IQSZ vs KLMT

IQSZBInvesco Global Equity Net Zero ETF

KLMTAInvesco MSCI Global Climate 500 ETF

In short

IQSZ Active net-zero investing priced like an index fund: 0.19% for a global, roughly 500-stock portfolio where a quant process weighs momentum, quality and value alongside a company's emissions plans.

KLMT A climate fund that behaves like a core global index fund: roughly 500 developed and emerging market stocks, full replication, and a 0.10% fee that undercuts most of the thematic aisle.

Stated mandate

IQSZ Seeks long-term total return. It actively invests at least 80% of assets in equity securities of companies judged to support the transition to a net-zero economy through current or planned greenhouse-gas reductions, primarily among large- and mid-cap companies in developed and emerging markets.

KLMT The Fund seeks to track the investment results of the MSCI ACWI Select Climate 500 Index before fees and expenses, using full replication of the index.

Why people hold it

• IQSZ 0.19% expense ratio against a peer-group median near 0.56%. Active management, index-fund pricing.
• Roughly 500 large- and mid-cap names across developed and emerging markets, so the climate tilt rides on a broad base rather than a handful of pure plays.
• At least 80% of assets go to companies judged to be cutting greenhouse gases now or under a stated plan, run through a momentum, quality and value quant screen.

• KLMT Costs 0.10% a year, a fraction of the typical global thematic fund and cheaper than the other top-rated climate names in its group, including LCTD and IQSZ.
• Holds about 500 names across developed and emerging markets, so it reads like a broad global equity sleeve with a climate screen rather than a narrow theme bet.invesco.com
• Buys the MSCI ACWI Select Climate 500 Index outright instead of sampling it, and has stayed tight to that index. One of the cleaner implementations in its peer group.invesco.com
• Pays out quarterly, the standard rhythm for a broad global stock index fund.

Worth knowing

• IQSZ Launched in 2025 and thinly traded, so spreads can run wider than in a mega-fund and there is little history to judge the process on.
• Net-zero alignment is a manager judgment that counts planned cuts, so the book can look closer to a broad global fund than a clean-energy basket.
• Emerging-market holdings add currency moves and local political risk to the mix.

• KLMT Thinly traded for its size. Limit orders and a glance at the spread matter more here than with a mega-cap index fund.
• Launched in 2024, so the live track record is short and there is not yet a full-cycle history to judge it on.
• The climate screens reshape the global benchmark, so weights and sector mix will drift from a plain vanilla all-country index.invesco.com

Full IQSZ profile⁠

Full KLMT profile⁠