SPDR MSCI ACWI Climate Paris Aligned ETF

SPDR MSCI ACWI Climate Paris Aligned ETF (NZAC), from State Street, tracks the MSCI ACWI Climate Paris Aligned Index. That index holds large and mid-size companies in developed and emerging markets after screening out tobacco, controversial weapons and companies with significant fossil-fuel revenue. It charges 0.12% a year, and as of October 27, 2026, its one- and three-year returns trailed broad US index funds that share about half its holdings.

• Over the year to Oct 27, 2026, NZAC returned +8.5%, 9th of 9 among similar funds.
• Its worst full calendar year was 2024 (+16.7%); its best was 2023 (+23.2%).
• The deepest fall in its price history was 19.1% (Apr 25, 2022 to Oct 12, 2022), recovered by Jun 2, 2023.

As of Jun 30, 2026, the fund held 632 securities; the ten largest made up 26.63% of assets, and 2.5% sat in cash and money-market holdings.

By sector

• Over the three months to Jun 30, 2026, investors added a net $4.2M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +10.77%, +4.65%, -1.39%.

The fund tracks the MSCI ACWI Climate Paris Aligned Index. That index starts from the MSCI ACWI Index, which covers large and mid-size companies across developed and emerging markets. It is built to beat the minimum standards for a "Paris-Aligned Benchmark" under European Union rules. That label is for indexes designed to fit the Paris Agreement goal of limiting global warming to well below 2 degrees Celsius, and preferably to 1.5 degrees.

MSCI first removes certain companies. These include makers of controversial or nuclear weapons and of civilian firearms, tobacco producers, and companies earning 1% or more of revenue from thermal coal mining. Companies earning 10% or more from oil and gas, or 50% or more from coal-, oil- or gas-fired power, are also removed, as are companies with the worst MSCI controversy scores. From what remains, the index tries to limit exposure to climate risks and favor companies better placed to benefit from a shift to a lower-carbon economy. Climate risks here mean physical damage and the costs of moving away from carbon.

The fund's adviser, SSGA Funds Management, uses sampling. That means it may hold a representative subset of the index rather than every stock. It must keep at least 80% of assets in index securities, and it may use futures contracts to manage cash. As of June 30, 2026, it held 632 issuers. The prospectus reports 12% portfolio turnover.

• NZAC charges 0.12% a year, versus an average of 0.08% for the similar funds below (7th of 9, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $12 in the first year and $154 over 10 years (assuming a 5% annual return).

It spreads money across about 630 large and mid-size companies in developed and emerging markets, so it can serve as a broad stock allocation with climate screens.

NZAC could provide global stock exposure with a climate filter for 0.12% a year. Under the SEC's standard example, that comes to $154 over 10 years on $10,000. It behaves like a stock fund. Its prospectus shows a 19.57% loss in 2022, its worst calendar year since 2016, and a 21.04% drop in the first quarter of 2020. The fund launched in 2014, so it has no record from 2008. Since April 2022, its deepest price decline was 19.1%, from April 25 to October 12, 2022, and it did not recover until June 2, 2023. Someone forced to sell shares during a slump like that would lock in losses. The trailing yield was 2.05% as of October 27, 2026, paid twice a year. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.