a. Accumulating Ireland Full replication
UBS ETF (IE) MSCI Europe Climate Paris Aligned UCITS ETF (EUR) A-accIE00BN4Q0933 9 0.18% p.a. Accumulating Ireland Full replication
Franklin STOXX Europe 600 Paris Aligned Climate UCITS ETFIE00BMDPBY65 7 0.15% p.a. Accumulating Ireland Full replication
UBS ETF (IE) MSCI USA Climate Paris Aligned UCITS ETF (USD) A-accIE00BN4Q0602 5 0.12% p.a. Accumulating Ireland Full replication
UBS ETF (IE) MSCI EMU Climate Paris Aligned UCITS ETF (EUR) A-accIE00BN4Q0L55 5 0.18% p.a. Accumulating Ireland Full replication
Lyxor S&P Europe Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - AccLU2198884491 5 0.20% p.a. Accumulating Luxembourg Full replication
Lyxor MSCI Europe Climate Change (DR) UCITS ETF - AccLU2056738490 4 0.15% p.a. Accumulating Luxembourg Full replication

Source: justETF.com; As of 21/04/2021

 

Return comparison of all climate change ETFs

The table shows the returns of all climate change ETFs in comparison. All return figures are including dividends as of month end. Besides the return the reference date on which you conduct the comparison is important. In order to find the best ETFs, you can also perform a chart comparison.

ETF   1 month
in %
3 months
in %
6 months
in %
1 year
in %
3 years
in %
Lyxor MSCI USA Climate Change UCITS ETF - Acc 7.73% 12.36% 21.54% 57.01% -
Lyxor MSCI EM Climate Change UCITS ETF - Acc 2.40% 9.21% 26.05% 53.27% -
BNP Paribas Easy Low Carbon 100 Europe UCITS ETF 6.82% 7.47% 16.01% 36.97% 20.41%
Franklin S&P 500 Paris Aligned Climate UCITS ETF 8.82% 13.71% 21.67% - -
Franklin STOXX Europe 600 Paris Aligned Climate UCITS ETF 7.62% 9.57% 18.65% - -
HANetf iClima Global Decarbonisation Enablers UCITS ETF 4.02% 11.50% - - -
JPMorgan Carbon Transition Global Equity UCITS ETF USD (acc) 8.62% 13.21% - - -
Lyxor MSCI Europe Climate Change (DR) UCITS ETF - Acc 7.28% 10.03% 21.53% - -
Lyxor MSCI World Climate Change (DR) UCITS ETF - Acc 7.26% 11.71% 21.47% - -
Lyxor S&P 500 Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - Acc 8.75% 13.59% 21.52% - -
Lyxor S&P Europe Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - Acc 7.54% 9.52% 19.42% - -
Lyxor S&P Eurozone Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - Acc 8.17% 12.44% 25.62% - -
Lyxor S&P Global Developed Paris-Aligned Climate (EU PAB) (DR) UCITS ETF - Acc 7.79% 11.73% 20.34% - -
UBS ETF (IE) MSCI EMU Climate Paris Aligned UCITS ETF (EUR) A-acc - - - - -
UBS ETF (IE) MSCI Europe Climate Paris Aligned UCITS ETF (EUR) A-acc - - - - -
UBS ETF (IE) MSCI Japan Climate Paris Aligned UCITS ETF (JPY) A-acc - - - - -
UBS ETF (IE) MSCI USA Climate Paris Aligned UCITS ETF (USD) A-acc - - - - -
UBS ETF (IE) MSCI World Climate Paris Aligned UCITS ETF (USD) A-acc - - - - -
UBS ETF (IE) UBS Climate Aware Global Developed Equity CTB UCITS ETF (USD) A-acc 8.28% - - - -

Source: justETF.com; As of 31/03/2021; Calculations in CHF including dividends