The AI (ChatGPT) ESG Stock Investing Guide: iShares ESG Aware MSCI EAFE ETF (ESGD)

Here is the response from ChatGPT for the prompt iShares ESG Aware MSCI EAFE ETF (ESGD) 500 words entered on April 30, 2023

iShares ESG Aware MSCI EAFE ETF (ESGD) is an exchange-traded fund that invests in international developed market stocks outside of North America. The fund seeks to provide investors with exposure to companies that have strong environmental, social, and governance (ESG) practices. ESGD is managed by BlackRock's iShares, which is one of the largest providers of ETFs in the world.

ESGD tracks the MSCI EAFE ESG Focus Index, which is designed to include companies that meet certain ESG criteria. The index uses a screening process to exclude companies that are involved in industries such as tobacco, controversial weapons, and fossil fuels. The remaining companies are evaluated based on ESG factors such as carbon emissions, labor standards, and board diversity. The index then weights the included companies based on their ESG scores, with higher-scoring companies receiving a higher weight.

As of April 2023, ESGD has approximately $11 billion in assets under management and a net expense ratio of 0.20%, which is lower than the industry average. This makes ESGD an attractive option for investors looking for exposure to socially responsible international developed market stocks without paying high fees.

ESGD's top holdings include companies like Nestle, Toyota, Roche Holding, and Samsung Electronics, which are well-known for their commitment to sustainability and ESG practices. The fund is also diversified across various sectors, with the healthcare, consumer goods, and financials sectors making up the largest holdings.

One potential downside of ESGD is that its focus on ESG factors may limit its exposure to certain industries or companies that are not considered socially responsible. This could potentially lead to underperformance compared to funds that do not use ESG criteria in their selection process. However, studies have shown that companies with strong ESG practices tend to outperform their peers over the long term, so this may not necessarily be a major concern for investors.

Overall, iShares ESG Aware MSCI EAFE ETF (ESGD) is a solid choice for investors who want exposure to socially responsible international developed market stocks at a reasonable cost. The fund's focus on ESG factors and its use of a screening process to exclude certain industries make it a good option for those who want to align their investments with their values. As with any investment, investors should carefully consider their investment goals, risk tolerance, and other factors before investing in ESGD or any other ETF.

Table and Chart of ESGD Performance (From Not from chatGPT.)

See what a $1,000 investment in iShares ESG Aware MSCI EAFE ETF (ESGD) (ESGD) is worth today.

Values are based on monthly closes adjusted for splits and dividends from Alpha Vantage.

ESGD Returns
Start DateJul-29-2016
Start Price$44.93
End DateJul-12-2024
End Price$81.96
# Prices97
Min DateNov-30-2016
Min Price$44.59
Max DateJul-12-2024
Max Price$81.96
Total Return82.43%
Annualized Return7.72%
Current Value of $1,000 Purchase$1,824
Number Returns4,656
Average Return17.65%
Number Profitable Returns3,805
Percent Profitable Returns81.72%
Number Unprofitable Returns851
Percent Unprofitable Returns18.28%
Profitable to Unprofitable Returns Ratio4.47
Dividend Chart

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