PABD vs. ESGD

Last updated Aug 2, 2026

PABD (iShares Paris-Aligned Climate MSCI World Ex USA ETF) and ESGD (iShares ESG Aware MSCI EAFE ETF) are both Foreign Large Cap Equities funds from iShares - PABD tracks the MSCI World ex USA Climate Paris Aligned Benchmark Extended Select Index - Benchmark TR Net while ESGD tracks the MSCI EAFE Extended ESG Focus Index. Both are passively managed. Over the past year, PABD returned 22.20% vs 24.51% for ESGD. Their 0.96 correlation means they have historically moved very closely together. PABD charges 0.12%/yr vs 0.20%/yr for ESGD.

Performance

PABD vs. ESGD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Paris-Aligned Climate MSCI World Ex USA ETF (PABD) and iShares ESG Aware MSCI EAFE ETF (ESGD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PABD achieves a 9.04% return, which is significantly lower than ESGD's 11.86% return.

PABD

• 1D: -0.66%
• 1M: 0.29%
• 6M: 5.06%
• YTD: 9.04%
• 1Y: 22.20%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 17.19%

ESGD

• 1D: -0.61%
• 1M: 1.35%
• 6M: 6.47%
• YTD: 11.86%
• 1Y: 24.51%
• 3Y*: 16.02%
• 5Y*: 8.95%
• 10Y*: 9.52%
• ALL TIME*: 9.86%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
ESGD iShares ESG Aware MSCI EAFE ETF	$32.64M	$25.61M	$29.96M
PABD iShares Paris-Aligned Climate MSCI World Ex USA ETF	$74.60K	$52.17K	$332.59K

PABD vs. ESGD - Yearly Performance Comparison

	2026 (YTD)	2025	2024
PABD iShares Paris-Aligned Climate MSCI World Ex USA ETF	9.04%	30.06%	5.32%
ESGD iShares ESG Aware MSCI EAFE ETF	11.86%	29.63%	6.09%

Correlation

The correlation between PABD and ESGD is 0.97 - they have historically moved very closely together. At this level, their price movements offset little of one another.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.97
Correlation (All Time) Calculated using the full available price history since Jan 19, 2024	0.96

The correlation between PABD and ESGD has been stable across timeframes, ranging from 0.96 to 0.97 - a consistent structural relationship.

PABD vs. ESGD - Sectors Allocation Comparison

Sectors	PABD	ESGD
Financial Services	29.5%	26.3%
Industrials	16.0%	18.3%
Technology	14.5%	13.6%
Healthcare	12.2%	10.1%
Real Estate	6.2%	1.8%
Basic Materials	4.8%	5.0%
Consumer Cyclical	4.6%	6.7%
Utilities	4.6%	3.8%
Consumer Defensive	4.4%	6.9%
Communication Services	3.0%	4.1%
Energy	0.2%	3.4%

Return for Risk

PABD vs. ESGD — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

PABD

PABD Risk / Return Rank: 54
PABD Sharpe Ratio Rank: 56
PABD Sortino Ratio Rank: 57
PABD Omega Ratio Rank: 53
PABD Calmar Ratio Rank: 49
PABD Martin Ratio Rank: 56

ESGD

ESGD Risk / Return Rank: 65
ESGD Sharpe Ratio Rank: 67
ESGD Sortino Ratio Rank: 67
ESGD Omega Ratio Rank: 65
ESGD Calmar Ratio Rank: 60
ESGD Martin Ratio Rank: 65

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

PABD vs. ESGD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Paris-Aligned Climate MSCI World Ex USA ETF (PABD) and iShares ESG Aware MSCI EAFE ETF (ESGD). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	PABD	ESGD	Difference
Sharpe ratio: Return per unit of total volatility	1.36	1.53	-0.17
Sortino ratio: Return per unit of downside risk	1.97	2.19	-0.22
Omega ratio: Gain probability vs. loss probability	1.24	1.28	-0.04
Calmar ratio: Return relative to maximum drawdown	1.75	2.08	-0.33
Martin ratio: Return relative to average drawdown	6.57	7.87	-1.30

PABD vs. ESGD - Sharpe Ratio Comparison

The current PABD Sharpe Ratio is 1.36, which is comparable to the ESGD Sharpe Ratio of 1.53. The chart below compares the historical Sharpe Ratios of PABD and ESGD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

PABD vs. ESGD - Drawdown Comparison

The maximum PABD drawdown since its inception was -13.37%, smaller than the maximum ESGD drawdown of -33.70%. Use the drawdown chart below to compare losses from any high point for PABD and ESGD.

Drawdown Indicators

	PABD	ESGD	Difference
Max Drawdown Largest peak-to-trough decline	-13.37%	-33.70%	+20.33%
Max Drawdown (1Y) Largest decline over 1 year	-12.55%	-11.68%	-0.87%
Max Drawdown (3Y) Largest decline over 3 years	—	-13.86%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-30.03%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.70%	—
Current Drawdown Current decline from peak	-0.66%	-0.61%	-0.05%
Average Drawdown Average peak-to-trough decline	-2.55%	-6.11%	+3.56%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.33%	3.08%	+0.25%

Volatility

PABD vs. ESGD - Volatility Comparison

iShares Paris-Aligned Climate MSCI World Ex USA ETF (PABD) and iShares ESG Aware MSCI EAFE ETF (ESGD) have volatilities of 4.57% and 4.66%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PABD	ESGD	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.57%	4.66%	-0.09%
Volatility (6M) Calculated over the trailing 6-month period	13.96%	13.83%	+0.13%
Volatility (1Y) Calculated over the trailing 1-year period	16.21%	15.97%	+0.24%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.61%	16.75%	-1.14%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.61%	17.01%	-1.40%

PABD vs. ESGD - Expense Ratio Comparison

PABD has a 0.12% expense ratio, which is lower than ESGD's 0.20% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

PABD vs. ESGD - Dividend Comparison

PABD's dividend yield for the trailing twelve months is around 2.99%, less than ESGD's 3.27% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
ESGD iShares ESG Aware MSCI EAFE ETF	3.27%	3.60%	3.23%	3.02%	2.59%	2.75%	1.63%	2.57%	2.69%	2.65%	0.09%
PABD iShares Paris-Aligned Climate MSCI World Ex USA ETF	2.99%	2.74%	2.87%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both PABD and ESGD in my portfolio?

With a correlation of 0.97, PABD and ESGD move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, PABD or ESGD?

ESGD has higher volatility (4.66%) compared to PABD (4.57%). In terms of maximum drawdown, PABD dropped -13.37% vs ESGD's -33.70%.

Which ETF is better, PABD or ESGD?

On 1-year performance, ESGD leads with 24.51% vs 22.20% for PABD. On fees, PABD is cheaper at 0.12% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PABD or ESGD?

Over the 1-year period, ESGD has performed better with a 24.51% return vs 22.20%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PABD or ESGD?

PABD is cheaper with a 0.12% expense ratio, compared with 0.20% for ESGD.

Which ETF pays a higher dividend yield, PABD or ESGD?

ESGD has the higher dividend yield at 3.27%, compared with 2.99% for PABD.

What is the main difference between PABD and ESGD?

PABD tracks MSCI World ex USA Climate Paris Aligned Benchmark Extended Select Index - Benchmark TR Net, while ESGD tracks MSCI EAFE Extended ESG Focus Index. Their fees differ too: 0.12% for PABD and 0.20% for ESGD.

Which has better risk-adjusted returns?

ESGD currently has the higher Sharpe Ratio (1.52 vs 1.36), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.