The fund tracks a global low-carbon index, selecting large- and mid-cap companies worldwide that show superior carbon emissions efficiency. It builds a portfolio with a risk-return profile similar to the broader market while strengthening environmental responsibility.

It suits value-oriented investors who want to diversify across the global market while favoring companies that contribute to climate change mitigation and carbon emissions reduction.

Launched by iShares in 2014, it is a passively managed (index-tracking) ETF.

Using MSCI's carbon metrics, the fund overweights companies with lower carbon emissions relative to revenue or smaller fossil fuel reserves. It applies adjustment techniques to minimize tracking error against the global market index, aiming for market-average performance while reflecting the low-carbon theme.

• A broad low-carbon portfolio spanning the entire global market
• A balanced strategy of reducing carbon emissions while tracking market performance

Assets under management (AUM) stand at $1.2B, and the expense ratio is 0.20% per year.

Compared with ESGD and ESGE, which fall in the same global ESG category, it has a clearer theme, focusing more on the specific environmental goal of reducing carbon emissions.

As major global companies, including Big Tech, strengthen their carbon neutrality goals, the investment environment remains favorable, and the fund's performance has moved in step with the rally in global equity markets.

Institutional investors responding to carbon emissions regulations and individual investors' preference for eco-friendly assets are converging, and ESG-related capital continues to flow in steadily, underscoring the growing importance of sustainable investing.

It is an efficient tool for diversifying across global markets while reducing climate risk, but applying low-carbon criteria can lead to differences in weightings for certain sectors.

Among those shown in the table, ESGD specializes in ESG companies in developed markets, while ESGE focuses on those in emerging markets. If you are pursuing a similar climate change theme, KLMN, which centers on the North American market, or KLMT, which concentrates on the world's 500 largest companies, are also worth considering. If you want broader ESG screening, you can compare VSGX as well.

Before deciding to invest in CRBN, use the checklist below to confirm the practical effect of the low-carbon screening criteria and the possibility of performance gaps versus the global market.

When environmental policies change or energy prices spike, performance can diverge significantly from the general market index. Investors should approach this ETF from a long-term climate change perspective.

It is an excellent choice for investors who want to enjoy the growth of the global market while putting environmental values into practice. It is a core asset that lets you hold global low-carbon leaders all at once at a low expense ratio.