Been looking at these two world ETFs lately and there's definitely a case to be made for each depending on what you're trying to do with your portfolio.

So here's the thing: if you're comparing NZAC and IXUS, they're solving different problems. IXUS is the broader play—over 4,100 holdings spread across developed and emerging markets outside the U.S. It's cheaper to own at 0.07% expense ratio versus NZAC's 0.12%, and you get a better dividend yield at 3.0% versus 1.9%. For pure income and cost efficiency, IXUS wins hands down. Plus the scale is ridiculous—$57.6 billion in assets versus $173 million for NZAC. That liquidity matters.

But NZAC is doing something more specific. It's a climate-aligned world ETF that's heavily tilted toward tech—think Nvidia, Apple, Microsoft in the top spots. If you care about ESG screens and climate risk, this is where you're getting that exposure. It's also been the stronger performer over the longer term, returning 18% over the past year with a solid 10-year annualized return of 12.2%.

The tradeoff is obvious though. IXUS holds way more companies but includes less U.S. tech, so it's heavier in financials and industrials. Top holdings are names like Taiwan Semiconductor, Samsung, and ASML. Over the same year, IXUS returned 34.7%—actually outperforming NZAC—because international stocks have been on a run. But historically, NZAC's tech tilt has been the better long-term bet.

Risk-wise, both took similar hits during downturns. IXUS had a deeper five-year drawdown at -30.05% versus NZAC's -28.31%, but that's pretty close.

So which world ETF makes sense? If you want broad international diversification without the ESG filter and you need income, IXUS is the obvious choice. You get more holdings, better yield, lower fees, and huge liquidity. But if you're specifically interested in climate-aligned investing and want exposure to high-growth global tech, NZAC delivers that with a cleaner ESG mandate. The performance gap between them really depends on whether international or U.S. tech leads in any given year. Right now, international is having its moment, which favors IXUS. But the long-term winner probably depends on your conviction about where growth happens next.