15 Best ESG ETFs for Responsible Investing in 2026
The investment landscape of 2026 is marked by a decisive pivot toward sustainability, with Environmental, Social, and Governance (ESG) ETFs emerging as critical tools for alpha generation within ethical frameworks. Institutional-grade data and stringent global regulations are reshaping capital allocation, particularly toward energy security and carbon transition themes.
Vanguard's ESGV and iShares' ESGU lead the Core equity segment, boasting low expense ratios and robust 2025 performance. Xtrackers' USCA, though unrated by Morningstar, shows promise with its climate-focused strategy. The market's trajectory underscores a broader shift: ESG is no longer niche but a cornerstone of modern portfolio construction.