At a glance
KLMN charges 0.09% a year, below the 0.15% average of the 6 funds most like it (the 3rd cheapest of 7). It has $2.46B in assets, the 7th largest of that group; it paid 0.47% of its price in distributions over the past 12 months, quarterly. Its ten largest positions make up 35.1% of the fund, out of 273 in all.
The short version
Invesco MSCI North America Climate ETF (KLMN) is a low-cost index fund. As of May 31, 2026, it held 277 large and midsize US and Canadian companies that MSCI selects for cutting carbon emissions and avoiding coal, tobacco and weapons. Its 0.09% expense ratio is below the 0.15% average of similar ESG funds, although two close rivals charge slightly less. Its record is short, because it launched in December 2024.
Price history
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KLMN — over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| KLMN price data to Oct 27, 2026 | +5.2% | — | — | — | — | — |
- The deepest fall in its price history was 3.2% (Jul 10, 2026 to Jul 29, 2026), recovered by Aug 3, 2026.
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Before this security existed |
Dividends and income
No distribution history is available for this fund.
Distributions through Oct 27, 2026.What's inside
As of Aug 31, 2026, the fund held 273 securities; the ten largest made up 35.07% of assets.
| Holding | Weight | |
|---|---|---|
| NVIDIA Corp. | 7.31% | |
| Apple Inc. | 6.67% | |
| Microsoft Corp. | 5.16% | |
| Amazon.com, Inc. | 3.60% | |
| Alphabet Inc. Class A | 3.14% | |
| Broadcom Inc. | 2.39% | |
| Alphabet Inc. Class C | 1.91% | |
| Meta Platforms, Inc. | 1.82% | |
| Micron Technology, Inc. | 1.58% | |
| Tesla, Inc. | 1.49% | |
| JPMorgan Chase & Co. | 1.40% | |
| Eli Lilly and Co. | 1.34% | |
| Advanced Micro Devices, Inc. | 1.13% | |
| Johnson & Johnson | 1.01% | |
| ExxonMobil Holdings Corp. | 1.00% |
By country
United States 92.22%Canada 4.41%Ireland 2.25%Switzerland 0.22%Curaçao 0.22%By asset type
Stocks 99.93%By sector
Sectors of the companies held, for the 88% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Aug 31, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Aug 31, 2026, investors added a net $167.7M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -0.78%, +0.07%, +2.93%.
How it works
KLMN tracks the MSCI Global Climate 500 North America Selection Index. It puts at least 90% of its total assets into the index's stocks or into depositary receipts, which are certificates that trade in place of foreign shares. The index is a slice of a global index, the MSCI ACWI Select Climate 500 Index, which aims to hold about 500 companies worldwide. KLMN's version keeps only the stocks that are also in the MSCI North America Index, which means large and midsize US and Canadian companies.
MSCI starts by removing companies tied to controversial or nuclear weapons. It also removes companies that earn too much of their revenue from tobacco, thermal coal mining or coal-fired power. Companies with the most severe ESG controversies (a score of 0 on MSCI's 0-to-10 scale) are dropped, and so are companies MSCI can't score. MSCI then builds the portfolio so that its greenhouse gas intensity falls on average by at least 10% a year relative to sales and by 7% relative to company value. This counts direct emissions and emissions from purchased electricity. Companies with science-based emission targets must also carry at least 20% more weight than in the starting universe.
Guardrails keep the fund close to the broad market. Each sector's weight must stay within 3 percentage points of the starting universe, and each country's within 5. As an index fund, KLMN keeps a weak stock unless the index drops it. Portfolio turnover was 6%.
What it really costs
- KLMN charges 0.09% a year, versus an average of 0.15% for the similar funds below (3rd of 7, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $9 in the first year and $116 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| KLMN | $9 | $29 | $51 | $116 |
In a retirement portfolio
It holds a broad, low-cost mix of 277 US and Canadian stocks with sector weights kept near the market's, plus a climate screen.
KLMN could serve as a main stock holding for investors who want a climate screen, but its track record is too short to show how it behaves in a crisis. It launched in December 2024, after the 2008, 2020 and 2022 downturns. The price history available here starts June 9, 2026. In that window, its deepest drop was 3.2%, from July 10 to July 29, 2026, and it had recovered by August 3. That says little about a real bear market. Retirees drawing on it should expect drops as large as the stock market's. Income is small: the yield was 0.47% as of October 27, 2026, paid quarterly. Costs are low. In the SEC's standard example, $10,000 invested costs $116 in expenses over 10 years.
Past results don't predict the future, and a retirement plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors wanting broad US and Canadian large- and mid-cap stocks, with coal, tobacco and weapons screened out, for a 0.09% expense ratio.
- Those comfortable with heavy tech exposure: technology was 36.6%, and NVIDIA, Apple and Microsoft about 19% combined, as of May 31, 2026.
- Long-term holders who value low turnover (6%) and an index built to cut emissions intensity each year while keeping sector weights near the market's.
Look elsewhere if
- Investors who want a long record: the fund launched in December 2024 and has no history through a major bear market.
- Those who need meaningful income: the yield was just 0.47% as of October 27, 2026, paid quarterly.
- Investors who want no oil and gas at all: energy was 3.4% of the fund, including Exxon Mobil at about 1.0%, as of May 31, 2026.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| KLMN this fund | — | 0.09% | $2.46B | — | — |
| USCL iShares Climate Conscious & Transition MSCI… | 80% | 0.08% | $2.87B | +9.2% | +23.1% |
| USCA Xtrackers MSCI USA Climate Action Equity ETF | 80% | 0.07% | $3.52B | +9.2% | +23.2% |
| ESGU iShares ESG Aware MSCI USA ETF | 79% | 0.15% | $18.15B | +11.0% | +21.6% |
| ESGV Vanguard ESG U.S. Stock ETF | 75% | 0.09% | $13.52B | +9.8% | +21.8% |
| SUSA iShares MSCI USA ESG Select ETF | 59% | 0.25% | $4.03B | +14.4% | +24.1% |
| DSI iShares ESG MSCI KLD 400 ETF | 51% | 0.25% | $5.32B | +14.5% | +25.0% |
Questions investors ask
What does KLMN invest in?
KLMN invests in large and midsize US and Canadian companies chosen under MSCI's climate rules. As of May 31, 2026, it held 277 companies, about 95% of them US stocks and about 5% Canadian. Technology was the largest sector at 36.6%. The top holdings were NVIDIA (7.6%), Apple (6.9%), Microsoft (4.7%), Amazon (3.9%) and Alphabet's two share classes (about 6% combined). The top 10 positions made up 37.7% of assets.
Does KLMN pay dividends?
Yes, KLMN pays dividends quarterly. Over the 12 months to October 27, 2026, it paid about $0.15 per share, a yield of 0.47%. The yield is low because the largest holdings are technology companies that pay small dividends or none. The fund is built around climate criteria, not income, so investors who want meaningful cash payouts would need to look to other holdings.
KLMN vs USCL: what's the difference?
They are very similar. About 81% of their holdings overlap, based on the latest N-PORT reports. The iShares Climate Conscious & Transition MSCI USA ETF (USCL) charges 0.08% a year, compared with 0.09% for KLMN. USCL's name points to US stocks only, while KLMN also held Canadian stocks (4.7% as of May 31, 2026). USCL had about $2.87 billion in net assets as of August 31, 2026. Xtrackers' USCA, which also overlaps about 81%, charges 0.07%.
Why does a climate ETF own Exxon Mobil?
Because the index limits how far it can stray from the market. MSCI keeps each sector's weight within 3 percentage points of the starting universe, so energy stays in the portfolio. The rules don't drop whole industries. Instead, they favor companies with lower emissions intensity and science-based reduction targets, and they exclude thermal coal businesses above revenue limits. As of May 31, 2026, energy was 3.4% of the fund and Exxon Mobil about 1.0%.
Is KLMN a good ETF for retirement?
It depends on what the rest of the portfolio needs. KLMN offers broad US and Canadian stocks for a 0.09% expense ratio. In the SEC's standard example, that comes to about $116 in costs over 10 years on $10,000. It has drawbacks, though. Because it launched in December 2024, it has no record through a bear market. Its 0.47% yield (as of October 27, 2026) provides little income. It is also classified as non-diversified and leans heavily toward technology.