Does Your ETF Portfolio Reflect Your Goals? A Look at the SPDR Global Stock Market ETF vs. the Climate Paris Aligned ETF.
State Street SPDR Portfolio MSCI Global Stock Market ETF (NYSEMKT:SPGM) offers a broad-market core at a lower cost, while State Street SPDR MSCI ACWI Climate Paris Aligned ETF (NASDAQ:NZAC) provides a specialized, ESG-screened global exposure.
Both funds come from the State Street stable but address different investor philosophies. While the State Street SPDR Portfolio MSCI Global Stock Market ETF provides a traditional, low-cost core for global equity exposure, the State Street SPDR MSCI ACWI Climate Paris Aligned ETF overlays a specific climate-conscious framework. This match-up compares a broad, all-cap global strategy against a portfolio specifically reweighted to meet the carbon-reduction goals of the Paris Agreement, providing two distinct ways to own the world market.
Snapshot (cost & size)
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
The State Street SPDR Portfolio MSCI Global Stock Market ETF is the more affordable choice with a 0.09% expense ratio. While the climate-focused fund offers a higher 2.1% trailing yield, investors may find the larger liquidity and size of the global stock market fund more appealing for core portfolio allocation.
Performance & risk comparison
What’s inside
State Street SPDR Portfolio MSCI Global Stock Market ETF tracks a broad global index, holding 2,928 stocks across developed and emerging markets. Its largest positions include Nvidia at 4.26%, Apple at 4.2%, and Microsoft at 2.48%. Sector weights lean toward technology at 28.7%, financial services at 17.23%, and industrials at 12.12%. The fund provides exposure across the entire range of market capitalizations to help lessen country-specific investment risks. Launched in 2012, the fund has paid $1.54 per share over the trailing 12 months, which on its recent ~$84.28 share price works out to a 1.8% yield.
The State Street SPDR MSCI ACWI Climate Paris Aligned ETF uses an environmental, social, and governance (ESG) screen to select its 629 holdings, focusing specifically on climate transition risks and opportunities. Its largest positions include Nvidia at 5.96%, Apple at 5.3%, and Microsoft at 3.15%. The portfolio is weighted toward technology at 34.9%, financial services at 17.5%, and industrials at 9.36%, with 10% of its holdings in cash or other assets. This strategy aims to satisfy the minimum standards of the EU Paris Aligned Benchmark. Launched in 2014, the fund has paid $0.94 per share over the trailing 12 months, which on its recent ~$45.24 share price works out to a 2.1% yield.
