Top 10 ESG ETFs

Q: What is an ESG ETF?

An ESG ETF tracks companies screened for environmental, social, and governance practices. It follows an index that applies ESG ratings, exclusions, or best-in-class rules so investors can align with sustainable investing in a diversified way.

Q: How do ESG screens work?

ESG screens include or exclude companies based on issues like carbon footprint, labor standards, and board independence. Index providers score firms and then weight or remove names that miss the threshold to tilt the portfolio toward better profiles.

Q: What is the difference between ESG, SRI, and impact?

ESG focuses on risk management and governance, SRI uses values-based exclusions, and impact investing targets measurable outcomes such as clean energy or social equity. Each approach uses different rules and goals.

Q: What is carbon intensity or a climate score?

Carbon intensity measures emissions relative to company size, often tons of CO₂e per revenue. Providers roll company scores into a fund-level metric so climate-focused investors can compare low-carbon ETFs.

Q: What are controversy scores?

Controversy scores flag events like privacy breaches, product safety issues, or environmental incidents. Index providers monitor headlines and adjust scores or exclusions at reconstitution.

Q: How can I spot greenwashing?

Review the index methodology, sector weights, holdings overlap with a plain market index, and stewardship reports on proxy voting and engagement. Clear, transparent rules reduce the risk of buying a label instead of a real ESG tilt.

Q: What fees and costs matter for ESG ETFs?

Key costs include expense ratio, bid-ask spread, and tracking difference versus the benchmark. Check fact sheets and historical returns; low-cost ESG index funds tend to compound better over time.

Q: Do ESG ETFs pay dividends and are they tax efficient?

Yes. ESG ETFs pass through dividends from their holdings and use an ETF structure that can be tax efficient. Review distribution history and capital gains reports on the fund’s website.

Q: Will an ESG fund underweight energy and other sectors?

Many ESG and fossil-fuel-free funds have smaller weights in traditional energy and sometimes materials because of exclusions and scoring. This tilt can help or hurt performance depending on the cycle.

Q: How do I use ESG ETFs in a portfolio?

Use a broad ESG index fund as a core replacement or add a low-carbon or social impact sleeve alongside a total market ETF. This maintains diversification while aligning with values and long-term goals.

Risk Level: 🟡 Moderate — ESG equity ETFs track broad markets but can move with screening changes, index shifts, and market sentiment.

Invest in a Cleaner, Smarter Future with These ESG Leaders. To see every theme and asset class we track in one place, visit our Top 10 Rankings hub.

Jump to: How to Use · FAQ

Why ESG ETFs Belong in Every Investor’s Portfolio

Explore Impartoo’s curated picks for 2026’s most relevant ESG ETFs. These funds offer exposure to companies that meet environmental, social, and governance criteria, without sacrificing performance, scale, or accessibility. ESG ETFs allow investors to align their money with their values. Whether you’re focused on sustainability, corporate ethics, or climate impact, ESG funds offer a convenient way to gain broad-market exposure while supporting positive change. As ESG investing matures, many of these ETFs have grown in AUM, improved in cost-efficiency, and closely track core benchmarks, making them viable for both long-term investors and tactical allocators. To compare sustainable investing with broader strategies, also review Top 10 Value ETFs and Top 10 Clean Energy ETFs. Many investors choose ESG funds because they want their money to better reflect their values. Behavioral data shows that ESG investors tend to hold positions longer and react less emotionally to short-term noise, which helps support long-term discipline. This makes ESG funds a helpful choice for people who care about both performance and purpose. ESG ETFs follow clear rules about what qualifies as “environmental,” “social,” or “governance” aligned, and these rules help remove confusion for everyday investors. Many of these standards are shaped by third-party research groups and are reviewed through regulators and industry bodies that oversee how funds are presented to the public. For additional background on how investment products are regulated and what protections apply to retail investors, you can also reference FINRA’s investor education resources, which offer plain-English explanations without promoting specific funds.

The Top 10 ESG ETFs for 2026

Updated: November 25, 2025

Core (Top 5)

ESGU
ESGV
ESGD
DSI
EFIV

Balanced (4)

ESGE
VSGX
SUSA
SUSL

High-risk (1)

ESML

Color labels indicate investor fit: Core = broad, diversified ESG exposure that works as a long-term portfolio anchor, Balanced = selective or global ESG strategies with a bit more movement and growth potential, High-risk = narrower or higher-volatility segments such as small-cap or emerging-market ESG. This list features ESG equity ETFs with meaningful scale, transparent screening methods, and competitive expense ratios. For simplicity and consistency, all funds are ranked by assets under management (AUM) at the time of publication. Investors should always do their own research, consider their personal needs, and consult a qualified professional before making investment decisions.

1. iShares ESG Aware MSCI USA ETF (ESGU)

ESGU is one of the largest and most established ESG equity ETFs in the U.S. market, making it a natural starting point for investors who want broad exposure without overcomplicating things. It tracks the MSCI USA Extended ESG Focus Index, which screens out controversial holdings while keeping the overall portfolio close to the broader U.S. market. Its size, liquidity, and transparent ESG scoring make it a dependable anchor for investors heading into 2026.

Among ESG ETFs, ESGU is widely recognized as a core building block because it balances strong ESG screens with broad market representation. It holds large-cap U.S. stocks across technology, retail, healthcare, and industrials, mirroring the general structure of the U.S. market while applying consistent environmental, social, and governance filters. This combination gives it a stable position within the ESG category and makes it suitable for long-term, diversified portfolios.

ESGU earned its Core placement because it offers broad U.S. equity coverage while applying ESG standards that are easy to understand and widely used across the industry. Its top holdings include well-known leaders such as NVIDIA, Apple, Microsoft, Amazon, and Alphabet, giving investors familiar exposure with an ESG lens. As one of the highest-AUM funds in the category, it also benefits from strong liquidity and low tracking error, two qualities investors often look for in a long-term core allocation.

Growth Catalyst: ESGU’s performance is supported by its emphasis on large, well-established companies that continue to drive U.S. market growth. With strong technology leadership and rising demand for ESG-aligned portfolios, the fund is well-positioned for continued relevance in 2026.

Stat Nugget: ESGU shows solid historical stability, reflected in its 1-year return of 11.83%, 3-year return of 19.39%, and 5-year return of 13.19%, based solely on the snapshot provided.

Explore more: See how diversified core holdings compare in our Top 10 Total Market ETFs.

Metric	Value
Price	$146.23
YTD Return	+13.51%
Expense Ratio	0.15%
Issuer	BlackRock (iShares)
Index Tracked	MSCI USA Extended ESG Focus Index
AUM	$14.65B
Dividend Yield	0.97%
Structure	ETF

ESGU was selected for this list because it combines broad U.S. equity coverage, meaningful ESG screening, and large-scale adoption among investors. The fund’s index methodology balances exclusions with diversification, making it easier for long-term investors to hold without worrying about extreme sector concentration. The selection focuses on investor benefits such as consistency, transparency, and alignment with widely accepted ESG scoring systems.

ESGU works best for investors who want simple, diversified U.S. exposure with ESG considerations built in, making it an easy long-term core position heading into 2026.

Price: $146.23

YTD Return: +13.51%

Expense Ratio: 0.15%

2. Vanguard ESG U.S. Stock ETF (ESGV)

ESGV is Vanguard’s flagship U.S. ESG equity ETF and one of the most dependable long-term building blocks for investors who want broad market exposure with ESG screens layered in. It tracks the FTSE US All Cap Choice Index, which removes companies involved in controversial activities while keeping a familiar mix of large-, mid-, and small-cap stocks. With more than a thousand holdings and a low expense ratio, ESGV gives investors a simple, diversified, and cost-effective way to incorporate ESG principles into a core portfolio heading into 2026.

Among ESG funds, ESGV stands out for its combination of low fees, broad diversification, and market-cap-weighted structure. It holds a similar mix of U.S. sectors as major index funds, with technology, finance, retail, and healthcare making up most of the portfolio. Its large asset base and rules-based screening give it a stable place in ESG investing for people who prefer a straightforward, all-cap approach.

ESGV earned its Core placement because it offers one of the cleanest and simplest ways to invest in the entire U.S. stock market with ESG considerations built in. Its low 0.09% expense ratio makes it one of the cheapest ESG options available, and its holdings include reliable leaders such as NVIDIA, Apple, Microsoft, Amazon, and Alphabet. Investors who want a passive, diversified position without giving up the structure of a broad market fund often choose ESGV as their long-term ESG anchor.

Growth Catalyst: ESGV benefits from steady demand for low-cost ESG funds, and its broad technology and consumer exposure positions it well for continued U.S. market growth into 2026.

Stat Nugget: ESGV shows consistently strong performance trends, with a 3-year return of 20.64%, a 5-year return of 13.03%, and a 1-year return of 11.71%, based strictly on your snapshot.

Metric	Value
Price	$118.37
YTD Return	+12.85
Expense Ratio	0.09%
Issuer	Vanguard
Index Tracked	FTSE US All Cap Choice Index
AUM	$11.34B
Dividend Yield	0.93%
Structure	ETF

ESGV was selected for its low costs, wide diversification, and transparent ESG exclusions. The methodology focuses on screening out harmful business activities while keeping the index easy for long-term investors to hold. The fund’s large number of holdings and market-cap weighting reduce concentration risk, making it one of the most stable ESG choices for broad U.S. exposure.

ESGV is best suited for investors who want a low-cost, broadly diversified U.S. equity position that applies clear ESG filters without adding complexity.

Price: $118.37

YTD Return: +12.85%

Expense Ratio: 0.09%

3. iShares ESG Aware MSCI EAFE ETF (ESGD)

ESGD gives investors broad developed-market ESG exposure outside the United States, making it an essential partner to a U.S.-focused ESG core position. It tracks the MSCI EAFE Extended ESG Focus Index, which applies environmental, social, and governance screens to companies across Europe, Japan, Australia, and other developed regions. With nearly 400 holdings and strong adoption among long-term investors, ESGD offers a simple and diversified way to add international ESG strength heading into 2026.

Within the ESG category, ESGD stands out as one of the largest and most liquid developed-market ESG ETFs. It provides exposure to major global sectors such as finance, health technology, industrials, producer manufacturing, and consumer goods. Its focus on high-quality companies outside the U.S. makes it an important counterbalance for investors who want global diversification without compromising on consistent ESG standards.

ESGD earned its Core placement because it gives investors diversified developed-market exposure using a clear ESG methodology that avoids controversial business activities. Its top holdings include well-known international leaders such as ASML, Novartis, SAP, AstraZeneca, HSBC, Sony, and Nestlé, offering familiar names across multiple industries. For investors who want a global portfolio aligned with ESG principles, ESGD provides stability, scale, and reliable coverage of major developed economies.

Growth Catalyst: ESGD is positioned to benefit from continued strength in international technology, healthcare, and financial companies, along with growing global demand for ESG-aligned investment strategies.

Stat Nugget: ESGD shows strong historical consistency, with a 1-year return of 19.59%, a 3-year return of 14.62%, and a 5-year return of 8.21%, sourced directly from the snapshot.

Explore more: Compare global diversification options in our Top 10 International Stocks.

Metric	Value
Price	$92.01
YTD Return	+20.84%
Expense Ratio	0.21%
Issuer	BlackRock (iShares)
Index Tracked	MSCI EAFE Extended ESG Focus Index
AUM	$10.34B
Dividend Yield	2.86%
Structure	ETF

ESGD was chosen for this list because it offers a transparent, rules-based ESG screening process applied across major developed markets. Its large asset base, diversified sector mix, and stable index methodology make it a dependable global complement to U.S. ESG holdings. Investors benefit from broad international coverage with screening criteria that remain consistent from year to year.

ESGD is best for investors who want diversified developed-market exposure outside the U.S. while keeping their portfolio aligned with clear and reliable ESG standards.

Price: $92.01

YTD Return: +20.84%

Expense Ratio: 0.21%

4. iShares ESG Aware MSCI EM ETF (ESGE)

ESGE gives investors broad ESG-screened exposure to emerging markets, a region known for higher growth potential and higher volatility. It tracks the MSCI Emerging Markets Extended ESG Focus Index, which applies clear environmental, social, and governance filters across developing economies. With leadership positions in technology, finance, and consumer sectors, ESGE offers a straightforward way to add global growth potential to an ESG-aligned portfolio heading into 2026.

Among emerging-market ESG ETFs, ESGE stands out for its scale, stability, and strong representation of major EM countries. Its holdings include companies from Taiwan, China, South Korea, India, and the Middle East, giving investors diverse regional exposure. The fund leans heavily into technology and financials, two of the most influential sectors in emerging economies. This blend helps ESGE serve as a balanced, moderate-risk ESG option for investors who want exposure beyond developed markets.

ESGE earned its Balanced placement because it offers meaningful growth potential while using ESG screens that help filter out higher-risk corporate behaviors. Its top holdings include Taiwan Semiconductor, Tencent, Samsung Electronics, Alibaba, SK Hynix, and major financial institutions such as China Construction Bank and HDFC Bank. These companies represent core drivers of innovation and consumer demand across emerging markets. ESGE pairs this growth exposure with ESG standards that help reduce extreme concentration or governance-related risks often found in developing economies.

Growth Catalyst: ESGE’s strong technology and financial exposure positions it to benefit from expanding semiconductor demand, rising digital platforms, and increasing consumer spending across emerging markets heading into 2026.

Stat Nugget: ESGE displays notable momentum, with a 30.61% YTD gain, a 15.07% 1-year return, and a 43.50% 3-year return (from the snapshot), highlighting the fund’s potential to capture EM rallies.

Metric	Value
Price	$43.61
YTD Return	+30.61%
Expense Ratio	0.26%
Issuer	BlackRock (iShares)
Index Tracked	MSCI Emerging Markets Extended ESG Focus Index
AUM	$5.41B
Dividend Yield	2.07%
Structure	ETF

ESGE was selected for this list because it brings together ESG screening discipline with the long-term growth characteristics of emerging markets. Its index methodology emphasizes diversification, sector balance, and the avoidance of controversial activities. These qualities make ESGE a suitable middle-risk option for investors who want both international growth and ESG alignment in the same ETF.

ESGE works best for investors who want ESG-aligned emerging-market exposure with balanced growth potential and moderate volatility.

Price: $43.61

YTD Return: +30.61%

Expense Ratio: 0.26%

5. Vanguard ESG International Stock ETF (VSGX)

VSGX gives investors broad ESG-screened exposure to international markets outside the U.S., making it a strong complement to a U.S. ESG core position. It tracks the FTSE Global All Cap ex US Choice Index, which applies clear exclusions while keeping the fund diversified across developed and emerging economies. With thousands of holdings and a low expense ratio, VSGX provides an accessible, diversified way to add global ESG alignment heading into 2026.

VSGX stands out for its high diversification, spanning more than 6,600 stocks across Europe, Asia-Pacific, Canada, and parts of the developing world. Finance, technology, health care, and producer manufacturing make up a large portion of the fund, giving investors a balanced spread across global sectors. With a market-cap-weighted structure and broad reach, VSGX acts as a stable complement to more concentrated international ESG funds.

VSGX earned its Balanced placement because it blends low-cost diversification with ESG screening in a way that captures a wide range of international opportunities. Its top holdings include well-known global names such as Taiwan Semiconductor, ASML, Alibaba, Samsung Electronics, and Roche, giving investors strong exposure to global innovation and large-cap stability. For investors who want simple, all-in-one international diversification without giving up ESG principles, VSGX offers one of the most comprehensive options available.

Growth Catalyst: VSGX is positioned to benefit from growing demand for global technology, increased healthcare spending, and rising consumer demand across developed and emerging regions.

Stat Nugget: VSGX shows consistently strong performance momentum, with a 21.37% 1-year return, 14.90% 3-year return, and 6.89% 5-year return directly from your snapshot.

Explore more: See how Vanguard applies low-cost discipline across themes in our Top 10 Value ETFs breakdown.

Metric	Value
Price	$68.99
YTD Return	+21.68%
Expense Ratio	0.10%
Issuer	Vanguard
Index Tracked	FTSE Global All Cap ex US Choice Index
AUM	$5.23B
Dividend Yield	2.84%
Structure	ETF

VSGX was selected because it offers broad, diversified, market-cap-weighted exposure with ESG screens that help keep the portfolio aligned with responsible investing standards. Its low cost, large holdings base, and wide geographic reach make it a balanced way to gain long-term international exposure while maintaining ESG discipline.

VSGX works best for investors who want diversified ESG-aligned international exposure that balances growth potential with moderate risk.

Price: $70.57

YTD Return: +24.46%

Expense Ratio: 0.10%

6. iShares ESG MSCI KLD 400 ETF (DSI)

DSI is one of the longest-running ESG ETFs in the market, offering broad U.S. equity exposure filtered through the MSCI KLD 400 Social Index. It focuses on companies with strong environmental, social, and governance profiles while removing businesses involved in controversial activities. With more than 400 holdings and a track record stretching back to 2006, DSI remains a durable choice for U.S. investors who want a core ESG building block heading into 2026.

Within the U.S. ESG landscape, DSI stands out for its depth, liquidity, and long operating history. Its portfolio leans toward large-cap growth, with heavy representation in technology services, electronic technology, and finance. DSI’s approach offers cleaner screens than traditional broad-market ETFs while still capturing much of the performance leadership seen in major U.S. sectors. This makes it a practical option for long-term ESG-aligned U.S. exposure.

DSI earned its Core placement because it blends meaningful ESG exclusions with broad U.S. equity diversification and consistent long-term returns. Its top holdings include NVIDIA, Microsoft, Alphabet, Tesla, Visa, Mastercard, AbbVie, Procter & Gamble, and Home Depot, providing a mix of innovation, financial stability, and consumer strength. For investors who want ESG integration without sacrificing market-level exposure, DSI offers a simple and established solution.

Growth Catalyst: DSI is positioned to benefit from continued leadership in U.S. technology and health care, two sectors that drive a large percentage of its portfolio’s performance.

Stat Nugget: DSI shows strong long-term consistency, with a 20.21% 1-year return, a 13.85% 3-year return, and a 14.26% 5-year return sourced directly from the snapshot.

Metric	Value
Price	$126.13
YTD Return	+14.40%
Expense Ratio	0.25%
Issuer	BlackRock (iShares)
Index Tracked	MSCI KLD 400 Social Index
AUM	$4.86B
Dividend Yield	0.91%
Structure	ETF

DSI was selected because it applies transparent ESG screens to the U.S. large-cap market while keeping its holdings diversified enough for core use. Its combination of liquidity, scale, and long-term performance record makes it a dependable option for investors who want ESG alignment built directly into their primary U.S. allocation.

DSI works best for investors who want broad U.S. market exposure with ESG standards baked in, supported by strong long-term performance.

Price: $126.13

YTD Return: +14.40%

Expense Ratio: 0.25%

7. iShares MSCI USA ESG Select ETF (SUSA)

SUSA provides ESG-screened exposure to U.S. large-cap equities using an optimized weighting approach that balances risk, sector representation, and ESG scoring. It tracks the MSCI USA Extended ESG Focus Index, which applies exclusions while still aiming to stay close to the risk–return profile of the broader U.S. market. With nearly 200 holdings and a long operating history, SUSA offers a practical way to add ESG alignment to your U.S. allocation heading into 2026.

SUSA sits in the middle of the U.S. ESG ETF landscape, combining broad market coverage with an optimization process that adjusts weights toward companies with stronger ESG characteristics. Technology, electronic technology, finance, and health care make up a large part of the portfolio, reflecting the leadership of these sectors in the U.S. economy. For investors who want strong ESG integration without drifting too far from standard U.S. large-cap exposure, SUSA delivers a well-balanced approach.

SUSA earned its Balanced placement because it offers a cleaner, more risk-adjusted way to hold ESG-screened U.S. equities with strong long-term return potential. Its top holdings include NVIDIA, Apple, Microsoft, Alphabet, Broadcom, Tesla, Eli Lilly, Mastercard, and Home Depot, giving investors exposure to many of the country’s most influential companies. SUSA’s weighting method helps it avoid major concentration risk while still participating in leading growth sectors.

Growth Catalyst: SUSA is positioned to benefit from continued strength in U.S. technology and health care, two sectors that represent major pillars of its ESG-optimized portfolio heading into 2026.

Stat Nugget: SUSA shows competitive historical results, with a 10.78% 1-year return, 17.97% 3-year return, and 12.51% 5-year return directly from the snapshot.

Explore more: See additional diversified options in our Top 10 Clean Energy ETFs.

Metric	Value
Price	$136.92
YTD Return	+12.61%
Expense Ratio	0.25%
Issuer	BlackRock (iShares)
Index Tracked	MSCI USA Extended ESG Focus Index
AUM	$3.58B
Dividend Yield	0.92%
Structure	ETF

SUSA was selected because it blends ESG optimization with a diversified, large-cap portfolio that mirrors broad market characteristics. Its combination of meaningful ESG screens, balanced sector exposure, and optimized weighting makes it a strong fit for investors who want moderate-risk ESG integration across the U.S. market.

SUSA is well suited for investors who want a balanced U.S. ESG allocation that stays close to the broader market while filtering out lower-quality ESG performers.

Price: $136.92

YTD Return: +12.61%

Expense Ratio: 0.25%

8. iShares ESG Aware MSCI USA Small-Cap ETF (ESML)

ESML gives investors ESG-screened access to U.S. small-cap stocks, a part of the market known for higher growth potential and higher volatility. It tracks the MSCI USA Small Cap Extended ESG Focus Index, which blends small-cap diversification with responsible-investing screens. For investors who want to add ESG alignment to the small-cap segment heading into 2026, ESML offers a focused and transparent way to do it.

As an ESG-filtered small-cap ETF, ESML occupies a more specialized role compared to broader U.S. ESG funds. Its holdings span finance, health technology, technology services, industrial firms, and consumer-related companies, reflecting the diverse makeup of the small-cap universe. Because small-cap stocks respond strongly to economic conditions, ESML tends to show sharper movements than large-cap ESG funds, which is why it sits in the High-risk bucket.

ESML earned its High-risk placement because it brings ESG integration to a part of the market where screening and quality standards matter most. Its top holdings include Sunoco LP, Sandisk, US Foods, Casey’s General Stores, Assurant, TechnipFMC, Coherent, Exact Sciences, and Janus Henderson Group. These companies span essential sectors like distribution, industrial services, finance, and health technology, giving investors a wide range of small-cap opportunities within an ESG-aware framework.

Growth Catalyst: ESML is positioned to benefit from improving economic conditions in 2026, as small-cap stocks often outperform when growth and consumer activity accelerate.

Stat Nugget: ESML shows strong recent results, with a 30.87% YTD gain and a 10.81% 1-year return, directly from your snapshot.

Metric	Value
Price	$45.54
YTD Return	+30.87%
Expense Ratio	0.17%
Issuer	BlackRock (iShares)
Index Tracked	MSCI USA Extended ESG Focus Index
AUM	$1.96B
Dividend Yield	1.19%
Structure	ETF

ESML was selected because it delivers ESG-aligned exposure to a segment of the market known for both opportunity and volatility. Its combination of transparent screens, broad holdings, and small-cap focus makes it a useful satellite position for investors who want to add growth potential and diversification beyond large-cap ESG funds.

ESML is best for investors who want ESG-aligned small-cap exposure and are comfortable with the added volatility that comes with this part of the market.

Price: $45.54

YTD Return: +30.87%

Expense Ratio: 0.17%

9. SPDR S&P 500 ESG ETF (EFIV)

EFIV gives investors ESG-screened exposure to the S&P 500, making it a straightforward way to hold large-cap U.S. equities with responsible-investing principles built in. It tracks the S&P 500 ESG Index, which removes companies involved in controversial business activities while keeping the overall risk and sector mix close to the traditional S&P 500. For investors heading into 2026 who want a simple, low-cost, and ESG-aligned approach to U.S. blue-chip stocks, EFIV offers a clean and dependable option.

EFIV sits at the intersection of broad-market exposure and ESG filtering, aiming to match much of the traditional S&P 500’s performance while avoiding lower-scoring companies. Its portfolio tilts toward sectors driving U.S. market leadership, including electronic technology, technology services, finance, and health care. With more than 300 holdings and a market-cap-weighted design, EFIV provides a stable ESG alternative to standard S&P 500 index funds.

EFIV earned its Core placement because it offers a familiar S&P 500-style portfolio while embedding ESG criteria that promote stronger governance and sustainability profiles. Its top holdings include NVIDIA, Apple, Microsoft, Alphabet (A and C), Meta, Eli Lilly, and Visa, reflecting the companies driving much of the S&P 500’s long-term performance. For investors who want large-cap U.S. exposure with a cleaner ESG framework, EFIV offers a low-fee, high-clarity solution.

Growth Catalyst: EFIV benefits from the continued strength of U.S. technology and health care companies, two areas that carry significant weight in the ESG-screened S&P 500 heading into 2026.

Stat Nugget: EFIV has delivered strong results, including a 13.97% 1-year return, a 21.01% 3-year return, and a 15.32% 5-year return, based entirely on the snapshot.

Explore more: See additional U.S.-focused ESG options in our Top 10 Value ETFs.

Metric	Value
Price	$65.12
YTD Return	+15.30%
Expense Ratio	0.10%
Issuer	State Street (SPDR)
Index Tracked	S&P 500 ESG Index
AUM	$1.14B
Dividend Yield	1.05%
Structure	ETF

EFIV was selected because it blends broad-market access with screening rules that help remove lower-quality ESG performers. Its tight tracking objective, strong sector balance, and recognizable set of holdings make it an easy transition for investors who want an ESG-aligned alternative to the traditional S&P 500.

EFIV is best for investors who want ESG-aligned exposure to U.S. large-cap leaders without straying far from the traditional S&P 500’s performance profile.

Price: $65.12

YTD Return: +15.30%

Expense Ratio: 0.10%

10. iShares ESG MSCI USA Leaders ETF (SUSL)

SUSL gives you ESG-screened exposure to U.S. large-cap “leaders,” focusing on companies with stronger environmental, social, and governance scores. It tracks the MSCI USA Extended ESG Leaders Index, which keeps a broad mix of U.S. stocks while leaning toward higher-rated names. For investors heading into 2026 who want a core U.S. position with an extra emphasis on ESG quality, SUSL offers a straightforward, index-based approach.

Within the U.S. ESG space, SUSL sits between broad ESG funds and more concentrated thematic products. It holds about 270 companies, so it is more focused than a total-market ESG fund but still diversified across many sectors. Technology services, electronic technology, finance, and health care make up a big share of the portfolio, which lines up with the sectors driving much of the U.S. market’s long-term growth. That mix supports its Balanced bucket placement, with less risk than small-cap or niche strategies but more concentration than ultra-broad funds.

SUSL earned its Balanced spot because it tilts toward higher-scoring ESG companies while keeping a large-cap, market-cap-weighted structure that is easy to hold over the long term. Its top holdings include familiar leaders such as NVIDIA, Microsoft, Alphabet (Class A and C), Tesla, Eli Lilly, Visa, and Johnson & Johnson, giving you exposure to innovation, health care breakthroughs, and financial strength. For investors who want a single ETF that reflects both U.S. equity leadership and ESG priorities, SUSL offers a clean, rules-based solution.

Growth Catalyst: SUSL is positioned to benefit from continued earnings growth in U.S. technology and health care, plus steady consumer demand, all within a portfolio that favors companies with stronger ESG practices as we move into 2026.

Stat Nugget: SUSL shows strong intermediate-term results, with a 13.88% 1-year return and a 21.87% 3-year return, and a 15.12% 5-year return based entirely on your snapshot.

Metric	Value
Price	$119.06
YTD Return	+15.55%
Expense Ratio	0.10%
Issuer	BlackRock (iShares)
Index Tracked	MSCI USA Extended ESG Leaders Index
AUM	$990.32M
Dividend Yield	0.98%
Structure	ETF

SUSL was selected for this list because it combines ESG leadership screening with a practical, large-cap portfolio that investors can use as a core U.S. allocation. The index removes weaker ESG names, then emphasizes higher-rated companies while still spreading assets across sectors. This makes SUSL a good fit for investors who want to move beyond a generic ESG label and focus more directly on companies that score well on sustainability and governance metrics.

SUSL works best for investors who want a balanced U.S. ESG allocation that leans into high-quality leaders, offering growth potential with moderate risk and a focus on stronger ESG practices.

Price: $119.06

YTD Return: +15.55%

Expense Ratio: 0.10%

Take the 60-second ESG ETF quiz

5 quick questions • 60 seconds

How to Use This List

Set your goal: Decide if you want broad sustainable investing exposure, fossil fuel free funds, or impact focused themes like clean energy and social equity.

Pick your style: Choose among core ESG index funds, best in class ESG ETFs, socially responsible investing funds with exclusions, or climate transition and low carbon ETFs.

Build in layers: Use a low cost total market or S&P 500 core, then add a low cost ESG ETF tilt or a fossil fuel free sleeve to align with values without losing diversification.

Read the key numbers: Compare expense ratio, AUM, tracking error, index methodology, carbon intensity score, controversy ratings, sector weights, and dividend yield.

Set a review rhythm: Recheck each quarter for index reconstitution changes, updated ESG ratings, proxy voting and stewardship reports, and any signs of greenwashing. If you prefer stock picks or hybrid exposure, see Top 10 Technology Stocks and Top 10 Clean Energy Stocks.

How We Chose These ETFs

We began by scanning the full universe of U.S.-listed ETFs to identify funds that align with core environmental, social, and governance (ESG) principles. To ensure quality and reliability, we applied strict inclusion criteria, prioritizing ETFs with:

A clearly defined ESG mandate,
Strong asset flows and investor interest,
Broad accessibility through major brokerages,
Transparent methodology and reputable issuers.

The top three ETFs were selected based on the largest assets under management (AUM) to reflect investor trust and market scale. The remaining seven were handpicked for their exposure diversity, thematic relevance, and long-term alignment with sustainability goals. Our screening is in sync with the approach behind Top 10 Innovation ETFs and reflects comparisons to Top 10 Dividend ETFs.

This overview explains the criteria specific to this list. For a detailed explanation of how Impartoo’s Top 10 lists are researched, curated, and reviewed across all categories, see our Methodology.

At a Glance

Data sources: ETF.com, Morningstar, MSCI, fund issuers

Ranking method: Sorted by AUM

Risk lens: Core / Balanced / High-risk bucket system

Frequently Asked Questions

What is an ESG ETF?
What: a fund that tracks companies screened for environmental, social, and governance practices.
How: it follows an index that applies ESG ratings, exclusions, or best in class rules.
Why: it lets you invest in a diversified, low cost way while aligning with sustainable investing goals.

How do ESG screens work?
What: rules that include or exclude companies based on issues like carbon footprint, labor standards, or board independence.
How: index providers score each company and then weight or remove names that miss the threshold.
Why: screens tilt the portfolio toward companies with better ESG profiles.

What is the difference between ESG, SRI, and impact?
What: ESG focuses on risk and governance, SRI uses values based exclusions, impact targets measurable outcomes like clean water or renewable energy.
How: ESG uses broad scoring, SRI bans categories, impact tracks a theme tied to outcomes.
Why: knowing the approach helps you pick the right fund for your goals.

What is carbon intensity or a climate score?
What: a measure of emissions relative to company size or sales.
How: providers calculate tons of CO₂e per revenue or market cap and roll it up to the ETF.
Why: lower carbon intensity helps climate focused investors and low carbon ETF buyers compare funds.

What are controversy scores?
What: ratings that flag headlines like data privacy breaches, product safety issues, or environmental spills.
How: index providers monitor news and adjust scores or exclusions.
Why: high controversy can raise risk and cause a stock to be removed at reconstitution.

How can I spot greenwashing?
What: marketing that overstates sustainability.
How: read the index methodology, sector weights, holdings overlap with a plain index, and stewardship reports on proxy voting and engagement.
Why: clear rules and transparent reporting reduce the risk of buying a label instead of a real ESG tilt.

What fees and costs matter for ESG ETFs?
What: expense ratio, bid ask spread, and tracking difference versus the ESG index.
How: check the fact sheet and historical returns versus the benchmark.
Why: low cost ESG index funds compound better for long term investors.

Do ESG ETFs pay dividends and are they tax efficient?
What: yes, they pass through dividends from underlying holdings and use the ETF structure that can be tax efficient.
How: see distribution history and capital gains reports on the fund page.
Why: income investors can combine ESG with dividend yield while keeping taxes in mind.

Will an ESG fund underweight energy and other sectors?
What: many ESG or fossil fuel free funds have smaller weights in traditional energy and sometimes materials.
How: exclusions and scoring reduce exposure to high emitters or controversy prone industries.
Why: this tilt can help in some markets and lag in others, so pair ESG with a broad core for balance.

How do I use ESG ETFs in a portfolio?
What: a core replacement or a satellite tilt.
How: choose a broad market ESG index fund for core exposure or add a low carbon or social impact sleeve alongside a total market ETF.
Why: this keeps diversification while aligning with values and long term goals.

Final Thoughts on ESG ETF Investing

ESG ETFs have gone from niche to mainstream. Whether you’re a climate-conscious investor or just seeking more responsible portfolio construction, these funds offer a simple, low-cost, and diversified way to put your capital to work in alignment with long-term sustainability trends. As the ESG landscape evolves, we’ll continue updating our recommendations to reflect the most relevant opportunities in this space. ESG ETFs can serve as a sustainable core, while pairing them with stable picks like Top 10 Defensive Stocks or income plays such as Top 10 REIT ETFs could reduce volatility. If you want a more dividend-focused approach to sustainable investing, see our Top 10 Dividend ETFs.

Explore More ETF Strategies

To expand your search, check neighboring lists like Top 10 Total Market ETFs, Top 10 AI & Robotics ETFs, and Top 10 ESG ETFs itself. Looking to diversify your ETF portfolio? Check out our other Top 10 lists. Each list is curated for performance, simplicity, and long-term clarity.