DSI ETF Overview — Returns, Expense Ratio, Holdings & Alternative ETFs
The iShares ESG MSCI KLD 400 ETF (DSI) tracks the MSCI KLD 400 Social Index, holds a portfolio concentrated in U.S. large-cap stocks that have passed screening for controversial business activities, and serves as a useful reference for investors interested in the outlook of ESG-related equities.
SubscribeWhat is the iShares ESG MSCI KLD 400 ETF?
It is an ETF that tracks the MSCI KLD 400 Social Index to deliver diversified exposure across U.S. companies with high ESG ratings. Controversial business lines (tobacco, weapons, gambling, etc.) are excluded through broad screening.
It is well suited for long-term investors who want diversified exposure to U.S. large-cap stocks while incorporating ESG criteria.
The fund is managed by iShares using a passive (index-tracking) approach.
How does the iShares ESG MSCI KLD 400 ETF invest?
| Item | Details |
|---|---|
| Tracked Index | MSCI KLD 400 Social Index |
| Management Style | Passive (index tracking) |
| Rebalancing Frequency | Semi-annually |
| Dividend Schedule | Quarterly |
| Total Expense Ratio | 0.25% |
Constituents are weighted by market capitalization from among U.S. listed companies with strong ESG ratings, while controversial business areas such as tobacco, weapons, gambling, and fossil fuels are excluded through screening. The heavy large-cap weighting tends to produce performance broadly in line with the general market index.
- Broad screening applied to controversial business areas
- ESG core portfolio anchored in large-cap stocks
Size and Cost of the iShares ESG MSCI KLD 400 ETF (AUM & Expense Ratio)
Assets under management (AUM) stand at $5.5B, and the total expense ratio is 0.25% annually.
Compared with peer ESG core ETFs such as ESGU and ESGV, the fund differs in both screening methodology and expense level.
Performance and Fund Flows of the iShares ESG MSCI KLD 400 ETF
1-Year Price Performance
Dividend & Yield
52-Week Price RangeWith a portfolio concentrated in U.S. large-cap stocks, the fund tends to mirror broader market trends, while also showing volatility driven by ESG-themed fund flows and the interest-rate environment. The heavy weighting in large-cap technology names means the fund moves alongside shifts in that sector.
Sustained investor interest in ESG has produced repeated inflows and outflows, and the fund is also affected by shifts in overall market risk appetite.
Strengths and Weaknesses of the iShares ESG MSCI KLD 400 ETF
Broad diversification through ESG screening is a key strength, while a relatively modest expense-ratio advantage versus the general market index is a notable weakness.
💪 Key Strengths
⚠️ Points to Watch
Alternative ETFs and Related Products for the iShares ESG MSCI KLD 400 ETF
Within the same ESG core category, the comparison universe shown in the table includes ESGU, ESGV, and SUSA, each differing in screening methodology and expense level. Additional options worth reviewing are ESML, which extends ESG screening to small-cap names, and USCA, which specializes in climate-focused strategies.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 ESGU | iShares Trust iShares ESG Aware MSCI USA ETF | $168.37 | -0.5% | $18.3B | 0.15% | 0.92% | +12.0% |
 ESGV | Vanguard ESG U.S. Stock ETF | $135.53 | -0.5% | $13.4B | 0.09% | 0.88% | +10.8% |
 SUSA | iShares ESG Optimized MSCI USA ETF | $158.12 | -0.3% | $4.1B | 0.25% | 0.82% | +13.3% |
 USCA | Xtrackers MSCI USA Climate Action Equity ETF | $45.62 | -0.5% | $3.5B | 0.07% | 1.04% | +7.7% |
 USCL | iShares Climate Conscious & Transition MSCI USA ETF | $86.68 | -0.5% | $2.8B | 0.08% | 1.04% | +7.7% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
| NVDA | NVIDIA Corp | 0.28% | $213.66 | -0.8% | $5.15T | 27.0 | 0.37% |
| MSFT | Microsoft Corp | 0.18% | $530.14 | -0.2% | $3.94T | 27.7 | 0.74% |
| GOOGL | Alphabet Inc | 0.17% | $283.82 | -12.6% | $3.45T | 14.8 | 0.31% |
| GOOG | Alphabet Inc | 0.06% | $282.32 | -12.3% | $3.47T | 14.7 | 0.31% |
| TSLA | Tesla Inc | 0.06% | $403.30 | -0.2% | $1.59T | 443.6 | - |
Investor Checklist for the iShares ESG MSCI KLD 400 ETF
Key items to review before investing in DSI. Although it is an ESG core allocation, screening criteria, large-cap concentration, and expense competitiveness versus peer ETFs should all be checked in advance.
| Checkpoint | What to Verify | Current Status |
|---|---|---|
| 💵 Expense Ratio | Level versus peer ESG ETFs | Competitive level |
| 🌱 ESG Screening | Criteria for excluding controversial businesses | Broad screening applied |
| 📊 Top-Holding Concentration | Trend in big-tech weighting | Heavy large-cap weighting |
| 💱 FX | Impact on KRW-converted returns | No currency hedging |
Large-cap concentration and the possibility of ESG methodology changes are the main drivers of short-term volatility and portfolio turnover. Even an ESG core allocation can experience sharp short-term losses during sharp market selloffs.
It is a standard choice for a U.S. large-cap core allocation that incorporates ESG criteria. For investors who prioritize expense levels, ESGV is a better fit; for those who want screening extended to small caps, ESML is the more suitable option.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
This article reflects information as of July 2, 2026.
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